Brazil grants rail concession studies extension

Monday, July 6, 2015

Brazil's transport ministry has postponed its deadline to present technical studies for the preparation of two railway concessions involving a total of 1,620km making up part of the Norte-Sul (north-south) railway, also known as EF-151.

Studies for the construction of the sections are now due August 31. One is for the Açailândia (Maranhão state)-Barcarena (Pará) stretch spanning 457km, and the other is for the Estrela D'Oeste (São Paulo)-Dourados (Mato Grosso do Sul) stretch spanning 659km, according to a ministry release.

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Studies were previously due June 30. More time was given to help companies prepare themselves better so that a solid foundation for developing well-prepared studies can be established, the ministry said.

The transport ministry, national ground transport agency ANTT, federal rail company Valec and Brazil's logistics and planning group EPL will be evaluating the plans. The concessions are expected to last 35 years with construction to be completed in the first five.

The country has also planned two other railway concessions. One is for the Anápolis (Goiás)-Corinto (Minas Gerais) stretch extending 775km and the other is for the Belo Horizonte (Minas Gerais)-Guanambi (Bahia) stretch which should be 845km.

The concessions fall under the country's national logistics investment program, PIL, which was announced in June.

Construction work on the Norte-Sul railway in Anápolis, Goiás state (CREDIT: Valec).