PM Abiy Says Lamu Refinery to Expand Ethiopia’s Supply Options, Unlock Regional Trade

Addis Ababa, September 30, 2026 (ENA) — Prime Minister Abiy Ahmed said Kenya’s Lamu refinery will provide Ethiopia with an additional regional source of refined petroleum, broadening its supply options while creating new opportunities for trade and investment.

Speaking at the groundbreaking ceremony attended by African Heads of State and Government, industrialist Alhaji Aliko Dangote, ministers, ambassadors and other dignitaries, Prime Minister Abiy described the project as a significant step toward strengthening energy security and advancing regional economic integration in East Africa.

He noted that much of the fuel powering African economies has for years been refined outside the continent, leaving countries exposed to disruptions and volatility in global markets.

As African cities expand and industries grow, the Premier said rising demand for fuel makes it increasingly important to develop refining capacity closer to regional markets and build more resilient supply systems.

“The Lamu refinery offers a way to change that balance,” he said, noting that the project would bring refining capacity closer to African consumers and add significant capacity to the region.

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

He added that the refinery’s significance would extend beyond fuel production, as related industries could emerge around the facility. Its location within the Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) Corridor, he said, could further strengthen connections between production centers and regional markets.

Prime Minister Abiy commended Kenyan President William Ruto for advancing an infrastructure project with significance beyond Kenya, saying such investments can help deepen economic integration among neighboring countries.

He also praised Alhaji Aliko Dangote for bringing his experience in developing large-scale African industrial enterprises to the project, citing his investments in cement, fertilizer and refining as examples of the industrial capacity needed to drive Africa’s economic transformation.

Addressing business leaders, the PM said East Africa should be seen not only as a market but also as a place to produce, build and create value.

He stressed that the lasting impact of a project of this scale should be measured by the opportunities it creates—from technological knowledge and new enterprises to skilled employment and pathways for the next generation.

“Young Africans should not remain observers of projects such as this. They should become their engineers, technicians, entrepreneurs, and leaders,” the Premier said.

Prime Minister Abiy said the convergence of national leadership, private enterprise and regional cooperation could transform what the region produces and strengthens Africa’s capacity to meet its own growing needs.

“Ethiopia welcomes this development,” he said, expressing hope that the Lamu refinery will serve Kenya while contributing to Africa’s broader drive to produce more of what it consumes.

According to Dangote Group, the launch of Kenya’s 16-billion USD Lamu oil refinery marks a new chapter in Africa’s industrialization, with the 700,000-barrel-per-day facility demonstrating the continent’s growing capacity to build its own industrial future.