NAIROBI, Kenya — Nigerian billionaire industrialist Aliko Dangote has announced plans to build a major oil refinery in East Africa, signalling a potential shift in the region’s energy landscape.
Speaking at the Africa We Build Summit 2026 in Nairobi, Dangote said the proposed facility would be located in Tanga, Tanzania, and linked to Kenya through a pipeline connecting to Mombasa.
The project, he said, would allow refined petroleum products to flow into the existing network operated by Kenya Pipeline Company, enhancing regional fuel distribution.
Dangote committed in the presence of President William Ruto and Uganda’s President Yoweri Museveni, but emphasised that the project hinges on strong political and regulatory support.
“If they will support the refinery, we’ll build an identical one to the one we have in Nigeria,” he said.
The planned facility would mirror the Dangote Oil Refinery in Lagos, a $20 billion plant with a processing capacity of over 650,000 barrels per day.
Dangote said the Nigerian refinery is being expanded to reach 1.4 million barrels per day, potentially making it the largest globally.
If replicated in East Africa, the refinery would produce diesel, petrol, and jet fuel locally, reducing the region’s reliance on costly imports that have contributed to high fuel prices and inflationary pressure.
The proposal aligns with broader investment ambitions by the Dangote Group, which has outlined a $40 billion (Sh5.17 trillion) investment plan through 2030 across petrochemicals, fertilisers, and industrial inputs.
Dangote also used the platform to criticise Africa’s economic structure, arguing that the continent continues to lose value by exporting raw materials instead of finished goods.
“We are a continent of imports, and we’re not really exporting much,” he said, linking the issue to broader challenges, including industrial underdevelopment and labour migration.
He added that the East African refinery would form part of a wider strategy to boost industrial capacity, including plans to achieve fertiliser self-sufficiency across Africa by 2028.
The announcement comes as regional governments intensify efforts to secure energy independence. President Ruto recently signalled Kenya’s intention to invest in Uganda’s refinery project in Hoima, estimated at $4 billion (Sh500 billion), in a bid to strengthen regional energy integration.
