Lisbon or Lisboa is the capital of Portugal. It was the main location Covert Front Episode 4.
The War started also in Portugal. But since Portugal only borders Spain, it was for them a colonial war. However, Professor Karl von Toten has been taken to there and he based his lab there. Kara went to Lisbon by plane to search him. She found him. And she killed Manfred. Where Kara and Von Toten go after they escape is still unknown.