President Ismaïl Omar Guelleh of Djibouti, Prime Minister Abiy Ahmed of Ethiopia and African industrialist Aliko Dangote on Thursday launched a new cross-border pipeline project to transport refined petroleum products from Damerjog in Djibouti to Dewele in eastern Ethiopia.
“Together with President Ismail Omar Guelleh and Aliko Dangote, today we announce a major strategic investment connecting Damerjog in Djibouti to Dewele in Ethiopia through a new refined petroleum products pipeline,” Ahmed said during the launching event.
The project will be developed through a partnership between Ethiopian Investment Holdings (EIH) and the Dangote Group, with storage terminals to be built in both countries.
According to Ahmed, the project is intended to reduce the cost and delays associated with transporting petroleum products while improving fuel supply arrangements between the two countries.
“The project will be developed through a partnership between Ethiopian Investment Holdings and the Dangote Group. This landmark infrastructure will reduce logistics costs and delays, strengthen energy security, and enhance the efficiency and resilience of the Ethiopia–Djibouti corridor,” he said.
Djibouti’s Damerjog area hosts industrial and port infrastructure developed to handle liquid bulk and other cargo. The planned petroleum infrastructure is expected to connect storage facilities with existing transport networks serving the corridor.
The project follows earlier efforts by Ethiopia and Djibouti to expand cooperation on petroleum storage and transportation infrastructure.
In March 2026, EIH formally requested a 10-day hectare plot at Djibouti’s Damerjog industrial to establish a fuel-storage facility. Addis Standard reported at the time that the proposed facility was part of wider plans to expand energy and trade cooperation between the two countries.
The newly announced project places storage and pipeline infrastructure on both sides of the border, connecting Damerjog with Dewele as part of the Ethiopia-Djibouti trade corridor.
MG/abj/APA