A $660 million fuel pipeline linking Ethiopia and Djibouti will be financed in part by a contribution from Africa’s wealthiest individual, officials said.
What is the purpose of the pipeline?
The line will transport refined petroleum products from Djibouti’s port to landlocked Ethiopia, enhancing the country’s energy security and reducing reliance on road transport.
Who is providing the funding?
Aliko Dangote, Nigeria’s billionaire businessman, has pledged a portion of the project’s financing, according to statements from the governments of both nations.
How much will the project cost?
The total estimated cost is $660 million. Details of Dangote’s exact contribution were not disclosed.
What economic benefits are expected?
Authorities anticipate the pipeline will create jobs at Djibouti’s port and along the route, while lowering fuel prices and supporting industrial growth in Ethiopia.
When will construction begin?
Both governments plan to start building the pipeline later this year, pending final approvals and completion of financing arrangements.
The partnership underscores regional cooperation on infrastructure and highlights the role of private capital in advancing Africa’s energy projects.