Construction of the planned KSh2 trillion Dangote oil refinery in Lamu, Kenya, is expected to begin on September 30, 2026.
Dangote Group chairman Aliko Dangote announced the planned start date during his visit to Southern Africa.
The Lamu refinery is part of Dangote Group’s plans to expand its business into East Africa. The facility is expected to be similar to Dangote’s major refinery in Lagos, Nigeria.
According to the plans, the Lamu facility could have the capacity to process about 700,000 barrels of crude oil per day once completed.
Refinery to serve Kenya and neighbouring countries
The project is expected to produce refined petroleum products for the Kenyan market and other countries in the region.
The targeted markets include Uganda, Tanzania, South Sudan and the Democratic Republic of Congo (DRC).
If completed as planned, the refinery could reduce reliance on imported refined petroleum products and strengthen Kenya’s position as a regional energy hub.
Project cost revised to KSh2 trillion
The estimated cost of the Lamu refinery has been reduced from KSh2.2 trillion to KSh2 trillion.
About 70 percent of the project is expected to be financed through debt, while the remaining amount will come from shareholders.
The project is expected to be one of the largest planned investments in Kenya’s energy sector.
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