Ethiopia Signs 4.2 Billion USD Mining Investment Agreements with Three Companies

Addis Ababa, March 13, 2026 (ENA)—Ethiopia’s Ministry of Mines has signed major mining investment agreements worth 4.2 billion USD with three companies to accelerate the development of the country’s iron ore, potash, and gold resources.

The agreements will enable the companies to launch large-scale mining operations in key mineral sectors as part of the government’s efforts to unlock Ethiopia’s vast and largely untapped mineral potential.

Under the deal, ZYTB DIM Metals and Minerals Manufacturing PLC, a joint venture between Ethiopian and Chinese investors, will undertake iron ore production, while Ethiopian Investment Holdings will lead the development of potash mining.

 

Bero Mining and Trading PLC will also engage in gold production.

The agreements were signed by Habtamu Tegegne, Minister of Mines, and representatives of the companies during a ceremony held in Addis Ababa on Friday.

Speaking at the event, Habtamu said the investments will play a key role in unlocking Ethiopia’s mineral wealth and strengthening the country’s industrial development.

“The mining sector mainly focuses on key areas including export and producing Ethiopia’s strategic inputs domestically such as fuel, fertilizer, iron, cement, ceramic and marble, with the aim of achieving self-sufficiency,” he said.

 

“In addition to producing for local consumption, exporting minerals such as gold, potash and other minerals is also a major focus area,” he added.

The minister emphasized that the newly signed agreements will make a significant contribution to developing the country’s vast mining potential and boosting the national economy.

Habtamu also reaffirmed the government’s commitment to supporting investors to ensure the successful implementation of the projects.

“We are committed to extending all the necessary support to investors to enable them to effectively carry out their mining investment activities,” he said.

 

The minister noted that Ethiopia has long relied on imports of iron ore to meet the needs of its industries, adding that local production will help reduce imports while creating new export opportunities.

Potash and gold production, he said, are also expected to mainly target international markets.

Chief Executive Officer of Ethiopian Investment Holdings, Brook Taye, recalled that several earlier attempts to develop Ethiopia’s potash resources had not succeeded.

 

“We are now well prepared to successfully undertake potash production,” he said.

President of the Board of ZYTB DIM Metals and Minerals Manufacturing PLC, Mulatu Teshome, said the iron ore project will bring major transformation to the sector.

“This iron ore production will make Ethiopia one of the leading iron ore producers in Africa within ten years by producing two million metric tons annually,” he said.

Similarly, Manager of Bero Mining and Trading PLC, Habte Fereja, said the gold mining project will strengthen the country’s mineral wealth and support the broader economy.

 

He added that the investment will significantly contribute to Ethiopia’s gold reserves while creating new economic opportunities.