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East Africa, Dangote pledge to build Oil Refinery

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East African leaders are advancing plans for a major oil refinery in Tanzania in partnership with Nigerian industrialist Aliko Dangote, in a move aimed at strengthening regional energy security and reducing reliance on imported fuel.

Speaking at the We Build Africa Summit in Nairobi, Kenyan President William Ruto said Kenya and Uganda are in discussions with Dangote over the proposed facility, which would be located in the port city of Tanga. The refinery is expected to be linked to Mombasa via pipeline infrastructure, forming a regional distribution corridor.

According to reporting by Bloomberg, the project is envisioned as a shared facility serving multiple Eastern African states. It would process crude oil from producers including South Sudan and the Democratic Republic of the Congo, positioning the refinery as a central hub in the region’s evolving energy ecosystem.

Dangote signaled readiness to replicate the scale of his flagship Nigerian refinery—one of the largest globally—if the participating governments commit to the project. He indicated that construction could be completed within four to five years once agreements are finalized. At full capacity, the facility could process up to 650,000 barrels per day, just like the Nigerian one.

Uganda’s emerging oil sector is expected to play a key role in supplying the refinery. Crude from the Albertine region is set to be transported through the East African Crude Oil Pipeline to Tanga, aligning closely with the proposed refinery location and strengthening the commercial viability of the project.

The initiative comes amid growing concern over Africa’s limited refining capacity. Although the continent produces a notable share of global crude, refining infrastructure has not kept pace, leaving many countries dependent on imported petroleum products. Recent geopolitical tensions affecting supply routes from the Middle East have further exposed these vulnerabilities.

Beyond fuel supply, Dangote emphasized the broader industrial value of petrochemical production, noting that access to by-products such as polypropylene supports manufacturing sectors ranging from construction materials to food processing.

The refinery proposal also reflects a broader trajectory of economic cooperation within East Africa. Kenya and Uganda have recently partnered on joint industrial initiatives, including a fertilizer plant, while Uganda has acquired a stake in the Kenya Pipeline Company, deepening cross-border collaboration in energy infrastructure. Transport projects such as the Standard Gauge Railway also continue to underpin regional trade integration.

Ugandan President Yoweri Museveni has long advocated for deeper regional integration under the East African Community, a vision increasingly reflected in joint infrastructure and investment projects.

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