Cameroon signed an agreement on June 25 with two companies with links to China to build a railway from the coast to a large cross-border iron ore mine, although the project is facing a legal challenge from Australia's Sundance Resources, state broadcaster CRTV said.
Sundance has gone to international arbitration and is seeking billions of dollars in damages.
Sundance said Cameroon and the Republic of Congo were developing the Mbalam-Nabeba iron ore project with Chinese investors in breach of contract.
The Congolese government has accused Sundance of not making enough progress in developing the mine and of not paying royalties, a charge Sundance denies.
The Nabeba licence is part of Sundance's flagship Mbalam-Nabeba project, which straddles the border between Congo and Cameroon. The company has yet to start mining iron ore.
Sundance has subsidiaries in both countries, including Cam Iron SA, which is 10% owned by the government of Cameroon.
Under the agreement with the government, Sundance plans to invest $8.7bn in mine development, the construction of the 510km Mbaram-Kribi railway and an iron ore terminal at Kribi's deep-water port.
It is planned to mine in two phases, with the first phase producing 40 million tons of iron ore annually for 12 years. The second phase will produce 35 million tons of high-grade hematite concentrate annually, with a mining life of 15 years.
Sundance's own strength is not enough, and has had cooperation with Sichuan Hanlong Group and Australia Austsino Company, but both abandoned halfway.
