LAMU, KENYA – Nigerian industrialist Aliko Dangote and Kenyan President William Ruto officially broke ground on a $16 billion (£12 billion) oil refinery in Lamu on Kenya’s northern coast, establishing the largest industrial project by capacity in East Africa.
The mega-facility is engineered to process up to 700,000 barrels of crude oil per day upon completion, serving as a regional processing hub to supply gasoline, diesel, and jet fuel across East Africa. The complex is also slated to integrate a 1,000-megawatt power generation facility alongside fertilizer and chemical manufacturing plants.
Ahead of the groundbreaking ceremony attended by regional heads of state and international dignitaries tensions escalated locally as groups of residents staged demonstrations demanding fair compensation for ancestral lands reallocated for the project. Additionally, a petition filed by 133 local residents seeking to halt construction activities remains under judicial review.
Addressing concerns over land rights and local benefit during an interview with BBC News, Dangote dismissed the protests, emphasizing that his conglomerate acquired site access through official government land allocations and projecting substantial local job creation during construction.
Addressing critics who questioned locating a major refining operation in a non-oil-producing nation, energy officials and Dangote cited international trading models like Singapore, noting that global open markets allow refineries to source crude flexibly to ensure regional fuel security and price stability.
