Home | News    Friday 2 October 2015

Ethiopia and Djibouti to build $1.55 billion fuel pipeline venture

separation
increase
decrease
separation
separation

By Tesfa-Alem Tekle

October1, 2015 (ADDIS ABABA) – Ethiopia and its neighbour Djibouti signed on Tuesday an agreement to construct a $1.55 billion fuel pipeline which stretches from Djibouti’s Damerjog to Awash in central Ethiopia, construction firms announced on Thursday.

The planned Grand Ethiopian Renaissance Dam project (AP)

The two neighbours signed the agreement with developers Mining, Oil and Gas Services and Black Rhino Group owned by funds of US investment firm, Blackstone Group.

According to the companies, the 550-kilometer pipeline will import diesel, gasoline and jet fuel from Djibouti coast to Ethiopia.

The project due for completion in 2018 is said to ease transport burdens for land locked Ethiopia which had been importing fuel from Djibouti by tanker trucks.

The Pipeline project includes an import facility and 950,000 barrels of storage capacity in Damerjog, Djibouti, linked to a storage terminal in Awash, Ethiopia.

The 20-inch (51-centimetre) line is capable of transporting 240,000 barrels a day of fuel.

The joint venture, whose cost to be shared between the two countries is said to boost economic ties between the two neighbours.

The two countries had invested billions of dollars to construct a numer of joint infrastructure including a recently completed railway linking the capitals of the two nations.

“The pipeline will increase energy security, aid economic development and reduce harmful emissions” said Brian Herlihy, Black Rhino chief executive officer.

In a statement, CEO of Mining, Oil & Gas Services Errol Gregor said the project, named as “the Horn of Africa Pipeline Mining”, will sustain the momentum of economic growth and growing fuel demand in both Djibouti and Ethiopia.

According to the International Monetary Fund (IMF), Ethiopia is among the 10 fastest growing economies in the world.

The horn of Africa’s nation which intends to join middle income countries by 2025 is spending billions of dollars to expand large infrustructure projects.

(ST)

Comments on the Sudan Tribune website must abide by the following rules. Contravention of these rules will lead to the user losing their Sudan Tribune account with immediate effect.

- No inciting violence
- No inappropriate or offensive language
- No racism, tribalism or sectarianism
- No inappropriate or derogatory remarks
- No deviation from the topic of the article
- No advertising, spamming or links
- No incomprehensible comments

Due to the unprecedented amount of racist and offensive language on the site, Sudan Tribune tries to vet all comments on the site.

There is now also a limit of 400 words per comment. If you want to express yourself in more detail than this allows, please e-mail your comment as an article to comment@sudantribune.com

Kind regards,

The Sudan Tribune editorial team.


The following ads are provided by Google. SudanTribune has no authority on it.



Sudan Tribune

Promote your Page too

Latest Comments & Analysis


Why Sudan’s interests lie U.S. delisting and normalization with Israel 2020-10-22 06:08:56 By: Trayo A. Ali How will the de-linking of the American process for removing Sudan from the State Sponsor of Terror (SST) list from its process of normalizing relations with Israel diminish the (...)

No to calls for anti-peace protests 2020-10-22 06:07:08 By Mahmoud A. Suleiman Some traditional Sudanese political parties have grown old and are crying out to demand that the Sudanese people go out on October 21, 2020, in a major demonstration to (...)

The 21 October March: Who is the Enemy? 2020-10-21 05:52:11 By Yasir Arman One of the main features of the December revolution is its vitality and the broad participation of women and youth, resistance committees, martyrs' families, forces from the (...)


MORE






Latest Press Releases


Sudan: Performing arts is not a crime, assaulting women and artists is! 2020-09-20 08:54:28 The Strategic Initiative for Women in the Horn of Africa (SIHA) Sudan is still struggling with militant Islamist ideology KHARTOUM: Central Khartoum Primary Court issued a verdict against five (...)

Civil Society Statement in Response to The Law of Various Amendments 2020-08-14 07:11:00 A Collaborative Civil Society Statement in Response to The Law of Various Amendments (Abolishing and Amending Provisions Restricting Freedom) – Exposing ‘a wolf in sheep’s clothing’ Sudanese women (...)

Remarks by SRF leaders at the Friend of Sudan meeting on peace 2020-08-13 07:58:58 Chairman of the Friends of Sudan Conference, Your Excellency, Minister of Foreign Affairs of the Kingdom of Saudi Arabia, The Prime Minister of Sudan and the participating team from the (...)


MORE

Copyright © 2003-2020 SudanTribune - All rights reserved.