LAMU
Kenya has broken ground on the $16 billion Dangote East Africa Petroleum Refinery and Petrochemicals project in Lamu, with several African leaders attending a ceremony marking the start of construction of the planned industrial complex Wednesday.
Kenyan President William Ruto said the KSh2.2 trillion ($16 billion) project, being developed with Nigerian industrialist Aliko Dangote, represents a major step in Kenya’s efforts to expand domestic manufacturing, attract investment and strengthen regional energy security.
Ugandan President Yoweri Museveni, Benin’s Romuald Wadagni, Togo’s Jean-Lucien Savi de Tové and Ethiopian Prime Minister Abiy Ahmed attended the groundbreaking ceremony. Former Nigerian President Olusegun Obasanjo and representatives of other African governments were also present.
Ruto described the refinery as part of a broader effort to change Africa’s economic model by processing more of the continent’s raw materials locally rather than exporting them and importing finished products.
“This is Africa coming together to build Africa. Today we are not simply breaking ground for a refinery; we’re breaking ground for a new chapter in Africa’s industrial journey,” Dangote said.
“For too long, Africa has exported raw materials and imported finished products, exporting wealth and jobs,” Ruto said. “We are firm in our determination to reverse this trend.”
60,000 Direct Jobs
The Kenyan president said the project is expected to attract an additional $4 billion in foreign direct investment annually during its four-year construction period and create 60,000 direct jobs.
He also said it would help develop local expertise and accelerate the transformation of the Lamu Port-South Sudan-Ethiopia Transport Corridor, known as LAPSSET, into a major industrial hub.
Ruto said the project would boost Kenya’s economy by 12%, although he did not specify the measure or time frame used for that projection.
The planned development extends beyond oil refining. According to Ruto, the integrated industrial complex will include a 1,000-megawatt power plant, a plastics factory and facilities for manufacturing fertilizers and chemicals.
The refinery is planned to have capacity to process 700,000 barrels of oil a day. Ruto said that would make it the largest refinery in East and Central Africa and one of the largest globally.
The project is also intended to reduce dependence on imported petroleum products, improve regional energy security and ease pressure on foreign exchange reserves, according to the president.
The presence of African leaders and senior government delegations at the ceremony reflects the project’s regional ambitions. Ruto said its economic impact was expected to extend beyond Kenya’s borders and contribute to greater industrial integration across the continent.
Ruto described the groundbreaking as a turning point in efforts to reshape Africa’s industrial future by converting the continent’s resources into higher-value products closer to home.
