Amanze Chinonye
Ethiopia, Djibouti and Nigerian industrialist Aliko Dangote plan to invest $660 million in a refined petroleum products pipeline connecting the two East African countries, seeking to lower fuel transportation costs and strengthen energy security.
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The 120-kilometre pipeline will run from Damerjog in Djibouti to Dewele in eastern Ethiopia and is expected to become operational within 18 months, a spokesperson for Ethiopian Prime Minister Abiy Ahmed said.
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The project will include storage facilities with a combined capacity of about 1.175 million cubic metres, with approximately 375,000 cubic metres at Damerjog and 800,000 cubic metres at Dewele.
Abiy said the project would be developed through a partnership between Ethiopian Investment Holdings and Dangote Group. He announced the plan during a visit to Djibouti, where he met President Ismail Omar Guelleh and Dangote.
The pipeline is expected to transport refined petroleum products from Djibouti to Ethiopia, reducing the country’s reliance on road haulage for fuel deliveries. Abiy said the project would help cut logistics costs and delays along the Ethiopia-Djibouti route.
The developers said the infrastructure would also improve the reliability of petroleum supplies and strengthen energy security in both countries.
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Ethiopia, which is landlocked, relies heavily on Djibouti for access to international trade. The new pipeline and associated storage facilities are expected to improve the handling and distribution of petroleum products entering Ethiopia through the port.
The project adds to Dangote Group’s investments in Ethiopia, where it has interests in fertiliser and other industrial projects, and expands the conglomerate’s involvement in Africa’s energy infrastructure.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
