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Chile's state rail company EFE awarded a tender for the rehabilitation of a southern railway stretch to local rail development firm Icil Icafal, the firm's general manager Jorge Dublé told BNamericas.
The company will rehabilitate the stretch along the San Rosendo-Puerto Montt line, which runs from regions VIII to X.
Works will be carried out this year and will require an investment of US$32mn, Dublé said.
The stretch to be repaired begins in region XIV's San José de la Mariquina district and ends in region X's Puerto Montt city, he added.
The contract also involves the maintenance of the line for an additional 14 years, Dublé said.
The railway's rehabilitation is part of EFE's 2008-10 investment plan, in which the firms expects to disburse at least US$120mn this year.