After Nigeria Success, Aliko Dangote Confirms Site for New Refinery, Sets Completion Date
- Aliko Dangote said that Dangote Industries would complete its new refinery in Lamu, Kenya, within 30 months
- The refinery was expected to improve fuel supply in East Africa and reduce the region's dependence on imported petroleum products
- The company also outlined plans to expand its Lagos refinery to 1.4 million barrels per day by 2028 and list it on the Nigerian Exchange
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
President of Dangote Industries Limited, Aliko Dangote, has confirmed that the company's planned oil refinery in Kenya will be completed within 30 months, marking another major step in its expansion across Africa.
According to The Sun, a senior executive of the conglomerate disclosed on Tuesday, July 7, that the new facility will be built in the coastal town of Lamu and will mirror the design of the 650,000 barrels-per-day Dangote Petroleum Refinery in Lagos.
Source: UGC
Edwin Devakumar, Vice President of Oil and Gas at Dangote Industries, said the investment is expected to strengthen the company's presence in East Africa while improving regional energy security and fuel availability.
Dangote Refinery: Lamu selected after months of speculation
The announcement puts an end to months of uncertainty over the refinery's location. Tanzania had been widely considered a leading option, while Dangote had earlier mentioned Mombasa as a possible site before settling on Lamu in Kenya's northern coastal region.
The refinery project forms part of Dangote Industries' long-term strategy to expand its investments across Africa in sectors such as energy, cement, fertiliser, manufacturing and infrastructure.
Once operational, the refinery is expected to reduce East Africa's dependence on imported refined petroleum products, improve fuel supply across the region and support industrial growth in Kenya and neighbouring countries.
Industry experts also believe the investment will promote regional energy integration, create employment opportunities, stimulate infrastructure development and strengthen the Dangote Group's position as one of Africa's largest industrial investors.
Dangote refinery reshaping Africa's fuel market
The expansion into Kenya comes as the Dangote Petroleum Refinery in Lagos continues to transform Nigeria's downstream oil sector.
Since commencing operations in 2024, the facility has significantly reduced Nigeria's reliance on imported petroleum products by boosting local refining capacity.
The refinery has also emerged as a key exporter of refined products, supplying aviation fuel to customers in the United States, Europe and Brazil.
In addition, the company recently exported 12 cargoes containing about 456,000 tonnes of petroleum products to several African countries, including Côte d'Ivoire, Cameroon, Tanzania, Ghana and Togo, further expanding its footprint in regional energy trade.
Expansion plans continue in Nigeria
Beyond its Kenyan investment, Dangote Industries is pursuing a major expansion of its flagship refinery in Lagos.
Source: Getty Images
The company aims to increase the refinery's processing capacity from 650,000 barrels per day to 1.4 million barrels per day by 2028, a move that could make it the world's largest refinery.
Dangote also plans to list the refinery on the Nigerian Exchange next year, allowing investors to own shares in one of Africa's biggest industrial projects while supporting the company's next phase of growth.
Dangote to sell 10% of refinery via IPO
Meanwhile, Legit.ng earlier reported that Dangote unveiled plans to sell a 10% stake in his $20 billion refinery through a Pan-African Initial Public Offering (IPO) expected in 2026.
The proposed listing was designed to broaden investor participation across the continent while strengthening Africa’s capital markets.
Dangote noted that the offering would also support long-term funding needs for the group’s expanding industrial footprint.
Proofreading by Funmilayo Aremu, copy editor at Legit.ng.
Source: Legit.ng
