Aliko Dangote, President of Dangote Industries Limited, 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. 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, according to a senior executive who spoke on Tuesday, July 7.
Lamu Selected After Months of Speculation
The announcement ends 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. 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.
Impact on East Africa's Fuel Market
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 believe the investment will promote regional energy integration, create employment opportunities, stimulate infrastructure development, and strengthen 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. Additionally, 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. 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
Earlier, Legit.ng 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 is 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.
