Dangote launches $2.5bn fertiliser plant in Ethiopia

Lanre Idris Mustapha

The Dangote Group and Ethiopian Investment Holdings (EIH), the government’s strategic investment arm, have formally commenced construction of a $2.5 billion urea fertiliser production complex in Gode, in Ethiopia’s southeastern Somali region.

Under a shareholders’ agreement signed in Addis Ababa, Dangote will hold 60% equity in the project, while EIH will take the remaining 40%, establishing one of the largest industrial investments in Ethiopia to date.

Lens News gathered that, the plant is designed to have a production capacity of 3 million metric tons of fertiliser per year, positioning it among the top single-site urea complexes globally. To ensure steady supply of feedstock, the project includes construction of pipelines from Ethiopia’s Hilal and Calub natural gas fields.

Construction is expected to be completed in 40 months from the start date. The facility will also contain infrastructure for storage, logistics, and export capabilities. The venture has potential for expansion into ammonia-based fertilisers such as ammonium nitrate, ammonium sulfate, and calcium ammonium nitrate.

Ethiopian Prime Minister Abiy Ahmed described the project as a pivotal step for food security and agricultural transformation. He noted that the move will reduce Ethiopia’s dependence on imported fertiliser, stabilize supply for local farmers, and create substantial employment in the Somali region and beyond.

Dangote Group, led by Aliko Dangote, emphasized that the project reflects a shared vision to industrialise Africa, achieve agricultural self-sufficiency, and use domestic resources efficiently. Lens News gathered that the company views this project as a catalyst for regional agricultural productivity and strengthening of export potential.

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Lanre Idris Mustapha has years of experience writing social research and poetry blended with public relations strategies. He currently covers geopolitical and climate discourse with lens.ng.
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