Dangote, Ethiopia Seal $2.5bn Deal for Mega Fertilizer Plant

 

L-R: CEO, Ethiopian Investment Holdings, Dr Brook Taye; Ethiopian Prime Minister, HE Abiy Ahmed Ali; President/CE, Dangote Group, Aliko Dangote and CEO, Dangote Fertilisers Ltd, Vishwajit Sinha at the signing of a $2.5 billion fertiliser plant agreement in Addis Ababa.

Dangote, Ethiopia Seal $2.5bn Deal for Mega Fertilizer Plant

ADDIS ABABA, Ethiopia – Ethiopian Investment Holdings (EIH), the strategic investment arm of the Government of Ethiopia, has signed a landmark agreement with Dangote Group to develop a $2.5 billion urea fertilizer complex in Gode, Somali Regional State.

Under the deal, Dangote Group will hold 60% equity, while EIH will take a 40% stake in what is set to become one of the largest single-site fertilizer plants in the world, with an annual production capacity of three million metric tons.

The project, expected to be completed within 40 months, will include the construction of fertilizer production units, storage facilities, export infrastructure, and a dedicated gas pipeline linking Ethiopia’s Hilal and Calub gas reserves to the plant. The facility will also have room for future expansion into ammonia-based fertilizers.

Speaking on the agreement, Dangote Group President/CEO, Aliko Dangote, said the partnership represents a “pivotal moment in Africa’s industrialization drive,” stressing that the project will boost agricultural productivity and food security across the region.

EIH’s CEO, Dr. Brook Taye, described the deal as a milestone in Ethiopia’s industrialization agenda, saying it will “substantially enhance agricultural productivity, create thousands of jobs, and position Ethiopia as a regional hub for fertilizer production.”

The fertilizer complex is expected to reduce Ethiopia’s heavy reliance on imports, support over 70% of the population engaged in agriculture, and provide competitive fertilizer supplies to regional markets, strengthening East Africa’s food security and economic integration.