Dangote reveals why Lamu beat Mombasa, Tanga for Ksh2T oil refinery investment
Nigerian billionaire Aliko Dangote has revealed that Lamu emerged as the preferred location for his planned oil refinery after his group assessed sites in Kenya and Tanzania, with the availability of deep waters, sufficient land and other physical requirements tipping the decision in favour of the Kenyan coastal town. In an interview on a local […]
Nigerian billionaire Aliko Dangote has revealed the reasoning behind the selection of Lamu over Mombasa and Tanga for his proposed Ksh2 trillion oil refinery in Kenya. During a meeting in Nairobi with President William Ruto, discussions initially centered around fertilizer supply, leading to the consideration of a refinery project.
Dangote's team initially favored Tanzania due to the planned crude oil pipeline connecting Uganda to Tanga's port. However, upon evaluating physical requirements for constructing a large refinery, Lamu emerged as the most suitable location due to its deep waters, sufficient land, and other necessary physical conditions. The groundbreaking for the Dangote East Africa Refinery, estimated to process up to 700,000 barrels of crude oil daily, is set for September 30 in Lamu, with the project positioned within the LAPSSET corridor.
This refinery, larger than Kenya's previous Mombasa refinery, is expected to supply petroleum products to Kenya and East African markets. However, the project faces challenges such as securing crude feedstock and navigating a land dispute in Lamu, which has resulted in a court order for residents to maintain the status quo until an October 14, 2026, hearing.
Written by urgent.news from People Daily Kenya's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.