Alstom, Algiers Metro Company (EMA), Ferrovial and Algerian National Railways (SNTF) have signed a framework agreement to extend activities of their Cital joint venture (JV) to produce locally Coradia regional and intercity trains for Algeria.
The deal includes the assembly and maintenance of regional and intercity trains, in addition to its current focus on Citadis trams.
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In addition, the deal also marks SNTF’s entry into the joint venture. The national railway will take a 10% stake in the business, with Ferrovial reducing its shareholding from 41% to 31%, while Alstom and EMA will continue to hold 49% and 10% respectively.
As part of its plan to expand and modernise the rail network from 3,000km to 12,500km by 2025, SNTF also plans to order a further 98 Coradia Polyvalent bi-mode multiple units.
Alstom Middle East and Africa senior vice-president Gian Luca Erbacci said: "This signature represents a very significant agreement with our partners in CITAL, EMA and Ferrovial, with whom we have carried out successful tramway projects in several cities in Algeria and now also SNTF, who will join the Joint Venture.
"Cital’s extended activity will certainly contribute to the emergence of a railway hub in Annaba, reinforcing Algeria’s industrial sector while offering a larger number of people the opportunity to travel via reliable, safe and environmental-friendly modes of transport.
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By GlobalData"This new milestone is an important step in Alstom’s global strategy and efforts to be closer to its customers."
Under the new deal, the Cital joint venture’s facility at Annaba will be expanded from 46,400m² to 190,000m² with an engineering department, new production lines and a maintenance depot.
It is reported that the expanded Annaba facility will have the capacity to produce one Coradia train per month.
The expansion would create up to 270 direct jobs, in addition to the 240 currently employed at the Annaba facility.
Image: Coradia Polyvalent dynamic tests in Velim (Czech Republic). Photo: © Alstom / R.Mouron.
