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Breakaway Somaliland Proposes Energy Pipeline for Ethiopia

  • Somaliland presents challenge to Djibouti’s plan for conduit
  • Government leveraging its strategic location in Horn of Africa
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A self-declared republic in Somalia asked Ethiopia to reroute its nascent oil and gas exports via a proposed new pipeline, challenging Djibouti’s long-held plans for a conduit.

The overture from Somaliland comes as Ethiopia begins exploiting an estimated 8 trillion cubic feet of natural gas and test-drilling for oil in its restive east. It’s the latest bid by the Somali territory, which has sought statehood for almost three decades and plans its own crude output, to leverage its strategic location near the Red Sea to attract major foreign infrastructure projects.