DAMERJOG, Djibouti — Fuelstor, a strategic energy and logistics infrastructure company owned by Salaam Group, has broken ground on a $160 million multi-product terminal in Damerjog.
The high-stakes investment is designed to anchor Djibouti’s position as the primary energy and logistics artery for East Africa.
The facility represents a DJF 30 billion capital injection and spans 22 hectares. It is engineered as an integrated platform for the storage, trading and redistribution of fuel, liquefied petroleum gas and edible oil.
Salaam Group, the primary force behind the initiative, maintains a diverse portfolio that includes Salaam Bank Uganda, Salaam Investment Bank, Salaam Microfinance Bank in Kenya, and operations in South Sudan and Malaysia.
With a projected capacity of 400,000 metric tons, the terminal arrives at a critical juncture for regional supply chain security. The project signals a shift toward sophisticated multimodal infrastructure, leveraging Djibouti’s strategic maritime access to serve the growing inland demand in Ethiopia and the wider Horn of Africa.
This project represents a defining milestone for Fuelstor and a significant step forward for the region’s energy and logistics landscape, said Houssein Ahmed Houmed, general manager of Fuelstor. He added that the Fuelstor Terminal is uniquely positioned to become a key gateway connecting global supply markets to growing demand across East Africa.
The construction phase, led by the international engineering firm Somagec, is expected to catalyze local economic activity and create hundreds of jobs. For Djibouti, the terminal is more than an industrial site; it is a centerpiece of the national ambition to modernize the logistics ecosystem and provide a resilient buffer against global supply fluctuations.
Once operational, the terminal will integrate logistics and trading capabilities to streamline the flow of essential commodities across the continent’s most active trade routes.
