Ethiopian Investment Holdings (EIH), the government’s strategic investment arm, has signed a landmark shareholders’ agreement with Dangote Group to develop a \$2.5 billion urea fertilizer production complex in Gode, Somali Regional State. Under the agreement, EIH will hold a 40% stake while Dangote maintains 60% ownership.

The project will create one of the world’s largest single-site urea fertilizer facilities, with an annual production capacity of three million metric tons, placing Gode among the top five global urea producers. Construction is expected to be completed within 40 months and will include infrastructure to transport natural gas from Ethiopia’s Calub and Hilala fields.

The complex will also support the production of ammonia-based fertilizers such as ammonium nitrate, ammonium sulfate, and calcium ammonium nitrate, aiming to position Ethiopia as a regional hub for fertilizer manufacturing.

Aliko Dangote, Chairman of Dangote Group, said: “This partnership represents a pivotal moment in our shared vision to industrialize Africa and achieve food security across the continent. Ethiopia’s natural gas resources make Gode an ideal location for what will become one of the world’s largest fertilizer complexes.”

Dr. Brook Taye, Chief Executive Officer of Ethiopian Investment Holdings, added: “Securing a 40% stake in this project marks a significant milestone for Ethiopia’s industrial and agricultural ambitions. The complex will enhance food security, support farmers, and strengthen the country’s position in the regional fertilizer market.”

The investment is expected to reduce Ethiopia’s dependence on imported fertilizers and generate thousands of jobs locally. The partnership combines Dangote’s experience in large-scale industrial projects with EIH’s local market knowledge, regulatory expertise, and strategic investment role.