Groundbreaking for the proposed Lamu Oil Refinery, backed by Africa’s richest man Aliko Dangote, is officially scheduled for September 30.
Dangote confirmed the date on Thursday, September 3, while addressing investors and analysts during a visit to Botswana, solidifying timeline expectations for the landmark megaproject.
The Ksh2.59 trillion ($20 billion) refinery and petrochemical complex is designed to process regional crude and serve fuel markets across East Africa. According to President William Ruto’s chief economic adviser, David Ndii, the region could supply over 600,000 barrels of crude oil per day to the facility. This includes an estimated 350,000 barrels per day from South Sudan, 250,000 from Uganda, and 120,000 from Kenya.
Regional Ownership and Equity Stake
Dangote has offered East African nations a combined 30 percent equity stake in the project, valued at Ksh194.21 billion ($1.5 billion).
Under the proposed arrangement, Kenya has been allocated a 10 percent stake worth Ksh64.74 billion ($500 million). Neighboring nations, including Ethiopia and Rwanda, have also expressed strong interest in taking up portions of the remaining regional equity.
Beyond the refinery itself, the Kenyan government plans to develop a broader industrial hub in Lamu. The expansive project will incorporate a 1,000-megawatt power plant and a Special Economic Zone (SEZ) to drive regional manufacturing and trade.
