Half of the planned electricity output will be supplied to Kenyan government as $17bn refinery project targets 700,000 barrels per day……
The planned Dangote-backed refinery in Lamu, Kenya, is set to generate about 1,000 megawatts of electricity, a capacity that is twice the power output of the Dangote Petroleum Refinery in Lagos.
President of Dangote Group, Aliko Dangote, disclosed this on Friday, September 25, 2026, during a visit by Kenyan President William Ruto to the Lagos refinery.
Ruto’s tour came days before the scheduled groundbreaking of the East Africa Oil Refinery in Lamu, with the ceremony expected to take place on Wednesday, September 30.
The proposed facility is designed to process up to 700,000 barrels of crude oil per day, positioning it as one of the major refining projects planned for the East African region.
Lamu Plant To Produce 1,000MW
Dangote said the refinery will be supported by a large power plant capable of producing about 1,000MW of electricity.
He explained that the facility will use petroleum coke, or petcoke, as part of its power-generation system and will produce more electricity than the refinery itself requires.
According to the businessman, about 500MW of the planned generation capacity will be made available for sale to the Kenyan government.
“So, what we are going to have, you will see our power plant, which is very big. But all of Lamu will actually be doubled, because we are going to produce about 1,000 megawatts of power at Lamu from this petcoke,” Dangote said.
He added that the additional electricity could support industrial development and attract new investments around the project.
“And we will have 500 megawatts to sell to the government of Kenya,” he said.
Dangote also described the refinery as a potential catalyst for wider economic activity in Kenya, arguing that the availability of refining capacity and supporting infrastructure could encourage other investors to establish businesses around the project.
“The refinery is like opening the gate. Once you open it up and have the refinery, you will be shocked at how many people will now come and invest in Kenya,” he said.
$17bn Project Targets East African Market
The Lamu refinery is being developed as part of Dangote Group’s expansion beyond Nigeria and its growing presence in Africa’s industrial and energy sectors.
Kenya has scheduled the groundbreaking for September 30, with President Ruto expected to lead the ceremony.
The project will include a refinery and petrochemical complex, with Engineers India Limited engaged under a contract reportedly worth more than $450 million to provide project management consultancy as well as engineering, procurement and construction management services.
Beyond meeting part of Kenya’s domestic energy needs, the refinery is expected to serve the wider East African market once operational.
Dangote Plans Further Expansion
Dangote’s comments on the Lamu project come as the group continues to expand its refining and industrial operations.
The conglomerate recorded about $17 billion in revenue during the first half of 2026 and has projected full-year revenue of approximately $36 billion, compared with $18 billion reported for 2025.
In Nigeria, the Dangote Petroleum Refinery is also undergoing plans for a major capacity expansion.
The Lagos facility, which currently has a crude-processing capacity of about 700,000 barrels per day, is expected to increase its capacity to approximately 1.4 million barrels per day following the planned addition of a new 750,000-barrel-per-day crude distillation unit.
The expansion is targeted for completion within the coming years as the group seeks to increase its position in the global refining market.
The Lagos refinery has also become an increasingly significant supplier to international markets, with Nigeria’s seaborne exports of refined petroleum products to Europe averaging about 130,000 barrels per day in the second quarter of 2026, according to U.S. Energy Information Administration data based on Vortexa shipping information.
The growth in exports has coincided with the ramp-up of operations at the Dangote refinery, which has supplied refined petroleum products to markets across Africa and Europe.
With the planned Lamu project, Dangote Group is seeking to replicate its integrated refining and power-generation model in East Africa while expanding its footprint across the continent.
