Dangote Industries Limited has disclosed that its planned oil refinery in Kenya will have the capacity to refine 700,000 barrels of crude oil per day, as part of the group’s wider strategy to expand its energy footprint across Africa.
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The company said the proposed East African refinery is expected to serve Kenya and other markets in the region, including Tanzania, Uganda and South Sudan, while reducing dependence on imported refined petroleum products.
Dangote Group disclosed this in a statement following a visit by a delegation from the Republic of the Congo’s national oil company to the Dangote Petroleum Refinery in Lagos on July 1.
The Group Vice President for Oil and Gas at Dangote Industries, Devakumar Edwin, said the company’s expansion plan would see 1.4 million barrels refined daily in Nigeria and another 700,000 barrels refined in Kenya.
According to him, the combined refining capacity of the group would rise to 2.1 million barrels per day when the Kenyan project comes on stream.
The proposed refinery is part of Dangote Group’s plan to deepen its presence in Africa’s oil and gas sector and strengthen regional fuel security.
The move comes months after the President of Dangote Group, Aliko Dangote, disclosed plans to establish another major refinery in East Africa.
The refinery was initially expected to be located at Tanga Port in Tanzania, but Dangote later shifted attention to Kenya, particularly Mombasa and Lamu ports.
The shift was reportedly influenced by maritime practicality, stronger infrastructure, market demand and the strategic importance of Kenya’s ports.
Dangote later added Lamu as one of the possible sites for the multibillion-dollar refinery, although the final location is yet to be determined.
Kenyan President William Ruto had earlier indicated that governments in the East African region would also invest in the planned refinery.
Kenya is expected to provide seed capital of Ksh 21.5 billion towards the project.
The refinery, estimated at about Ksh 2.5 trillion, is expected to serve Kenya, Tanzania, Uganda, South Sudan and other East African markets.
The project is also expected to help cushion the region from global supply disruptions by reducing reliance on imported refined fuel.
If completed, the Kenyan refinery would become a major addition to Africa’s refining capacity and further position Dangote Group as one of the continent’s leading players in petroleum refining and energy infrastructure.
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