Dangote Group in Kenya

Dangote Group in Kenya refers to the investments, proposed projects and business activities of the Nigerian conglomerate Dangote Group in Kenya. The group's involvement in Kenya dates to plans announced in 2013 for a cement manufacturing plant. The company later postponed its planned cement investment amid reported difficulties, including allegations of corruption involving unnamed Kenyan officials.

In 2026, Dangote returned to Kenya with plans for a large oil refinery and petrochemical complex in Lamu County. Construction of the proposed Dangote East Africa Petroleum and Petrochemicals project was inaugurated on 30 September 2026. The planned refinery has a capacity of 700,000 barrels per day and is part of a proposed industrial complex that includes power generation and other manufacturing facilities.

History

Initial cement investment

In September 2013, Aliko Dangote, founder and president of Dangote Group, announced plans to invest approximately US$400 million in a cement plant in Kenya. The announcement was made during a visit to Kenya by Nigerian President Goodluck Jonathan and a Nigerian business delegation. President Uhuru Kenyatta's office welcomed the proposed investment and described it as an indication of growing economic cooperation between Kenya and Nigeria.

In 2015, Dangote's plans for Kenya formed part of a wider expansion programme involving cement plants in several African countries. Dangote had received approval to prospect for limestone in Kitui County, which was intended to provide raw material for the proposed cement operation.

By 2017, Dangote Cement had revised its Kenyan plans. The company said it intended to establish two plants, one near Nairobi and another near Mombasa, with a combined production capacity of approximately three million tonnes per year. The planned entry was postponed to 2020 or 2021. Dangote also operated cement production facilities in neighbouring countries and had begun exporting cement from Ethiopia into northern Kenya.

Corruption allegations and the stalled cement project

In 2018, media reports quoted Dangote as criticising the Kenyan business environment and saying that he had been discouraged from establishing a cement factory because of what he regarded as corruption and personal interests among Kenyan decision-makers. Africanews reported comments attributed to Dangote in which he described some people involved in Kenya's investment environment as placing personal interests ahead of national interests.

In September 2026, Dangote gave a more detailed account of the earlier episode in an interview with the Daily Nation. He said that an unnamed Kenyan government official had sought what he understood to be a kickback in connection with his proposed cement investment. Dangote said that he declined to make the payment and raised the matter with then-Deputy President William Ruto. According to Dangote, Ruto personally took him to President Uhuru Kenyatta so that he could raise the matter with the president. Dangote did not identify the official or disclose what subsequently happened.

The allegations were not accompanied by a public identification of the official involved or a finding by a court that a particular official had solicited or received a bribe. Dangote's account therefore remained an allegation concerning an unnamed official.

False allegation concerning William Ruto

In 2021, a graphic circulated on social media alleging that Dangote had accused then-Deputy President William Ruto of demanding a KSh385 million bribe in connection with a Kenyan cement factory. The claim was investigated by fact-checking organisation Africa Check, which found no evidence that Dangote had made the quoted allegation. Africa Check also noted that Dangote Cement continued to operate in Tanzania, contrary to the claim that he had left the country because of alleged demands from Ruto and his associates.

The 2026 account given directly by Dangote differed from the viral claim. He referred to an unnamed government official and said that Ruto had helped him raise the matter with President Kenyatta; he did not accuse Ruto of demanding the alleged payment.

Return to Kenya and the Lamu refinery

In 2026, Dangote revived his plans for a major investment in Kenya, this time proposing an oil refinery and associated industrial complex in Lamu County. The project became known as the Dangote East Africa Petroleum and Petrochemicals Special Economic Zone.

The project was formally launched on 30 September 2026 at Mokowe in Lamu County, where William Ruto, president of Kenya, and Aliko Dangote participated in the groundbreaking ceremony. Other African leaders attended the event, including the presidents of Uganda, Togo and Benin, the prime minister of Ethiopia, and former Nigerian president Olusegun Obasanjo.

The refinery is planned to have a crude-processing capacity of 700,000 barrels per day. The project has been valued at approximately US$16 billion, making it one of the largest proposed private investments in Kenya and the largest refinery project proposed in East Africa.

According to the Kenyan government, the wider industrial complex is planned to include a 1,000-megawatt power plant as well as fertiliser and chemical manufacturing facilities. The government has presented the project as part of Kenya's industrialisation strategy and the development of the LAPSSET Corridor.

Choice of Lamu

Dangote said that Lamu was not initially his preferred location for the refinery. He had considered Tanga, Tanzania, and later other locations in East Africa. He said that the depth of Lamu's port and its access to the sea were important factors in the eventual decision to locate the refinery in Kenya.

The Associated Press reported that the project had initially been associated with Tanga before being shifted to Lamu, citing Lamu's infrastructure advantages, including deeper sea access and suitable ground conditions.

Dangote said the refinery would serve markets across East and parts of North Africa rather than depend solely on Kenyan crude production. He said crude could be sourced from East Africa as well as international markets, including the Middle East.

Government participation

The Kenyan government has indicated that it intends to participate in the refinery project. President Ruto said the government would use the National Infrastructure Fund and public assets, including land, to acquire a stake in the project.

Reuters reported that Dangote was offering regional governments a 30 percent stake in the refinery project and that the proposed refinery's shares were expected to be listed on the Nairobi Securities Exchange.

The government's proposed participation subsequently became the subject of a legal challenge seeking disclosure of agreements and public commitments associated with the project. The case questioned the proposed use of public money, land, tax measures, guarantees and other public resources. The court certified the case as urgent and directed the respondents to file responses. The petition remained at an initial stage, and the allegations had not been determined by the court.

Land dispute

The refinery project has also faced a dispute concerning land in Lamu County. According to the Daily Nation, 133 residents filed proceedings concerning land earmarked for the project, saying that their families had longstanding interests in the land and seeking recognition and compensation.

The Environment and Land Court ordered the parties to maintain the status quo concerning the disputed parcel pending further proceedings. The order did not prevent the 30 September groundbreaking ceremony.

President Ruto said the government had identified approximately 9,000 acres for the project and was considering an additional 3,000 acres for an expanded development incorporating a special economic zone and other facilities. He said the land being used for the project belonged to the government and that affected families would be compensated where necessary.

Environmental concerns

The Lamu refinery has also attracted environmental concerns because of the area's ecological and cultural significance. The proposed project is located near Lamu Old Town, a UNESCO World Heritage Site, and environmental and community groups have raised concerns about potential effects on the marine environment and surrounding communities.

The legal and environmental disputes have not prevented the project's groundbreaking, but they have added scrutiny to the development and its potential effects on land, communities and the environment.

Economic significance

The Kenyan government has described the refinery as a major industrial investment that could create employment, develop local technical skills and support new manufacturing activity around Lamu and the LAPSSET Corridor.

Dangote has said the refinery is intended to supply refined petroleum products to Kenya and other markets in East Africa and beyond. The planned complex is expected to include petroleum refining, petrochemicals, power generation and other industrial activities.

Reuters reported that the project is expected to be completed around 2030 if construction proceeds according to schedule.

Political and public reaction

The refinery has received strong support from the Kenyan government, which has presented it as a major investment in industrialisation and energy security.

At the same time, opposition politicians, civil society activists and local residents have called for greater disclosure of the project's contractual arrangements, ownership structure, public contribution and land arrangements.

In October 2026, Jubilee Party leader Fred Matiang'i called for disclosure of details surrounding the refinery and the earlier failed Dangote cement investment, including investigations into allegations of graft associated with the previous project.

The government has maintained that the refinery is a strategic investment and has defended its role in facilitating the project. The legal challenges concerning disclosure and land remained ongoing as of October 2026.

Dangote Group in Kenya

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