Ethiopia, Chinese Firm Ink Gas Commercialisation Deal

Apr 25 , 2020


[ssba-buttons]

The Ministry of Mines & Petroleum and the Chinese POLY-GCL Petroleum Investment have signed a gas commercialisation agreement, which will ensure the planned fertiliser plant in Dire Dawa is supplied with ammonia. The agreement, which was signed on the premises of the Ministry on April 24, 2020, grants POLY-GCL the right to commercialise four trillion cubic feet of gas for both the local and international markets. Half of the gas will be supplied to the fertiliser plant, which Morocco’s Office Cherifien des Phosphates (OCP), the world’s largest phosphate exporter, and the state-run Chemical Industries Corporation agreed to build in Dire Dawa for 3.7 billion dollars. The agreement was signed four years ago. The remaining will be made available to the international market through a pipeline stretching from Ethiopia to Djibouti and later converted to liquified natural gas (LNG) at a natural gas processing plant to be built in Djibouti. POLY-GCL has been extracting natural gas at Calub, Hilala and Shilabo sites in the Ogaden area in the Somali Regional State. The plant is expected to convert 215 million cubic feet of natural gas to LNG daily. The project is expected to generate six billion dollars over 20 years. The area has a reserve of eight trillion cubic feet of gas.


Radar

Construction Sector Faces 'Serious Trouble,' Minister Warns

The construction industry in Ethiopia is in "serious trouble," said Chaltu Sani, Minister of Urban & Infrastructure Development, citing major challenges with finance, competitiveness and material costs. Speaking at the opening of the BIG 5 Construct Ethiopia expo and the inaugural East African Infrastructure & Water Expo at Millennium Hall last week, Chaltu stressed the need for concerted efforts from government, private sector, and international partners to support the 67 billion dol...


Radar

Wegagen Bank, Gift Real Estate Partner to Promote Diaspora Homeownership

Wegagen Bank S.C. and Gift Real Estate Plc. signed a Memorandum of Understanding (MoU) on June 23, to offer housing loans for homebuyers, with a special focus on the Ethiopian diaspora. The agreement enables eligible diaspora members to access loans covering up to 80pc of a home's value at reasonable interest rates. The bank's Deputy CEO Kidane Gebreselassie noted the deal will promote the real estate sector and expand homeownership options. Founder and CEO of Gift Real Estate, Gebreyesus Igata...


Radar

Jimma University Signs Sports Science Agreement to Strengthen National Programmes

Jimma University has signed a four-party Memorandum of Understanding (MoU) with the Ethiopian Academy of Sciences, Derartu Tulu Sports Training & Research Institute, and the Oromia Youth & Sport Bureau to advance Ethiopia's sports science and training capacity. Signed on June 26, the agreement includes joint research, shared facilities, and hosting of national and international competitions. It is expected to strengthen youth development, public health, and national pride through coor...