KAMPALA, Uganda — Kenyan economist David Ndii has signaled fresh momentum behind the proposed East African regional oil refinery after high-level talks involving Ugandan President Yoweri Museveni and Nigerian billionaire industrialist Aliko Dangote.
Ndii announced on May 17 that the regional refinery project was “on course” following discussions held in Uganda, where regional leaders and investors are seeking to revive plans for a major integrated oil-processing hub in East Africa.
“EA Refinery is on course,” Ndii said in a statement shared on his X account alongside photographs of Museveni and Dangote during the meeting.
The remarks came shortly after Museveni confirmed he had met Dangote at Nakasero to discuss the proposed refinery, which is expected to become one of the continent’s largest energy infrastructure projects if implemented.
In a statement issued after the talks, Museveni said Uganda has consistently opposed exporting raw materials without value addition, arguing that refining crude oil locally would generate greater economic returns and industrial growth for the region.
“From the very beginning, we have always opposed the export of raw materials without value addition,” Museveni stated.
The Ugandan leader said Kampala had deliberately delayed commercial oil production to prioritize domestic refining capacity and industrial development.
He argued that exporting crude oil in raw form would deny East African countries the broader economic and strategic benefits associated with refining, petrochemicals, manufacturing, and energy security.
Museveni added that a larger regional refinery aligns with Africa’s economic integration agenda and would make major industrial investments more commercially viable through shared regional participation.
“If East Africa works together, such projects become more viable and beneficial to our people. Uganda is ready to support the regional refinery initiative while also continuing with the development of our own refinery in Hoima,” he said.
The proposed refinery is being championed by Dangote, whose Dangote Group developed the 650,000-barrel-per-day Dangote Refinery, currently regarded as Africa’s largest refinery.
Regional leaders, including President William Ruto, have previously backed discussions around a cross-border refinery aimed at reducing dependence on imported petroleum products, particularly from the Middle East.
The East African refinery proposal seeks to process crude oil from Uganda, Kenya, South Sudan, and the Democratic Republic of Congo while supplying refined fuels and petrochemical products across the region.
Preliminary plans indicate the refinery could initially match the production capacity of Dangote’s Nigerian plant at about 650,000 barrels per day, with expansion potential exceeding one million barrels daily.
The estimated cost of the project ranges between $15 billion and $20 billion (about Sh1.9 trillion to Sh2.6 trillion), making it one of the most ambitious industrial undertakings in East Africa.
