Engineers Behind Dangote’s Nigerian Refinery to Help Deliver Kenya Plant

Engineers Behind Dangote’s Nigerian Refinery to Help Deliver Kenya Plant

An Indian state-owned engineering company has secured a contract worth more than KSh58 billion to provide project management and engineering services for Dangote Group’s planned refinery and petrochemical complex in Lamu, Kenya.

The agreement marks a major step in preparations for the proposed 700,000-barrel-per-day facility, which is expected to become one of Africa’s largest refinery projects if completed as planned.

The Indian firm, which operates under the country’s Ministry of Petroleum and Natural Gas, will serve as the Project Management Consultant and Engineering, Procurement and Construction Management consultant for the Kenyan project.

Its responsibilities will cover project planning, engineering, procurement and construction management. The company will also coordinate contractors while monitoring costs, timelines, quality and safety throughout the development process.

The KSh58 billion contract represents the value of the consultancy and project management assignment and is separate from the total construction cost of the refinery.

The wider Lamu refinery project has previously been estimated at about $17 billion, equivalent to more than KSh2 trillion.

Indian Firm Has Experience With Dangote

The selection of the Indian engineering company is linked partly to its previous work with Dangote Group on major industrial projects in Nigeria.

The company served as Project Management Consultant and Engineering, Procurement and Construction Management consultant for Dangote’s 650,000-barrel-per-day refinery and petrochemical complex at Lekki.

The Nigerian refinery has since been commissioned, while the Indian firm is also involved in plans to expand its capacity to 1.4 million barrels per day under a separate engineering and project management mandate.

It has additionally worked on other Dangote projects, including a major fertiliser complex.

Dangote Group cited the company’s previous experience when announcing the new Kenya assignment.

“Believing in EIL’s Engineering and Project Management excellence, the Dangote Group has once again joined hands with EIL… for this prestigious Kenya Project.”

The company said its involvement would draw on the experience gained from working on Dangote’s Nigerian refinery and other large-scale industrial developments.

The Indian firm described the Kenyan project as strategically important to the region’s energy sector.

“Once completed, this project will be critical in strengthening fuel production within East Africa, reducing reliance on imports, and supporting regional energy security.”

Lamu Refinery Targets Regional Market

The proposed refinery is planned for Lamu and is expected to process up to 700,000 barrels of crude oil every day.

The facility is intended to produce petroleum products for Kenya and other markets across East Africa, potentially changing the region’s dependence on imported refined petroleum products.

Kenya currently relies heavily on imported fuel to meet domestic demand, making refinery capacity and petroleum supply infrastructure important components of the country’s energy plans.

The proposed Lamu project is also being discussed alongside infrastructure required to transport crude oil from Turkana to the Kenyan coast.

The development of such infrastructure would provide a potential link between Kenya’s oil-producing region and the planned coastal refinery.

However, the refinery remains a major project requiring substantial investment, construction planning and supporting infrastructure before operations can begin.

The KSh58 billion engineering contract does not therefore represent the full financing of the refinery.

Instead, it provides Dangote Group with a dedicated project management and engineering partner as preparations for the greenfield development continue.

If completed, the 700,000-barrel-per-day refinery could increase Kenya’s domestic refining capacity, support regional petroleum supply and create opportunities across the wider energy and industrial sectors.

The latest agreement also strengthens the connection between Dangote’s established Nigerian refinery operations and its proposed investment in Kenya, with the same engineering company now taking part in both major projects.

ALSO READ: Uhuru Officially Hands Over Jubilee Party to Fred Matiang’i

Engineers Behind Dangote’s Nigerian Refinery to Help Deliver Kenya Plant