Addis Abeba – President Ismail Omar Guelleh of Djibouti has held talks on 20 May with Brook Taye, Chief Executive of Ethiopian Investment Holdings (EIH), on proposed large-scale oil and gas export corridor projects linking the two countries, sources familiar with the discussion told Addis Standard.
The discussions centered on a two-phase energy infrastructure plan, developed by anchoring the recent engagement by Dangote Group in Ethiopia and aimed at strengthening Ethiopia–Djibouti strategic cooperation in energy logistics and export capacity.
Under the proposed framework, the first phase envisions the construction of a pipeline transporting refined petroleum products from Djibouti’s port facilities to Ethiopia’s inland logistics hub in Daweleh. The second phase would involve the development of separate gas and crude oil pipelines designed to export Ethiopian hydrocarbons from production fields in the Somali Regional State to international markets via Djibouti.
The sources also said President Guelleh responded favorably to the proposals and outlined key considerations for implementing what both sides believed as a new strategic partnership framework between the neighboring states.
Brook Taye was accompanied by senior Dangote Group advisers Peter Lazam and Singh Rana. Ethiopia’s ambassador to Djibouti, Legesse Tulu, also attended the meeting. Djibouti was represented by Energy Minister Djama Mohamed Hassan, Presidency Secretary-General Mohamed Abdillahi Waïs, and Inspector General of State Hassan Issa Sultan.
The talks come amid a broader acceleration of Ethiopia–Djibouti energy logistics cooperation, reflected in a series of recent developments.
On March 19, 2026, Ethiopian Investment Holdings (EIH) formally requested a 10-hectare plot of land in Djibouti to develop a large-scale fuel storage facility, according to the Djibouti Ports and Free Zones Authority (DPFZA)
The latest corridor discussions also follow the expansion of Ethiopia’s flagship fertilizer megaproject in the Somali Region, announced on May 18, 2026, during a visit by Prime Minister Abiy Ahmed and Nigerian businessman Aliko Dangote to the Gode industrial complex.
Officials confirmed that the project’s investment size has increased from an initial $2.5 billion to over $4 billion, reflecting a significant expansion in scope and supporting infrastructure.
The request was made during a visit by EIH Deputy CEO Meleket Sahlu, who met with the Chairman of DPFZA at the Djibouti International Exhibition Center. EIH proposed developing a 150,000 cbm fuel storage depot in its first phase at the Damerjog Industrial Park, a site described by authorities as strategically positioned near key logistics infrastructure, including pipelines and rail connections.
The upgraded plan includes a 110-kilometer gas pipeline from the Calub gas field in the Ogaden Basin, a 120 MW power plant, a polypropylene packaging facility, and a two-million-ton NPK blending plant. The project is expected to produce up to three million metric tons of urea annually, positioning it among the largest single-site fertilizer production facilities globally.
Source: Addis Standard
