Dangote eyes Kenya’s Mombasa for $15 billion mega-refinery, ending East Africa’s fuel import dependence
NAIROBI, May 11 (Reuters) — Africa’s richest man, Aliko Dangote, is leaning toward Kenya’s port city of Mombasa as the site for a massive new oil refinery that would end East Africa’s reliance on imported fuel from the Middle East, the Financial Times reported on Sunday.
The proposed 650,000-barrel-per-day facility would mirror Dangote’s world-record Nigerian refinery, which currently exports refined products across Africa. The project is estimated to cost between $15 billion and $17 billion.
“I’m leaning more towards Mombasa because Mombasa has a much larger, deeper port,” Dangote said in the interview, according to Reuters. He compared Kenya’s Indian Ocean gateway favorably to Tanzania’s Tanga port, noting that “Kenyans consume more. It’s a bigger economy.”
The announcement follows Kenyan President William Ruto’s statement last month that East African nations were discussing plans for a joint oil refinery at the Tanzanian port of Tanga, modeled on Dangote’s Nigerian operation.
Strategic shift for energy-dependent region
East Africa currently imports all of its refined petroleum products — primarily from the Middle East — leaving the region vulnerable to supply disruptions and price spikes witnessed during the recent U.S.-Israeli war on Iran.
A Mombasa-based refinery would cut costs, create thousands of local jobs, and boost refined fuel exports to Kenya, Uganda, Tanzania, and other neighboring countries within the EAC and SADC blocs.
Political ball in Ruto’s court
“The ball is in the hands of President Ruto,” Dangote said. “Whatever President Ruto says is what I’ll do.”
The Nigerian billionaire first floated the idea of replicating his 650,000-barrel-a-day Nigerian refinery in East Africa during an infrastructure summit in Nairobi last month, emphasizing that regional government support would be crucial.
Local reaction
Kenyans on social media largely cheered the prospect. “Kenya should take up Dangote’s offer ASAP,” wrote X user Nelson Amenya, whose post garnered thousands of engagements. However, some observers expressed concerns about potential political hurdles and past delays with major investors in the region.
Dangote Group has not yet announced a timeline for the project, which remains contingent on final approval from Kenyan authorities.
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