Africa’s wealthiest industrialist, Aliko Dangote, has expressed strong interest in investing in a large-scale oil refinery in East Africa, a move that could reshape the region’s energy landscape.
The proposed facility is expected to be constructed in the port city of Tanga in Tanzania, positioning it as a key energy hub for the region. The project is still under discussion among East African governments, but early signals suggest growing political and economic backing.
Speaking in Nairobi during an infrastructure financing meeting, William Ruto said regional leaders are actively exploring a joint refinery project to reduce long-standing dependence on imported refined petroleum.
“At the moment, East Africa imports all its refined petroleum products, mainly from the Middle East,” Ruto said. “This exposes our economies to supply disruptions and price shocks, as seen during global conflicts, including tensions involving Iran.”
Dangote, whose refinery in Nigeria has a processing capacity of 650,000 barrels per day, said he is ready to replicate similar infrastructure in East Africa if governments fully commit to the plan.
“I am prepared to bring the same experience and advanced technology used in Nigeria,” Dangote said. “But this requires strong cooperation and support from the region.”
The proposed refinery is expected to serve multiple countries, including Kenya, Uganda, South Sudan, and the Democratic Republic of the Congo, using crude oil produced within the region instead of exporting it unprocessed.
Analysts say the project could significantly cut fuel import bills and stabilize supply across East Africa, where many economies remain vulnerable to external market shocks. In recent years, fluctuations in global oil markets have translated directly into rising fuel prices, transport costs, and overall cost of living.
For decades, East African nations have relied heavily on refined fuel imports, particularly from the Middle East. This dependency has left the region exposed during geopolitical crises, supply chain disruptions, and currency pressures.
If completed, the refinery in Tanga region in Tanzania, could mark a turning point, shifting the region from a net importer of refined petroleum to a more self-sufficient energy bloc, while also unlocking industrial growth tied to oil processing and distribution.
Negotiations among participating countries are ongoing, with feasibility, financing, and ownership structure expected to shape the next phase of the project.
