Ethiopian PM Abiy Ahmed says Lamu Refinery can help Africa produce more of what it needs

Addis Ababa, September 30, 2026 (FMC) — Ethiopian Prime Minister Abiy Ahmed has described the Lamu Refinery as a major opportunity to strengthen Africa’s energy security, expand regional trade and investment, and create a new generation of industrial opportunities across the continent.

Speaking at the groundbreaking ceremony for the refinery in Lamu, Kenya, Prime Minister Abiy said the project could help shift the region away from its long-standing dependence on refined fuel imported from outside Africa.

“For too long, much of the fuel that powers our economies has been refined elsewhere,” he said, noting that such dependence leaves African economies exposed to shocks in global markets.

As African cities expand and industries grow, demand for fuel is continuing to rise, the Prime Minister said, adding that the Lamu Refinery could bring refining capacity closer to African markets and significantly expand supply in the region.

He said the significance of the project extends beyond fuel production, as related industries could emerge around the refinery and its location within the LAPSSET development could strengthen links between refining capacity and regional markets.

“For Ethiopia, an additional regional source would broaden our supply options and create new opportunities for trade and investment,” Prime Minister Abiy said.

He commended Kenyan President William Ruto for supporting long-term investment and advancing regional integration, describing the refinery as a decision with significance beyond Kenya.

Prime Minister Abiy also recognized Nigerian industrialist Aliko Dangote’s role in developing major African industrial enterprises in cement, fertilizer and refining.

By bringing that experience to Lamu, Dangote is giving the project the weight of an established industrial record, he said.

Turning to the private sector, the Prime Minister said East Africa should be viewed not merely as a market but as a place to produce, build and create value.

He also placed young Africans at the center of the project’s potential legacy, saying they should not remain observers of major infrastructure developments.

“They should become their engineers, technicians, entrepreneurs, and leaders,” he said, stressing that this is how a project of such scale can create a lasting impact for the next generation.

Prime Minister Abiy said the convergence of national leadership, private enterprise and regional cooperation could transform what Africa produces and strengthen the continent’s productive capacity.

“Ethiopia welcomes these developments,” he said, expressing hope that the Lamu Refinery would serve Kenya while contributing to Africa’s capacity to produce more of what it needs.

The $16 billion refinery, being developed by Dangote Industries in Lamu, is designed for a processing capacity of up to 700,000 barrels of crude oil per day and is intended to supply petroleum products to Kenya and wider East African markets.

Reuters reported that the project is targeted for completion in 2030 and that regional governments have been offered a combined 30 percent stake.

Prime Minister Abiy’s participation in the groundbreaking ceremony comes days after Ethiopia, Djibouti and Dangote announced plans for a $660 million refined petroleum products pipeline linking the Damerjog area in Djibouti with Dewele in Ethiopia, adding another major energy-connectivity initiative involving Ethiopia and the Dangote Group in the region.