Nigerian billionaire Aliko Dangote announced that he will help finance a new $660 million fuel pipeline linking Djibouti’s Damerjog port to a distribution facility in Dewele, Ethiopia. The 120‑kilometre line will also include storage capacity for about 400 million litres of petroleum products.
Prime Minister Abiy Ahmed said the project, a joint venture between Dangote and Ethiopia, is expected to reduce the time needed to transport fuel from Djibouti’s port to Addis Ababa from five days to one. The first phase will carry jet fuel, diesel and petrol.
Speaking at the ground‑breaking ceremony, Dangote said the pipeline would strengthen Ethiopia’s energy security and make its fuel supply chain more resilient. The landlocked country relies heavily on Djibouti’s port for imports, and the new infrastructure is expected to ease pressure on existing transport systems that support industries such as transport, aviation, agriculture and construction.
Djibouti is also set to benefit from increased port activity, job creation and higher government revenues. The project is part of Dangote’s wider expansion of infrastructure and manufacturing businesses across Africa. His cement plant processes about 55 million tonnes a year, while his Nigerian refinery currently processes 700,000 barrels of crude a day and plans to double that to 1.4 million barrels a day.
The refinery recently listed 4.1 billion ordinary shares on the Nigerian stock exchange, aiming to raise about $1.63 billion. In Kenya, Dangote Cement is due to break ground next week on a proposed 700,000‑barrel‑a‑day crude oil refinery in Lamu.
Construction is slated to begin within 18 months, with operations expected to start shortly thereafter.
