Orange Democratic Movement (ODM) leader Oburu Odinga has revealed that his late brother, former Prime Minister Raila Odinga, and Nigerian billionaire Aliko Dangote had extensive discussions over the years on a proposed KSh2.2 trillion oil refinery in Lamu, Kenya. The planned 700,000 barrel-per-day facility is expected to enhance regional energy security and reduce East Africa's dependence on imported refined fuel products. Oburu described the project as a shared, long-standing vision between Raila and Dangote aimed at fostering African industrial transformation and economic independence.
According to Oburu, the project faced bureaucratic delays under the previous administration but received necessary support from President William Ruto's government to move forward. He noted that the path to groundbreaking was not smooth, with the project initially facing hurdles, frustration, and administrative roadblocks under a previous regime that nearly derailed the investment. However, Oburu credited President Ruto's administration for providing the necessary backing to reignite momentum and transform the cross-generational dream into a reality.
The proposed refinery is expected to have a significant impact on the region, expanding value addition within the petroleum sector and creating jobs. Oburu emphasized that transformative national infrastructure and economic investments should transcend political affiliations, calling on leaders and citizens to support major initiatives regardless of who originally conceptualized them. President Ruto toured the Dangote Refinery in Lekki, Lagos State, Nigeria, at the invitation of Dangote Group President and CEO Aliko Dangote ahead of the groundbreaking ceremony for the Dangote East African Refinery in Lamu, Kenya.
Despite the progress, a court dispute over land rights hangs over the project. 133 local occupiers of LR No. 13061 (Hindi/Manda/Magogoni) filed a suit on September 23 against ten defendants, including LAPSSET, NLC, and Dangote Industries, claiming omission from compensation and resettlement programs. The applicants asked the Court to stop the groundbreaking ceremony and halt further clearing, excavation, fencing, and construction on the land they occupy while their claims are heard.
On September 25, Justice Onyango declined to grant the orders, directing that the respondents be served and respond within 14 days, and fixing the hearing for October 14, 2026. In the meantime, she ordered that the status quo on LR No. 13061 be maintained until October 14, 2026. The order carries a penal notice. While the court allowed ceremonial groundbreaking activities to proceed as planned on September 30, the dispute over land rights remains a challenge to the project.
The Lamu oil refinery project has been hailed as a major investment in the region, with thousands of Kenyans expected to benefit from jobs and training. The project's success is seen as crucial in reducing East Africa's dependence on imported refined fuel products and enhancing regional energy security. Oburu's revelation of Raila's role in securing the deal highlights the importance of long-term vision and collaboration in achieving major investments.
The groundbreaking ceremony for the Dangote East African Refinery in Lamu, Kenya, is set to take place on September 30, despite the ongoing court dispute. The project's proponents are optimistic about its potential to transform the region's energy landscape and drive economic growth. As the project moves forward, it will be closely watched by stakeholders and the general public.
Key points
- The proposed KSh2.2 trillion oil refinery in Lamu, Kenya, is expected to have a significant impact on the region's energy security and economy.
- Oburu Odinga revealed that his late brother, Raila Odinga, and Aliko Dangote had extensive discussions on the project over the years.
- A court dispute over land rights remains a challenge to the project, with 133 local occupiers claiming omission from compensation and resettlement programs.
