NAIROBI, Kenya — Africa’s richest man Aliko Dangote has set September 30, 2026, as the date for the groundbreaking ceremony of the proposed Lamu Oil Refinery, paving the way for construction of the multibillion-dollar project expected to serve energy markets across East Africa.
Dangote confirmed the date on Thursday, September 3, while speaking to investors and analysts during a visit to Botswana.
“We are launching it on September 30,” Dangote was quoted as saying by Reuters.
The announcement provides the first specific date for the launch after reports last month indicated that the refinery project was expected to break ground in September.
$20 billion refinery targets East African market
Dangote has offered East African countries a 30pc equity stake in the project, potentially allowing regional governments to participate directly in the refinery and petrochemical complex.
Kenya has been offered a 10pc stake valued at Sh64.74 billion ($500 million), according to President William Ruto’s economic adviser David Ndii.
Ethiopia and Rwanda have also expressed interest in participating, potentially accounting for the remaining regional stake.
If the full 30 per cent allocation is taken up, the East African share would be worth about Sh194.21 billion ($1.5 billion).
The proposed regional ownership structure is intended to align the refinery with the energy needs of countries that currently depend heavily on imported petroleum products.
Ndii projects 600,000 barrels of regional crude
The project’s viability will partly depend on access to sufficient crude oil supplies from the region.
Ndii has estimated that East African producers could collectively provide more than 600,000 barrels of crude oil per day for the proposed refinery.
According to the estimates, South Sudan could supply about 350,000 barrels per day, while Uganda could provide about 250,000 barrels and Kenya about 120,000 barrels per day.
The figures point to the potential for the refinery to draw crude from several producers, reducing reliance on a single source of feedstock.
However, actual supply volumes will depend on production levels, infrastructure, commercial agreements and the development of pipelines and other logistics required to transport crude to Lamu.
Kenya plans wider Lamu industrial hub
The refinery is expected to form part of a wider industrial complex that the Kenyan government plans to develop around the Lamu project.
The proposed investments include a 1,000-megawatt power plant and a special economic zone designed to support manufacturing, storage and logistics activities.
The government sees the wider development as an opportunity to transform Lamu into a major energy and industrial hub serving Kenya and neighbouring countries.
The combination of refining, petrochemicals, electricity generation, manufacturing and logistics is expected to create demand for supporting businesses and infrastructure around the project.
Ruto projects 60,000 jobs
The government also expects the investment to stimulate economic activity in Lamu County through construction, manufacturing, transport, logistics and other businesses linked to the industrial complex.
For Lamu, the project represents a potentially significant shift in the county’s economic profile, with the government seeking to expand economic activity beyond traditional sectors.
The scale of the proposed investment also places the project among the most ambitious industrial developments currently being pursued in Kenya.
