Ethiopia, Djibouti and Dangote Break Ground on Fuel Pipeline
Ethiopia, Djibouti and Nigerian billionaire Aliko Dangote have broken ground on a major petroleum infrastructure project designed to improve fuel supplies to landlocked Ethiopia from the Red Sea.
The project will connect Damerjog in Djibouti with Dewele in eastern Ethiopia through a 120-kilometre multi-product pipeline, with storage facilities at both ends. It is being developed through a partnership between Ethiopian Investment Holdings and Dangote Group.
Dangote said the project will include about 400 million litres of storage capacity and is intended to move refined petroleum products more efficiently while reducing Ethiopia’s reliance on long-distance road transportation.
Ethiopia currently relies heavily on Djibouti for fuel imports because it has no coastline. The pipeline is expected to reduce transport delays and logistics costs while providing a more reliable fuel supply route.
The groundbreaking ceremony was attended by Ethiopian Prime Minister Abiy Ahmed, Djibouti President Ismail Omar Guelleh and Dangote.
The project is being presented by the partners as part of broader efforts to strengthen economic integration and energy security along the Ethiopia-Djibouti corridor. Officials said it could also support increased trade between the two countries.
The reported investment figures vary by source, with Premium Times putting the overall project value at about $660 million, while Billionaires.Africa reported a $160 million initial fuel terminal component.
