THE president of Brazil, Mr Jair Bolsonaro, together with the minister of infrastructure, Mr Tarcísio de Freitas, will attend a foundation stone laying ceremony on September 17 to mark the start of construction of a 383km section of the Midwest Integration Railway (Fico) from Mara Rosa on the North South Railway west to Água Boa.
This is the first railway project in Brazil to be implemented according to a cross granting mechanism whereby Vale will invest Reais 2.73bn ($US 519.3m) in the new line in exchange for the early renewal of its Vitória a Minas Railway (EFVM) concession which was signed in December 2020. The new line is expected to open in 2026.
The governor of the state of Mato Grosso, Mr Mauro Mendes, will sign a contract with Rumo Logístics on September 20 to build and operate a new 730km railway running from Rondonópolis via Cuiabá and Nova Mutum to Lucas do Rio Verde. Rumo will operate the new line for 45 years although another operator will be allowed to run trains on the line.
The cost of the project is estimated at Reais 11.2bn. The Rondonópolis - Cuiabá section will open in 2025 followed by the rest of the line in 2028.
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