- The CEO of EPSE stated that this new oil depot is to cover an area of 16,000 square meters.
- There has been a need to expand and construct oil infrastructure, including terminals, storage tank farms, and pipelines.
Ethiopian Petroleum Supply Enterprise (EPSE) has made compensation payments to the Dire Dawa city administration for the construction of the country’s 14th oil depot.
Esmlealem Mihertu, CEO of EPSE, stated that this new oil depot is expected to cover an area of 16,000 square meters with a capacity of 300 million litres. The total investment for the project is to exceed $150 million.
Also, the EPSE is a government development company registered at the national level. EPSE, the sole fuel supplier, has been placed under the supervision of Ethiopian Investment Holdings
As the national oil demand has grown in tandem with the economy, there has been a need for expanding and constructing oil infrastructure, including terminals, storage tank farms, pipelines, and other logistical facilities.
Mihertu explained that the primary purpose of the depot in Dire Dawa is to facilitate operational activities. It will serve as a hub where unloading and, subsequently, distribution of oil from Djibouti to different parts of the country.
Furthermore, Ethiopian Investment Holdings (EIH) has signed a Memorandum of Understanding (MoU) with a company called AD Port to jointly implement the project in Dire Dawa.
Meanwhile, Mihertu emphasised that the new project will significantly increase the country’s oil capacity and enable additional activities, as it has the potential to hold twice the number of existing depots. The company said the design and investment study is ready, and the land handover is keeping the project from starting.