President William Ruto has signaled support for the development of a multi-billion-dollar oil refinery in East Africa, framing it as a joint regional investment amid growing interest from Nigerian industrialist Aliko Dangote.
Speaking during the Africa Forward Summit at the Kenyatta International Convention Centre (KICC), Ruto emphasized the urgency of reducing reliance on imported fuel and insulating the region from global supply shocks.
“We have our own resources here and we are saying we are going to use our African resources to industrialize our region,” said Ruto.
The development follows Dangote’s proposal of $15 billion-$17 billion refinery project in East Africa, and Mombasa is emerging as the best location because of its strategic access to crude supplies, deep-water port infrastructure, and regional fuel market reach.
Push for East Africa Energy Independence
President Ruto underscored that continued dependence on external fuel markets is no longer sustainable, pointing to global conflicts and supply disruptions that have repeatedly exposed East Africa’s vulnerability.
“Continuing to depend on the resources of others and expecting that they will make them available at concessional rates will be a waiting game in vain. We have an infrastructure project for the development of an East African refinery,” stated Ruto.
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According to the head of state, East African countries have to shift towards self-reliance, with governments leveraging local resources to stabilize fuel supply and pricing.
The push comes at a time when East African economies are grappling with fluctuating oil prices and high import costs stemming from the Middle East conflict, which has directly impacted inflation and economic growth.
Ruto revealed that Kenya, Uganda and Tanzania have already agreed in principle to develop a shared refinery facility, positioning it as a cornerstone infrastructure project for the region.
He noted that the proposed plant, which Dangote estimates could cost between $16 billion and $20 billion, would play a critical role in meeting regional demand for refined petroleum products.
“Here, Dangote tells me that it’s going to cost anywhere between $16 billion and $20 billion. That East African facility, East African refinery facility is an investment that the government of Kenya, the government of Uganda, the government of Tanzania, we have agreed that we want to develop a facility that is going to assist us with our fuel products. We do not want to be held hostage anymore by the state of Amuse. We do not want to be held hostage by wars that are started by other people,” added Ruto.
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Dangote’s Proposal Energy Refinery in East Africa
In early April, Dangote held discussions with Ruto and Ugandan President Yoweri Museveni to explore oil refinery projects initially proposed for Tanga, Tanzania.
However, Tanzania faced diplomatic pushback as a result, and no progress was made.
During the Africa We Built summit in Nairobi, the parties agreed that regional refineries would help reduce East Africa’s refined petroleum imports.
Aliko’s preference for the refinery to be constructed in Mombasa because its location was considered strategically attractive because it would allow the refinery to source crude oil from multiple producers across the region, including Uganda, South Sudan and Tanzania, while also making imports from international suppliers easier.
In addition, he noted that Kenya had a larger economy and higher consumption levels than other countries.
