Work Begins on Dangote’s $2.5bn Fertiliser Project in Ethiopia

The President and Chief Executive of the Dangote Group, Aliko Dangote, has officially flagged off the construction of a $2.5bn fertiliser plant in Gode, Ethiopia.

According to a statement from the company, the facility is being developed in partnership with Ethiopian Investment Holdings and will produce three million metric tonnes of urea annually, making it one of the largest fertiliser complexes in the world.

Situated in Ethiopia’s South-East, the plant will utilise natural gas from the Hilal and Calub reserves to drive agricultural growth, create jobs, and strengthen food security across the Horn of Africa.

At the groundbreaking ceremony, Prime Minister Abiy Ahmed described the project as a symbol of cooperation, shared responsibility, and peace, stressing that it represents Ethiopia’s determination to rise on the global stage.

Dangote commended the Ethiopian government for its reforms and investments in infrastructure, including transport, energy, and the Grand Ethiopian Renaissance Dam, which he noted laid the foundation for industrial growth.

He explained that the Gode plant is the first phase of a broader plan to diversify into other fertiliser types, including ammonium nitrate, ammonium sulphate, NPK, and calcium ammonium nitrate, positioning Ethiopia as a regional hub within five years.

“This partnership reflects our commitment to industrialising Africa and ensuring food security across the continent,” Dangote said, adding that Africans themselves must lead the transformation of Africa.

The project also highlights Dangote’s second major investment in Ethiopia after its cement plant in Mugher, with plans to double capacity through an additional $400m investment.

Dangote acknowledged the support of institutions such as Afreximbank, Africa Finance Corporation, Access Bank, First Bank, and Zenith Bank in financing the project.

Meanwhile, Somali Region President Mustafa Omar hailed Dangote as “the anchor investor Ethiopia has been looking for,” while the Chairman of the Nigerian Exchange Group, Dr. Umaru Kwairanga, praised Ethiopia’s economic progress and expressed optimism about stronger ties between Nigeria and Ethiopia.