Market Intelligence
Dangote to Construct $17 Billion Crude Oil Refinery in Kenya
A planned 700,000 barrel-per-day refinery on Kenya's Lamu Island will process crude for domestic use and neighboring East African markets.
Nigerian industrialist Aliko Dangote has reached an agreement to build a 700,000-barrel-per-day crude processing plant on Kenya's Lamu Island. The infrastructure venture is valued at approximately $17 billion, or 2.2 trillion Kenyan shillings.
The plant is designed to handle crude oil not only for Kenya but also for regional neighbours including Uganda, Rwanda, Burundi, South Sudan, and the Democratic Republic of the Congo. Upon completion, the asset will stand as the second-largest oil refinery in Africa, trailing only the Dangote refinery in Nigeria.
East Africa's current regional demand for refined fuel sits at around 450,000 barrels per day. The planned output from the Lamu Island facility will comfortably exceed that threshold, creating a substantial surplus to supply wider markets.
Source attribution
This report was written by the Global Freight editorial desk based on material published by OilPrice.com. It is an original summary and analysis, not a reproduction of the source text. Figures and claims are limited to those present in the source material.
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