African Energy Chamber condemns court order threatening Dangote’s Kenya refinery
The interim order issued by the Malindi Environment and Land Court requires the status quo to be maintained on the disputed land and bars parties from carrying out activities there pending a hearing on October 14
KAMPALA, September 30, 2026 — Construction of Dangote Industries’ planned US$ 15–16 billion refinery in Lamu, Kenya, faces possible disruption after 133 residents petitioned the court over land earmarked for the project.
The interim order issued by the Malindi Environment and Land Court requires the status quo to be maintained on the disputed land and bars parties from carrying out activities there pending a hearing on October 14. The refinery’s groundbreaking ceremony was initially scheduled for September 30.
The African Energy Chamber [AEC], which represents stakeholders in Africa’s energy sector, has condemned the court action and expressed support for Aliko Dangote and Dangote Industries’ plans to develop the refinery.
The Chamber described the litigation as an attempt to derail a project it considers strategically important to East Africa’s fuel security.
“Africa cannot continue exporting its energy security and then acting surprised when conflicts thousands of kilometres away determine what our people pay for fuel,” AEC Executive Chairman NJ Ayuk said.
“The communities of Lamu must have their rights respected, and legitimate questions around land and compensation should be resolved quickly and fairly. But those issues cannot become an excuse to indefinitely delay one of the most important downstream investments East Africa has seen in decades.”
The petition was filed by residents of Chandavai in Lamu County, who claim that the land allocated for the refinery, identified as LR No. 13061, forms part of their ancestral heritage. They are seeking recognition of their rights and compensation.
Dangote Industries has said the court order will not stop the planned groundbreaking and has reaffirmed its commitment to the 700,000-barrel-per-day [bpd] refinery.
The AEC said questions relating to land rights, compensation and environmental compliance should be addressed in accordance with Kenyan law, while warning that prolonged litigation could affect the project’s development timeline.
The planned refinery is expected to increase refining capacity in East Africa, a region that has relied heavily on imported petroleum products since the Kenya Petroleum Refineries Limited facility ceased refining operations in 2013.
The region imports about 90% of its fuel requirements, with about 75% of those imports coming from the Middle East, according to the AEC. The Chamber said disruptions to global oil trade linked to the ongoing conflict in the Middle East have heightened concerns over regional fuel security.
The Dangote refinery is modelled on the 650,000-bpd Dangote refinery in Nigeria, which the AEC said has contributed to a reduction in petroleum imports and an increase in refined petroleum exports.
The Nigerian facility is currently undergoing expansion that is expected to raise its capacity to 1.2 million bpd.
Dangote is targeting completion of the Kenyan refinery by 2030, according to the AEC. The Chamber said prolonged legal proceedings could affect that timeline.
“Aliko Dangote has already demonstrated what African capital and African entrepreneurship can achieve in refining. Kenya now has an opportunity to build that same resilience in East Africa,” Ayuk said.
“Resolve the dispute, protect the communities and build the refinery,” he added.
The AEC also cited opposition to other major African energy infrastructure projects, including the East African Crude Oil Pipeline [EACOP], which is being developed to transport crude oil from Uganda’s oilfields to Tanzania’s Tanga port.
EACOP has faced opposition from local and international non-governmental organisations over environmental, social and financing concerns.
The Chamber also pointed to the West African Gas Pipeline, which transports Nigerian gas to Benin, Togo and Ghana, as another regional energy project that has faced opposition from environmental and civil society groups.
The AEC said the Dangote refinery should proceed while outstanding legal and community concerns are addressed through the appropriate legal processes.
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