Ruto Breaks Ground for Lamu Refinery as Dangote Sets 40 Month Deadline

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LAMU, Kenya- President William Ruto and Dangote Group President Aliko Dangote have broken ground for the Dangote East Africa Refinery in Lamu, with the Nigerian industrialist pledging to commission the facility within 40 months and establish a training school for local engineers.

The ceremony on Wednesday marked the launch of a project designed to process 700,000 barrels of crude oil daily and supply fuel to Kenya and neighbouring countries.

“We will come back to commission the Lamu Oil Refinery in 40 months,” Dangote said, setting a target that would place commissioning around January 2030.

The latest cost estimate given by Dangote is $16 billion, approximately Sh2.1 trillion. Earlier project announcements put the investment at Sh2.2 trillion.

Training school for engineers

Dangote placed skills development at the centre of his address, announcing plans for a school that would train 1,000 people for work linked to the project.

“We will set up a training school for those with engineering degrees and diplomas,” he said.

He argued that the refinery’s lasting contribution would include a workforce capable of delivering future infrastructure projects, reducing dependence on imported expertise.

“While we will deploy many engineers at the peak of construction, the true long-term value lies in local capacity building,” Dangote said.

“Moving forward, we will no longer need to rely on foreign labour from China or India to construct our infrastructure — we are training and empowering our own workforce right here.”

Opportunities beyond the refinery gates

Dangote said the project’s demand for labour, supplies and services would extend beyond Lamu, creating opportunities for surrounding counties and neighbouring countries.

He used the challenge of feeding a workforce of 60,000 to illustrate the scale of business opportunities associated with construction.

“When you build an industrial project of this scale, you do not simply construct a refinery — you build endless possibilities around it,” he said.

“Consider the local supply chain needed just to feed 60,000 workers; it will require support from surrounding counties and neighbouring nations.”

His remarks linked the employment promise to both construction work and the businesses needed to support the development. The figure should therefore not be read as a count of permanent refinery operating positions.

African leaders join Ruto in Lamu

Ugandan President Yoweri Museveni, Beninese President Romuald Wadagni, Togolese President Jean-Lucien Savi de Tové and Ethiopian Prime Minister Abiy Ahmed joined Ruto for the event.

Former Nigerian President Olusegun Obasanjo and representatives of other African governments were also present.

Dangote said the gathering reflected the need for African countries to take a greater role in developing industries that process the continent’s resources.

“Different countries have gathered in Lamu because Africa must industrialise Africa,” he said.

“We are not only breaking ground for a refinery, but also for a new chapter towards a brighter future. Our continent is rich in resources but poor in value creation and addition.”

Fuel production and electricity generation

The refinery is intended to reduce reliance on imported finished petroleum products while supporting related manufacturing industries.

Dangote also announced plans to generate 1,000 megawatts of electricity at the Lamu development and produce polypropylene and base oil alongside petroleum fuels.

The group has said the refinery would use crude from multiple sources, including regional producers and suppliers in the Middle East and the United States.

Regional governments have been offered a combined 30 per cent stake, with Dangote saying participating governments could spread their equity payments over four years.

Machinery already on site

The groundbreaking followed the arrival of approximately 2,930 metric tonnes of heavy construction machinery at Lamu Port aboard MV Da Yang on September 26.

During Wednesday’s ceremony, Dangote said more than 110 pieces of equipment were available for the project, with another 400 expected within 60 days.

Engineers India Limited has been awarded a $450 million engineering contract for the development.

The refinery is expected to increase industrial activity around Lamu Port and the Lamu Port–South Sudan–Ethiopia Transport corridor, known as LAPSSET.

Dangote draws on experience in Nigeria

Reflecting on the doubts that accompanied his earlier refinery ambitions, Dangote said the group had continued building despite criticism of the project’s scale.

“Where they saw obstacles, we saw possibilities; where they saw risk, we saw opportunity; and while they predicted failure, we delivered history,” he said.

He presented the Lamu development as an opportunity to apply the experience gained in Nigeria while building local technical capacity.

The ceremony took place with a dispute over part of the proposed project land still unresolved.

Salim Tima Swale and 132 other residents have challenged activities on land they claim in the Hindi/Manda Magogoni area. The Environment and Land Court in Malindi issued interim restrictions affecting

Joseph Muraya
Joseph Muraya
With over a decade in journalism, Joseph Muraya, founder and CEO of Y News, is a respected Communications Consultant and Journalist, formerly with Capital News Kenya. He aims to revolutionize storytelling in Kenya and Africa.

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