August M
Russian authorities have quietly abandoned plans for a long-promised railway connection to Khanty-Mansiysk, a key oil-producing city in western Siberia, after the project was removed from the government’s list of strategic priorities.
The decision highlights mounting financial strain inside Russia, as major infrastructure investments increasingly face delays, cuts, or cancellation, reports Onet.
Project abandoned
Officials from Russia’s Department of Road Economy and Transport confirmed that the railway project linking Khanty-Mansiysk to the national rail network is no longer expected to move forward.
“The project is not expected to be implemented,” authorities said, according to Onet.
The plan had originally been approved in 2013 and envisioned construction of a 200-kilometre rail line connecting the city to existing major railway routes nearby.
Before Russia launched its full-scale invasion of Ukraine in 2022, estimated construction costs stood at around 40 billion rubles.
Despite years of discussion and several proposed route options, work on the railway never began.
Funding problems
Russian authorities later removed the project from the country’s official “priority list,” citing a lack of financing.
Khanty-Mansiysk, home to more than 110,000 residents and a major centre for Russia’s oil sector, currently depends heavily on road transport for cargo deliveries.
Local officials have previously acknowledged that the absence of railway infrastructure contributes to higher transport and food costs in the region.
Earlier this month, a resident publicly asked regional governor Roman Kucharuk about the delayed project on social media.
Authorities initially claimed the railway remained part of long-term development plans through 2035 before federal officials later confirmed the project had already been classified as obsolete.
Wider economic strain
The cancellation comes as Russian Railways faces growing financial difficulties linked to debt and stalled investment projects.
According to reports, the company has already suspended several major construction programmes, including expansion work on the Baikal-Amur railway corridor used for transporting raw materials toward China.
Russian Railways is also reportedly selling assets to help manage debts that have climbed to 3.8 trillion rubles.
The company is expected to report a net loss in 2025 for the first time in five years.
Sources: Onet, Russian Department of Road Economy and Transport
