Minas Gerais approves environmental license for US$670mn subway expansion

Minas Gerais’ environmental review agency Copam authorized the license for the expansion of the subway in state capital Belo Horizonte. 

"With 11 votes in favor, [Copam] approved the license that allows the project to advance to the works execution stage. The first interventions in line 2 are expected to begin in September," the Brazilian state said in a release. 

The subway is operated by Metrô BH, which is controlled by bus company Comporte Participações after it won an auction at the end of 2022 for the privatization of Minas Gerais state rail firm CBTU. 

As a result, the firm assumed the concession contract to operate the subway system for 30 years. 

The contract involves an investment obligation of 3.77bn reais (US$670mn), of which 2.8bn reais will be financed by the federal government.

Comporte will be responsible for extending line No. 1 and building line No. 2. The 28.1km line 1 has 19 stations and serves the municipalities of Belo Horizonte and Contagem. Line 2 will add 10.5km and seven stations to the system.

In May, the state government announced the acquisition of 24 subway trains from Chinese firm CRRC.

"The company has already started the manufacturing and the expectation is that the first train will arrive in Brazil and go into operation in the first half of 2026. The new trains, as soon as they are delivered, will operate on both line 1 and line 2 of the BH subway," said the government.