Ethiopia Seeks Strategic Fuel Storage Expansion in Djibouti Amid Regional Uncertainty

— The Djibouti Ports and Free Zones Authority has confirmed that Ethiopian Investment Holdings (EIH) has submitted a request for 10 hectares of land in Djibouti to develop a large‑scale oil storage facility, a move reflecting Ethiopia’s growing energy logistics needs and the region’s shifting geopolitical landscape.

The request was presented during a meeting between EIH Deputy CEO Meleket Sahlu and the chairman of the authority at the Djibouti International Exhibition Center.

According to the authority, EIH is seeking land within the Damerjog Industrial Park to construct a fuel storage terminal with an initial capacity of 150,000 cubic meters. The proposed site is described as strategically positioned near oil pipelines and the Ethiopia–Djibouti railway line, enabling efficient transport and supply‑chain integration.

During their visit, the Ethiopian delegation toured the Damerjog Liquid Cargo Port, which the authority highlighted as offering “a modern and cost‑effective energy logistics solution.” The port includes an oil jetty capable of handling 25 million tons of petroleum products annually.

Officials also noted that Horizon Terminals has reached its maximum handling capacity of 5 million tons of fuel, underscoring rising demand for storage and energy‑related infrastructure in the area.

The Director General of the Djibouti Ports and Free Zones Authority encouraged Ethiopia to expand its investment footprint, emphasizing that “oil reserves are of great benefit given the current crisis in the Middle East,” according to the statement.