Dangote announces arrival of 400 more equipment units for Sh2.2tn Lamu refinery

LAMU, Kenya, Sep 30 – Nigerian billionaire Aliko Dangote has announced plans to bring in an additional 400 units of equipment within the next 60 days as construction of the Sh2.2 trillion East Africa Oil Refinery in Lamu gets underway.

Dangote said the additional equipment would support the development of the planned refinery as the project moves into the construction phase.

The announcement comes as the Port of Lamu prepares to handle more specialised cargo for the mega project. Earlier this week, a vessel delivered 2,930 metric tonnes of heavy construction machinery destined for the refinery, marking an early milestone ahead of the project’s groundbreaking.

The planned refinery, backed by Dangote Group, is designed to process up to 700,000 barrels of crude oil per day, making it one of the largest refining projects on the continent. The facility is expected to supply refined petroleum products to Kenya and markets across East Africa.

Dangote has also said the Lamu project will generate more than 60,000 jobs at the height of construction and related activities, with the wider economic ecosystem expected to create opportunities across engineering, logistics, manufacturing and other sectors.

He has said the company intends to train Kenyans to take up opportunities created by the project.

The planned investment is also expected to support the development of related industries, including petrochemicals and other manufacturing activities around the refinery.

The latest equipment announcement follows the arrival of the MV Da Yang Bai He at Lamu Port carrying more than 2,930 metric tonnes of construction cargo.

Kenya Ports Authority officials said the successful handling of the heavy machinery demonstrated the port’s capacity to receive the specialised cargo expected during construction of the refinery.

The equipment is expected to be followed by additional shipments as construction progresses, increasing activity at Lamu Port and along the logistics chain supporting the project.

The refinery is being positioned as a major regional energy project, with its planned 700,000-barrel-per-day capacity expected to provide refined petroleum products for Kenya and neighbouring countries.

The facility is intended to reduce the region’s reliance on imported refined petroleum products while supporting industrial development around the Lamu Port and the wider LAPSSET corridor.

However, questions remain over the long-term supply of crude oil required to operate a refinery of the planned scale. Analysts have noted that Kenya’s projected domestic crude production would not be sufficient to meet the facility’s full requirements, meaning the refinery would need to source substantial volumes from other regional and international suppliers.

The project has also faced legal challenges linked to land ownership and compensation, although Dangote has maintained that the project will proceed.

With the first heavy machinery already delivered and another 400 equipment units expected within 60 days, the project is entering a critical phase as Dangote Group moves to establish the infrastructure for what is planned as East Africa’s largest oil refinery.