Djibouti, September 24, 2026 — The foundation stone for major petroleum storage and pipeline infrastructure connecting Ethiopia and Djibouti was laid today by H.E. Abiy Ahmed (PhD), Prime Minister of the Federal Democratic Republic of Ethiopia, H.E. Ismail Omar Guelleh, President of the Republic of Djibouti, and Alhaji Aliko Dangote, President of the Dangote Group.
The landmark infrastructure is expected to establish an integrated petroleum products supply chain connecting marine receipt and storage facilities in Djibouti with pipeline, storage and delivery infrastructure in Ethiopia.
To advance the development of the infrastructure, Ethiopian Investment Holdings (EIH), the strategic investment arm of the Government of Ethiopia, Dangote Industries Limited (DIL) and Great Horn Investment Holding S.A. (GHIH) have signed a Memorandum of Understanding (MoU).
The project represents a bold infrastructure opportunity for the region, with the potential to remove key logistics bottlenecks, improve the reliability and efficiency of petroleum products supply, reduce transportation costs and support the continued growth of Ethiopia’s economy.
By strengthening connectivity between Ethiopia and its key maritime gateway, the infrastructure can also contribute to greater regional integration and competitiveness. Greater use of pipeline transportation has the potential to reduce reliance on conventional road based transportation and reduce the carbon footprint associated with petroleum products logistics.
“Africa needs bold infrastructure that removes bottlenecks and unlocks economic potential. This project presents an opportunity to strengthen Ethiopia’s petroleum supply chain, improve regional connectivity and enhance the country’s competitiveness,” EIH Chief Executive Officer Dr. Brook Taye said.
“At EIH, we are focused on investments that strengthen critical infrastructure and create long term value. This initiative has the potential to improve supply efficiency, deepen regional integration and support more sustainable petroleum products transportation,” Dr. Brook added.
The initiative also builds on the growing investment relationship between EIH and Dangote Group, including their partnership on the USD 2.5 billion urea fertilizer production complex in Gode, which has a planned annual production capacity of three million tonnes.
With an estimated investment of USD 660 million and a projected completion timeline of less than two years, the development marks a significant step toward strengthening critical infrastructure, improving regional connectivity and advancing Ethiopia’s economic integration with the region.
About Ethiopian Investment Holdings
Ethiopian Investment Holdings (EIH) was established under the Council of Ministers Regulation No 487/2022. EIH aims to contribute to sustainable economic development by professionally managing its funds and assets, optimizing their use in line with international best practices and corporate governance principles. As the strategic investment arm of the Ethiopian government, EIH strives to maximize value for the benefit of current and future generations.
Additionally, EIH seeks to attract foreign investment through a co investment platform, asset consolidation for monetization, and unlocking value from unutilized assets.