Ethiopian Prime Minister Abiy Ahmed has laid the foundation stone for the country’s first-ever oil refinery, marking a transformative moment in the nation’s industrial development. The Gode Oil Refinery, a $2.5 billion project being constructed by China’s Golden Concord Group Limited, will process 3.5 million tons of oil annually, utilizing crude oil and condensate from the Hilala oil field in the Somali Region.
The facility will be built in two phases, with the first phase expected to be completed within 24 months. Prime Minister Abiy described the project as embodying “our shared responsibility to harness opportunities, strengthen cooperation, and promote peace.”
The refinery launch coincides with the inauguration of a $2.5 billion urea fertilizer plant developed by Ethiopian Investment Holdings in partnership with Nigeria’s Dangote Group. The fertilizer facility will have an annual production capacity of 3 million tons and will utilize natural gas from the Calub fields. Additionally, Abiy inaugurated the first phase of the Ogaden liquefied natural gas project with an annual production capacity of 111 million liters.
The collective mega projects inaugurated in the Somali Region are valued at $10 billion, including associated infrastructure. The Prime Minister emphasized that all projects will be carried through to completion, representing a broader $30 billion investment program that includes a $10 billion airport and a nuclear power plant to be developed with Russia.
Sources: horndiplomat, bloomberg.com