Calub, Somali Region — Ethiopian Prime Minister Abiy Ahmed on Thursday inaugurated the first phase of the long-awaited Ogaden Liquified Natural Gas (LNG) Project, marking a defining moment in the country’s energy and industrial ambitions.
The initial phase of the project, located in Calub, boasts an annual production capacity of 111 million liters of LNG. Simultaneously, Abiy launched construction of the second phase, which is expected to deliver an additional 1.33 billion liters of LNG per year once completed.
But the facility’s impact extends well beyond gas extraction. Designed as an integrated industrial complex, it will generate up to 1,000 megawatts of electricity, powering both national demand and energy-intensive sectors such as cryptocurrency mining. It will also serve as a strategic input provider for fertilizer production — a crucial pillar in Ethiopia’s bid for food sovereignty.
“This is not just a gas plant,” Abiy declared during the launch. “It is a cornerstone of our economic independence, supporting agriculture, energy security, and technological advancement,” he added.
The Ogaden megaproject forms part of a broader USD 10 billion investment package unveiled in the Somali Region, including supporting infrastructure for transport, power transmission and processing.
Abiy vowed that the initiative — long delayed by past instability — would reach completion under his watch.
“We have always finished what we started, and this project will be no exception,” he asserted.
The development positions Ethiopia as a future energy exporter while offering a transformative economic lifeline to the historically marginalized Somali Region.