Eswatini Spotlight: Infrastructure Projects and Updates Sandile SK Dlamini Civil Engineer – Eswatini Railways Outline 1.Introduction 2.Regional and National Network Context 3.Regional and National Railway Network Projects 3.1 Planned and Ongoing Projects 4. Investment Opportunities 5. Maintenance Philosophy 1. Introduction BACKGROUND • Eswatini is a land-linked country • Eswatini Railways (ESR) is a state owned entity and was established by an Act of Parliament in the 1960s • ISO 9001 and ISO 45001 certified Introduction SERVICES • Freight • Containerised Business • Property Portfolio under development TRACK NETWORK • Mainline track is 188km – North – South (South Africa) • Branch lines total track is 121km – East – West (Mozambique) 2. Network Illustration 2. Regional Projects • Eswatini Rail Link (ESRL) – Joint inter railway initiative between Transnet and ESR • Integrated Project of the Port of Techobanine – Joint initiative between four parties (currently) – Development of various infrastructure • Strategic Projects – Stimulate and be a catalyst for economic development – Promote intra African trade and integration of the region’s freight logistics Project Structures ESWATINI RAIL LINK INTERNATIONAL TREATY REPUBLIC OF SOUTH KINGDOM OF AFRICA ESWATINI INTER-RAIL COMMISSION ESWATINI RAIL LINK SPECIAL PURPOSE VEHICLE Corridor View of ESRL Project Structure IPPT CHINA HARBOUR ENGINEERING COMPANY ESRL Overview Create a link between the two countries – 146 km Benefits • Provide capacity for migration of Maputo- bound and R’Bay-bound GFB from road to rail • Free up 12 GFB train slots per day ~ 26 mtpa of coal export capacity • Improve Efficiency of the Coal Line • Regional integration Project Status • Early Works in progress • Looking for funding of Main Works IPPT Overview Create a link between the three countries – 30 km Benefits • Shorter route from Botswana – Waterberg to the port. • Improve Regional integration Project Status • Project received green light from government. 3. National Projects Rail Network Upgrade Sidvokodvo - Phuzumoya Sidvokodvo – Phuzumoya Upgrade Overview Upgrade 39km from 18.5 tpa to 20 tpa. Line to be 26 tpa ready – Heavy Haul Standard Benefits • Operationalise ESRL which is designed as a heavy haul line • Run heavier and longer trains – Volume increase • Regional integration Project Status • EOI evaluation complete for shortlisting consultants • Report to be submitted to AfDB for “no Objection” • ToRs for RFP ready for approval Reinstatement of Iron Ore Line Ka-Dake to Matsapha Overview Ka-Dake – Matsapha Line • Iron ore mine being re-opened • Reinstate 77km of railway line • No changes to the design Benefits • Provide a large-capacity transport channel • Regional connectivity – intermodal transport • Improve road safety and prevent damage to road infra • Employment opportunities during and after construction Project Status • EOI documents for feasibility study and detailed engineering design • ESR looking for funding options Iron Ore Line Section Proposed Hlane New Junction Connect NS and EW Lines Overview Construct a connecting line with a minimum radius of 300m Benefits • Alternate route between Komatipoort and Maputo • Improve efficiency and TAT • Increase train slots between Ressano Garcia and Maputo Project Status • Engineering Surveys report due on May 17, 2019. • ESR looking for funding options. Phuzumoya Strategic Oil Reserve Facility Overview • Provide 2.7km of 48 kg/m, 3 turnouts for the decanting lines • Provide 760m of 48kg/m, 4 turnouts • Provide lighting and fencing for rail infra Benefits • Strategic initiative by government for petroleum and oil products security • Increased traffic volume for ESR, CFM, and TFR • Market share for rail Project Status • Rail infra and related services designs complete • Government finalising funding strategy New Siding for SOR Matsapha ICD Expansion Phase II and Phase III Overview • Complete feasibility study for phase II and III • Detailed engineering designs for the two phases. Benefits • Increase containerised volumes and stimulate economic growth • Diversification of service offering Project Status • Funding is available • Appointment recommendation for Engineering Consultants await approval • ToRs for feasibility study complete Matsapha ICD Matsapha ICD - Phases of Development Mpaka ICD Overview Cater for sugar belt clients and shipping lines Benefits • Increase productivity of Matsapha ICD • Socio-economic development of Eswatini and the region Project Status • DPR completed and implementing recommendations • Engineering surveys and EIA ongoing. • ESR looking at funding options and strategies 3D Impression – Mpaka ICD Conceptual Rendering – Mpaka ICD Site Plan 4. Investment Opportunities • Major opportunities exist for service providers operating in the rail and related space • Eswatini government has interest in mega rail projects to reduce road accidents and heavy maintenance cost • ESR in April 2019 had a meeting with the Eswatini Investment Promotion Authority • Continuous engagement with pension and provident funds • Political risk is still viewed as an inhibitor to some multinational financiers to participate • KSE has given ESR the green light to source funding and KSE will provide the guarantee THANK YOU Sandile SK Dlamini Eswatini Railways [email protected].