Addis Ababa, Sept. 22, 2018 — Prime Minister Abiy Ahmed inaugurated the first phase of Ethiopia’s Ogaden LNG Project in the Somali Region, marking one of the country’s most ambitious undertakings in energy and industrial development. The initial stage will produce 111 million liters of liquefied natural gas (LNG) annually, with plans for a dramatic expansion to 1.33 billion liters per year under the project’s second phase.
A Strategic Energy Pivot
Ethiopia, which has long relied on hydropower as the backbone of its electricity supply, is seeking to diversify its energy sources. The Ogaden project is designed not only to supply LNG but also to deliver a 1,000 megawatt boost to the national grid, complementing hydropower dams like the Grand Ethiopian Renaissance Dam (GERD). By integrating LNG into the mix, the government aims to bolster energy security and reduce seasonal fluctuations tied to rainfall.
Beyond LNG: Fertilizer and Food Sovereignty
In his remarks, Prime Minister Abiy underscored that the LNG project is more than an energy venture. By linking natural gas production to fertilizer manufacturing, the project is positioned as a cornerstone of Ethiopia’s food security agenda. Fertilizer is a critical input for Ethiopian agriculture, and the project could reduce reliance on costly imports, which currently strain the country’s foreign currency reserves.
“The Ogaden LNG Project is not just about gas production; it is about sovereignty — in food, in energy, and in industry,” Abiy said.
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