China Railway starts $1.7 bln Libya project

TRIPOLI, Nov 27 - China Railway Construction Corp has begun building a 2.2 billion dinars ($1.70 billion) railway project in Libya, Libyan state media said on Thursday.

The 453 kilometre railway line will link the capital Tripoli with Libyan leader Muammar Gaddafi's coastal home town of Sirte, and would connect Libya's factories and plants to its ports, Libyan state news agency Jana said.

The railway line is part of a major Libyan plan to build a railway network linking it to other African states, including neighbouring Maghreb countries, Jana added.

Other foreign companies, including one unnamed Russian company, would be involved in the North African state's countrywide railway plan, alongside the Chinese company, whose involvement marks the latest foray by a Chinese company into Africa.

China has been aggressively seeking trade and investment ties with a number of African countries in an effort to tap into energy and natural resources to help feed its booming economy.

Libya is one of China's largest trading partners in Africa, with two-way trade estimated by Libyan officials at more than $2.0 billion during last year.