By Brazil Stock Guide – Brazil’s transport regulator ANTT approved on Thursday (9) a 30-year renewal of the Ferrovia Centro-Atlântica (FCA) rail concession, securing roughly 24 billion reais ($4.7 billion) in planned investments and extending the contract through 2056.
The agreement includes about 800 interventions across the network, ranging from large-scale infrastructure works to operational upgrades. It also introduces updated financial mechanisms, including escrow-style accounts, and revised governance rules aimed at improving risk allocation between the government and operator VLI Logística, which is privately held.
A key component of the deal is the return of approximately 3,100 kilometers of track—out of a total 7,200 kilometers—paired with an estimated 4.2 billion reais compensation to the concessionaire for prior construction. The restructuring is designed to concentrate operations on more economically viable corridors.
The FCA network spans seven Brazilian states and the Federal District, making it a core logistics artery for bulk cargo transportation. Parts of the system, including the Minas-Rio corridor, are already undergoing the process of being returned and prepared for future concession bidding.
The renewal also prioritizes upgrades to the Minas-Bahia corridor, linking Corinto in Minas Gerais to the port of Aratu in Bahia. Improvements along the Campo Formoso–Aratu stretch are expected to be completed within three years. Meanwhile, the Belo Horizonte rail bypass remains contingent on a future contract rebalancing.
The proposal will now be submitted to Brazil’s Federal Court of Accounts (TCU) for final review before formal execution. Negotiations over the renewal have been ongoing for nearly a decade.
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