May 18, (THEWILL) — Africa’s richest man, Aliko Dangote, has increased the planned investment in his proposed fertiliser plant in Ethiopia to more than $4 billion, nearly doubling the original project estimate and reinforcing his push to expand industrial operations across Africa.
The development was disclosed by Dangote Group in a statement issued on Sunday, following Dangote’s visit to Ethiopia, where he met with Prime Minister Abiy Ahmed and inspected the project site in the country’s eastern Somali region.
The fertiliser project, first announced in 2025, was initially valued at about $2.5 billion. However, Dangote Group said the investment scope has now been significantly expanded to include major supporting infrastructure designed to improve energy supply, logistics and downstream production.
According to the company, the upgraded investment plan now covers a 110-kilometre gas pipeline, a 120-megawatt power plant, a polypropylene packaging facility and a two-million-tonne NPK blending plant.
“The increase in investment from $2.5 billion to over $4 billion reflects the expanded scope of the project”, the company stated.
The fertiliser plant is expected to produce about three million metric tonnes of urea annually, positioning Ethiopia as a major fertiliser production hub in East Africa while reducing dependence on imports.
Prime Minister Abiy Ahmed described the project as strategic to Ethiopia’s agricultural transformation, noting that it would strengthen food security, create jobs and support long-term economic growth.
Under the partnership agreement signed last year, Dangote Group will hold a 60 percent stake in the project, while state-owned Ethiopian Investment Holdings will own the remaining 40 percent.
The project also received a major boost earlier this year when Dangote Industries Limited signed a $4.2 billion natural gas supply agreement with GCL Group to guarantee long-term energy supply for the facility.
The expansion highlights Dangote’s growing industrial ambitions beyond Nigeria, where he is also scaling up the capacity of the Dangote Petroleum Refinery in Lagos and exploring new refinery opportunities in East Africa.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
