Djibouti is strengthening its energy infrastructure to secure the region’s supply. The country has launched construction of a new terminal in Damerjog capable of storing 375,000 cubic meters of petroleum products and processing up to 5 million tonnes annually—a strategic facility, particularly for supplying Ethiopia.
To meet the region’s growing energy demand, Djibouti is modernizing and expanding its petroleum logistics infrastructure. Construction of a new energy hub has begun in Damerjog, specifically to ensure the supply of hydrocarbons to landlocked neighboring Ethiopia. This major project aims to strengthen transport systems and increase the country’s storage capacity.
“This project transcends national borders and strengthens regional economic integration. With a 375,000 m³ terminal and a processing capacity of nearly 5 million tonnes of petroleum products per year, it will help secure energy supplies, boost logistics capabilities, and create jobs. Our ambition is to build integrated infrastructure that fosters regional growth and development.”
ISMAIL OMAR GUELLEH, President of the Republic – Djibouti
“The infrastructure will secure our supplies and support industry, transport, and agriculture in Ethiopia, while reinforcing Djibouti’s status as a logistics hub. The integration of port, rail, storage, and pipeline facilities will strengthen our resilience and cooperation.”
ABIY AHMED ALI, Prime Minister – Ethiopia
The project entails the construction of a storage terminal with a capacity of 375,000 cubic meters and a processing capacity of up to 5 million tonnes of petroleum products per year. Spanning 80 hectares, the facilities will also connect to a multi-product pipeline designed to facilitate the transport of hydrocarbons to regional networks. The project is expected to create several hundred jobs.
“This project, comprising 120 km of pipelines and 400 million liters of storage capacity, is a strategic investment for Djibouti and Ethiopia. It aims to strengthen infrastructure, trade, and industrialization. For Dangote, it is intended to drive growth, employment, and investment across Africa.”
ALIKO DANGOTE, Chairman and CEO, Dangote Group – Nigeria
Part of the cooperation between Djibouti and Ethiopia, the project relies on the Dangote Group to secure regional energy supplies, reduce emissions, and relieve road congestion. A tripartite memorandum brings together the Djibouti Ports and Free Zones Authority, Ethiopian Investment Holdings, and the Dangote Group.
