Dangote to hold Lamu Oil Refinery Groundbreaking ceremony in September

Dangote Group is scheduled to hold a groundbreaking ceremony for its proposed oil refinery in Lamu, Kenya on September 30, 2021, signaling a significant expansion of the industrial conglomerate's refining capabilities beyond Nigeria. During an investor briefing in Botswana, Dangote Group Chairman Aliko Dangote revealed the project would be developed jointly with East African governments.

"We are launching it on September 30," Dangote affirmed. The anticipated refinery on Kenya's coastline is projected to take up to three years to build and will provide refined petroleum products to Kenya and neighboring nations, aiming to lessen the region's dependence on imported fuels. This project is poised to become Dangote Group's largest refining investment outside Nigeria, reflecting the company's ongoing efforts to broaden its energy business footprint across Africa.

Dangote announced this development as he also disclosed plans to offer shares in the group's Nigerian refinery via an initial public offering within the next 10 to 12 days. The IPO is aimed at raising approximately $5 billion, potentially positioning it as Africa's largest public offering. Additionally, Dangote disclosed that the Nigerian refinery is set to double its capacity from 650,000 barrels per day to 1.4 million barrels per day, with the existing facility already achieving full nameplate capacity in February and recently testing production at 700,000 barrels per day.