Nigeria’s Dangote Group plans to finance a proposed 700,000-barrel-per-day oil refinery in Kenya through internal cash flow, bonds \u200band an initial public offering, a senior company executive told \u200cReuters.<\/p>\n
The refinery, East Africa’s largest refining project, is expected to take up to three years to build and would supply refined petroleum products to Kenya and \u200bneighbouring countries, helping to reduce East Africa’s dependence on imported fuels.<\/p>\n
It \u200bwould also fulfil Dangote’s ambition to expand fuel-processing capacity \u2060across Africa following the start-up of its\u00a0650,000-barrel-per-day\u00a0refinery in Lagos.<\/p>\n
“The site \u200bhas been selected, soil tests are under way, and design and engineering \u200bwork has commenced. Kenya was the choice from the beginning,” Edwin Devakumar, Dangote Industries’ vice president for oil and gas, told Reuters.<\/p>\n
The refinery, which would be built \u200bon the island of Lamu, off the coast of Kenya, would \u200bmark Dangote Group’s biggest refining investment outside Nigeria.<\/p>\n
Devakumar said the refinery would be financed \u200cthrough \u2060a mix of internally generated cash, bonds and proceeds from a planned initial public offering. He did not disclose the project’s exact cost, but said it would be comparable to that of the Lagos refinery.<\/p>\n
Built \u200bby Aliko Dangote, \u200branked as Africa’s \u2060richest man by Forbes, the Lagos refinery had cost more than $20 billion by the time it began \u200boperating in 2024.<\/p>\n
The initial estimate had been about $9 billion \u200bin 2013, \u2060but the cost was driven up by a site relocation, engineering challenges, currency weakness, the COVID-19 pandemic and global inflation.<\/p>\n
Dangote has for months expressed \u2060interest \u200bin building a major refinery in East \u200bAfrica. The company previously considered Tanzania’s port city of Tanga before switching to Kenya, citing \u200binfrastructure, logistics and market considerations.<\/p>\n","protected":false},"excerpt":{"rendered":"
Nigeria’s Dangote Group plans to finance a proposed 700,000-barrel-per-day oil refinery in Kenya through internal cash flow, bonds \u200band an initial public offering, a senior company executive told \u200cReuters. The refinery, East Africa’s largest refining project, is expected to take up to three years to build and would supply refined petroleum products to Kenya and […]<\/p>\n","protected":false},"author":1,"featured_media":10515,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":4,"jnews-multi-image_gallery":[],"jnews_single_post":{"format":"standard","override":[{"template":"1","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"default-sidebar","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"top","share_float_style":"share-monocrhome","show_featured":"1","show_post_meta":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_reading_time":"0","post_reading_time_wpm":"300","post_calculate_word_method":"str_word_count","show_zoom_button":"0","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"1","show_comment_section":"1","number_popup_post":"1","show_post_related":"1","show_inline_post_related":"1"}],"image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post_position":"meta","trending_post_label":"Trending","sponsored_post_label":"Sponsored by","disable_ad":"0","source_name":"Reuters","subtitle":""},"jnews_primary_category":[],"jnews_social_meta":[],"jnews_override_counter":{"view_counter_number":"0","share_counter_number":"0","like_counter_number":"0","dislike_counter_number":"0"},"footnotes":""},"categories":[29,2831,2362],"tags":[4222,111,175],"class_list":["post-21388","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-africa","category-energy","category-featured","tag-dangote-petroleum-refinery","tag-kenya","tag-nigeria"],"_links":{"self":[{"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/posts\/21388","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/comments?post=21388"}],"version-history":[{"count":1,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/posts\/21388\/revisions"}],"predecessor-version":[{"id":21389,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/posts\/21388\/revisions\/21389"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/media\/10515"}],"wp:attachment":[{"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/media?parent=21388"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/categories?post=21388"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qiraatafrican.com\/en\/wp-json\/wp\/v2\/tags?post=21388"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}