Ruto Makes Key Appointments Ahead of Ksh2.2 Trillion Dangote Oil Refinery Project
President William Ruto has appointed Deputy President Kithure Kindiki to lead a special government committee that will oversee the implementation of the planned Ksh2.2 trillion East African oil refinery project expected to be built in Lamu.
The committee will work closely with private investors, employers, and other stakeholders to ensure the massive investment moves forward as planned.
The President made the announcement on Wednesday, July 8, while speaking at State House during the signing into law of the Sovereign Wealth Fund Bill.
He said the government had already established the necessary implementation structures and that preparations for the launch of the multi-trillion-shilling project were progressing well.
Ruto revealed that the government has already agreed on a date for the groundbreaking ceremony, although he did not disclose the exact day when construction will officially begin.
He described the refinery as one of the biggest private investments Kenya has ever attracted and said the government is fully committed to ensuring its successful implementation.
“I have asked the Deputy President to chair the government committee that will work with private investors and employers on what will become one of the largest investments in our country’s history.
This East African oil refinery is valued at Ksh2.2 trillion. We have already agreed on the date for the groundbreaking,” President Ruto said.
The latest announcement marks a significant step forward for the project. Earlier this year, President Ruto had indicated that construction would begin before the end of 2026.
His latest remarks now confirm that planning has reached an advanced stage, with the government already preparing for the official launch of construction.
The refinery project has also received support in the 2026/2027 national budget. The government allocated Ksh21.5 billion as seed capital to kick-start the development, while the remaining financing will come from private investors through a Public-Private Partnership (PPP) arrangement.
The model is expected to reduce the financial burden on taxpayers while encouraging private sector participation in one of the country’s largest infrastructure investments.
The President’s directive comes only days after reports emerged that Nigerian billionaire Aliko Dangote had settled on Lamu Port as the final location for the refinery.
The decision ended months of speculation over whether the project would be established in Kenya or moved to neighbouring Tanzania. Choosing Lamu is expected to strengthen Kenya’s position as a regional energy and logistics hub.
According to Dangote Industries, the refinery will take between 30 months and three years to complete once construction officially begins.
After completion, the facility will process crude oil for Kenya and supply refined petroleum products to several countries across the East African region.
The company also explained that funding for the refinery will come from several sources, including internally generated revenue, bond issuances, and proceeds from a planned Initial Public Offering (IPO).
This financing strategy is expected to reduce dependence on expensive external loans while ensuring the project remains financially sustainable throughout its construction phase.
Once operational, the refinery is expected to process more than 700,000 barrels of crude oil every day. The facility forms part of Dangote Industries’ wider expansion strategy, which aims to increase the company’s total refining capacity to approximately 2.1 million barrels per day across its operations.
The refinery is expected to play a major role in improving energy security across East Africa. It will supply refined petroleum products to Kenya, Uganda, Tanzania, South Sudan, and other neighbouring countries, reducing the region’s reliance on imported fuel.
The project is also expected to protect East African economies from disruptions in global fuel supply chains and international price shocks.
Beyond boosting fuel production, the project is anticipated to create thousands of direct and indirect jobs during both the construction and operational phases.
It is also expected to stimulate economic growth in Lamu and surrounding regions by attracting new businesses, improving infrastructure, and increasing investment in Kenya’s energy sector.
Government officials believe the refinery will become a landmark project that strengthens Kenya’s position as a leading investment destination in Africa while supporting long-term regional economic development.
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