Completed Mixed AidData Chinese Aid

[Sino-Congolese Programme] China Eximbank provides $57.7 million loan for Rehabilitation and Asphalting of the 66 km Beni–Luna Section of National Road 4 (RN4) Project (Linked to Record ID#450)

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Sino-Congolais des Mines (Sicomines SARL)
Country	Democratic Republic of the Congo
Start Date	Jun 28, 2008
End Date	Jun 30, 2027
Duration	6,941 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`59439`

Grant Description

[Sino-Congolese Programme] China Eximbank provides $57.7 million loan for Rehabilitation and Asphalting of the 66 km Beni–Luna Section of National Road 4 (RN4) Project In 2008, China Eximbank issued a $3.003 billion general buyer's credit loan to Sino–Congolais des Mines (Sicomines SARL) — a joint venture — to finance infrastructure projects in the DRC (as captured via Record ID#450).

All subsidiary borrowings under the (government-guaranteed) general buyer's credit loan agreement were to be repaid with revenues from mining projects managed by Sicomines SARL.

📋 Loan / Grant Terms

💰 Loan Amountcarried a maturity of 25 years

All infrastructure projects supported through the general buyer's credit loan were part of the so-called “Sino-Congolese Programme." One of the subsidiary loans issued as part of the 'Sino-Congolese Programme' was a $57,782,941.03 loan for the Refurbishment of the 66 km Beni–Luna Section of National Road 4 (RN4) Project.

The loan ultimately achieved a disbursement rate of 97.5% ($56,339,254.59 out of $57,782,941.03). The project involved the refurbishment of 66km Beni-Niania Section of National Road 4 (RN4).

The road stretches from Beni in North Kivu Province to the town of Nia-Nia in Orientale Province. (Some sources indicate that the road stretches from Beni to Kisangani, via Luna, Kisangani, Banalia, Buta, Bondo, Bafwasende.) The project was divided into two ‘lots’.

Weihai International Economic and Technical Cooperative Co., Ltd. (WIETC), which is known located as Société Zhengwei Technique Coopération, was the contractor responsible for Lot 1. Sinohydro was the contractor responsible for implementation of Lot 2. WIETC and Sinohydro were awarded a $57,782,941.03 contract on June 29, 2008.

Construction began on June 1, 2009 and ended on November 11, 2011. The project’s originally scheduled completion date was August 31, 2010.

📋 Staff Comments

This project is also known as the Asphalt Paving of the 60 km Beni-Niania Section of Route Nationale 4 (RN4) Project. The French project name is Bitumage de la RN4 : Beni-Niania.
The loan commitment date is assumed to be the same as that for Project ID#450.
Some sources identify the loan commitment value as $60.92 million rather than $57.7 million. AidData relies on the more conservative estimate.
Given that AidData has captured the entire $3.003 billion China Eximbank loan commitment amount for multiple infrastructure projects via Project ID#450, it does not record a financial commitment (transaction) amount for the subsidiary loan supporting this project to avoid double-counting.
For loan and debt rescheduling records with variable interest rates, AidData calculates the all-in interest rate at T0 based on the reference rate (such as LIBOR or EURIBOR) on the loan start date, plus any known margin. Please see the methodology for additional details.

📚 Sources & References

Convention de Collaboration entre la Republique Democratique du Congo et La Societe Sinohydro Corporation Relative au Developpement d'un Projet Minier et d'un Projet d'Infrastructures en Republique Democratique du Congo
Protocole d'Accord
Avenant No.3 a la Convention de Collaboration Relative au Developpement d'un Projet Minier et d'un Projet d'Infrastructures
The risks and rewards of Resource-forInfrastructure deals: Lessons from the Congo's Sicomines Agreement
China and Congo : Friends in Need, drc-china infrastructure status march 2011, https://foreignpolicymag.files.wordpress.com/2018/06/01911-sicomines-workingpaper-landry-v6.pdf
April 2019 Export of DRC AMP, http://eng.sinohydro.com/index.php?m=content&c=index&a=show&catid=42&id=32
The impact of Sicomines on development in the Democratic Republic of Congo
BATSHAMBA-TSHIKAPA ROAD IMPROVEMENT PROJECT– LOANGE BRIDGE-LOVUA BRIDGE SECTION
The Sicomines agreement revisited: prudent Chinese banks and risk-taking Chinese companies
Terrassement et bitumage de la RN5 : Lubumbashi - Kasomeno
AMP (China Only) From 28 March 2018
Rapport Annuel 2013
Rapport Annuel 2017, 5 ans au service de la reconstruction et de la modernisation: Projet de cooperation Sino-Congolais
Plan du Travail, 2018 Annual Report, rapport assoupliitie
CONVENTION DE LA SINO-CONGOLAISE DES MINES : Qui perd, qui gagne entre l’Etat congolais et la Chine ? Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.

All Grantees

Sino-Congolais des Mines (Sicomines SARL)

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