- Dangote’s planned Lamu refinery is set to reshape Kenya’s role in regional petroleum supply.
- The company’s investment in Kenya Pipeline Company could expand fuel distribution across East Africa.
- South Sudan is seeking stronger petroleum partnerships as regional investment opportunities grow.
Kenya is fast becoming the centre of a regional fuel trade shake-up, as Nigeria’s Dangote Petroleum Refinery and Petrochemicals commits billions of dollars to a planned coastal refinery and the country’s main pipeline operator.
The company is backing a US$16 billion refinery in Lamu and has put US$335 million into Kenya Pipeline Company (KPC). Its chief executive and managing director, David Bird, will now speak at the South Sudan Oil & Power (SSOP) 2026 conference in Juba on November 24 and 25, 2026.
Bird’s appearance at the seventh SSOP edition signals how closely Kenya’s projects are tied to neighbouring markets. South Sudan is seeking to turn its resource potential into fresh exploration, higher output and a bigger role in regional petroleum value chains. Producers, refiners and investors are expected to use the event to strike partnerships and deals.
For Kenya, the timing matters. On September 30, 2026, Dangote broke ground on a refinery in Lamu with a capacity of 700,000 barrels per day (bpd). Scheduled to start operations in 2029, the plant will supply petrol, diesel and jet fuel to East African markets. Regional governments have also been offered a combined 30 per cent stake in the project.
READ:
The Lamu plant is modelled on Dangote’s refinery in Nigeria, which processes 650,000 bpd and is running at full capacity. That facility is due to expand to 1.2 million bpd. A South Sudan delegation attended the Lamu ceremony, a sign of Juba’s interest in deeper petroleum ties with Kenya.
Dangote has not limited its plans to refining. This month, it bought a 25 per cent stake in KPC, gaining a foothold in the infrastructure that moves petroleum products from Kenya’s coast to Uganda, Rwanda, South Sudan and the Democratic Republic of the Congo.
After the US$335 million deal, the company intends to pump a further US$1.5 billion into extending KPC’s pipeline network of about 1,300 kilometres. Its total planned investment in the pipeline operator would therefore reach US$1.8 billion.
Taken together, the refinery and the pipeline stake place Kenya at both ends of the regional fuel chain, from production at the coast to delivery inland and across borders.
By Benedict Aoya
Get more stories from our website: Sacco Review.
For comments and clarifications, write to: Saccoreview@
Kindly follow us via our social media pages on Facebook: Sacco Review Newspaper for timely updates
Stay ahead of the pack! Grab the latest Sacco Review newspaper!
