Kagame Backs Dangote's $17 Billion Lamu Refinery Amid Regional Competition

Rwanda's President Paul Kagame has expressed interest in partnering with Nigerian billionaire Aliko Dangote on his proposed $17 billion Lamu refinery project in Kenya. The project, which is expected to have a capacity of 700,000 barrels of crude oil per day, will be Kenya's first oil refinery.

Kagame said that Rwanda would be happy to participate in the investment but noted that many issues were still being discussed. He also stated that it was too early for details of the potential acquisition to be revealed.

Kenya is pitching the Dangote oil refinery as a future petroleum hub, saying it will benefit both investors and buyers of products in the region. President William Ruto says his administration is working to ensure that attendant economic factors suit the multibillion-dollar project. He believes the proposed refinery will be viable despite geopolitical turmoil and uncertainties around energy transition.

Rwanda, like other landlocked countries, currently relies on fuel import companies. The country imports over 40 million litres of petroleum products monthly, made up of roughly 70 percent diesel and 30 percent petrol. With the proposed Lamu refinery, Kenya hopes to create a regional source of fuel and reduce dependence on supplies from the Middle East and other distant markets.