President William Ruto has described the groundbreaking of the Sh2 trillion Dangote East Africa Refinery in Lamu as a major step in Kenya’s push to transform from a raw-material exporter into an industrial economy.
Speaking in Mokowe, Lamu County, on Wednesday, September 30, during the groundbreaking ceremony, Ruto said the project would turn years of planning into a major industrial investment serving Kenya and the wider East African region.
The $16 billion refinery is designed to process up to 700,000 barrels of crude oil per day, with construction expected to take about 40 months.
“Today, we break ground in Lamu. We turn a proposal into an industry. We transform a long-held ambition into real opportunity for Kenya, for East Africa, and for Africa,” Ruto said.
The President said the project was significant because of Lamu’s historic position as a centre of trade and its potential to become an important hub for modern industrial development.
Ruto linked the refinery to his broader call for African countries to process their natural resources locally instead of exporting raw materials and importing finished products.
He said the refinery would demonstrate that Africa could use its resources to build industries and create opportunities for its people.
“Today, however, we change that forever,” he said, referring to what he described as Lamu’s historical position at the centre of regional trade but on the margins of Kenya’s economic progress.
The President said the project would not only focus on petroleum processing but would also support wider industrial activity. The development includes plans for up to 1,000 megawatts of power generation, part of which could eventually serve needs beyond the refinery.
The project is expected to supply refined petroleum products to Kenya and neighbouring countries, potentially reducing East Africa’s dependence on imported refined fuel. Reuters reported that the facility is being positioned as a regional energy and industrial hub.
The groundbreaking comes days after Ruto told the United Nations General Assembly in New York that Africa should use its natural resources as the foundation for industrialisation.
Ruto said he had told the UN that Africa should not approach the global community merely to seek assistance, but should instead build industries capable of creating prosperity from its own resources.
He also noted that he had promised the UN that Kenya would break ground on the refinery within a week.
“Today, we keep our word,” he said.
The project is being developed by Nigerian billionaire Aliko Dangote, whose group is also behind the 650,000-barrel-per-day Dangote refinery in Lagos. The Kenyan facility is expected to be larger in crude-processing capacity.
The Lamu project is also expected to generate significant employment and stimulate related sectors, including engineering, manufacturing, logistics, petrochemicals and energy.
