Dangote targets Erongo energy gateway
Nigerian industrialist Aliko Dangote plans to develop a more than 2 600 kilometres (km) fuel pipeline network across Southern Africa, with Namibia at the centre of a proposed distribution system linking several regional markets.
Dangote said the network, which he put at more than US$3.5 billion, would start in Namibia and extend through Botswana, with one line running towards South Africa and another through Zimbabwe and Zambia to the Democratic Republic of Congo (DRC).
The project forms part of Dangote's wider expansion of petroleum distribution infrastructure across Africa, including pipelines and storage facilities aimed at supplying landlocked markets.
Walvis Bay storage terminal
In Namibia, Dangote Industries Namibia has begun the environmental approval process for a proposed 1.6-million-barrel petroleum storage terminal at Walvis Bay.
The company has applied for environmental clearance to subdivide about 68 hectares of industrial land at Farm 58 for the development. The public notice puts the area at 678 912 square metres.
The current application covers the land subdivision. Construction of the storage facility would require a separate environmental impact assessment and approval.
The proposed terminal would store refined petroleum products for distribution in Namibia and regional markets.
Reuters reported in 2025 that Dangote planned to use the facility to supply petrol and diesel to Botswana, Namibia, Zambia and Zimbabwe, with southern parts of the DRC also under consideration.
The Namibian investment has been estimated at about US$140 million, according to National Planning Commission director general Kaire Mbuende. He said approximately N$2.6 billion had been earmarked specifically for the Namibian investment, which includes the tank farm and related infrastructure.
Pipeline network
Dangote initially proposed a pipeline of about 1 838km from Walvis Bay through Botswana to Bulawayo in Zimbabwe.
The latest plans are broader.
Dangote said the new network would cover between 2 620km and 2 650km. One line would run from Namibia through Botswana towards South Africa, while another would run through Zimbabwe and Zambia to the DRC.
The proposed network is intended to reduce reliance on road transport for moving petroleum products into landlocked markets.
Dangote has argued that fuel distribution costs are high in African markets where products have to be transported over long distances by road.
The proposed pipelines could reduce those transport costs, although the eventual effect on fuel prices would depend on factors including pipeline tariffs, storage costs, taxes, product prices and competition.
A wider African strategy
The southern African network forms part of Dangote's broader expansion of energy infrastructure across Africa.
Dangote has also outlined plans for additional energy infrastructure in East Africa, including a port, tank farms and a pipeline linking Somalia and Ethiopia.
He said the group's pipeline network across Africa could eventually approach 4 000km.
Dangote said the budget for the southern African pipeline project was more than US$3.5 billion.
The strategy combines refining capacity with storage and distribution infrastructure, allowing Dangote to supply markets beyond Nigeria.
The Dangote refinery in Lagos has a capacity of about 700,000 barrels a day, according to recent Reuters reporting.
Namibia's potential role
For Namibia, the proposed storage terminal could give Walvis Bay a larger role in the regional petroleum trade.
The port already serves as a logistics gateway for several landlocked countries in Southern Africa. Dangote has said Namibia's location makes it suitable as a distribution point for petroleum products destined for regional markets.
However, the project remains under development.
The current environmental process does not authorise construction of the storage terminal, while the wider pipeline network will require regulatory approvals and agreements across the countries through which it is planned to run.
If implemented, the projects would connect Dangote's Nigerian refining operations with storage and pipeline infrastructure serving several Southern African markets.
