Nigeria’s Dangote Group has maintained that a Kenyan court ruling over a land rights dispute will not stop the groundbreaking ceremony for its planned $15 billion to $16 billion Lamu oil refinery. However, some site activities could be affected.
In a statement, the company said the Malindi Environment and Land Court had not halted the ceremony scheduled for Wednesday. It acknowledged, however, that the order could affect work at the site ahead of the next court hearing on October 14, 2026.
“The court has not halted the groundbreaking ceremony of the refinery at this stage. However, activities at the site may be affected by the ruling as both parties are required not to carry activities until the case is heard on 14th October,” the company said.
The court order, dated September 25 and made public on Monday, directs that the existing situation on the disputed land be maintained until the hearing.
Natives Want Land Rights Recognition
The case was filed by 133 residents of Chandavai in Lamu County, who argue that the land earmarked for the refinery is part of their ancestral heritage.
The residents say their families have lived and farmed on the land for generations and are seeking recognition of their rights.
The proposed 700,000-barrel-per-day refinery is one of Kenya’s most ambitious industrial projects.
Dangote hopes to complete the facility by 2030, replicating the scale of his refinery near Lagos, Nigeria, which has helped the country reduce its reliance on imported petroleum products and expand fuel exports.
Africa’s Largest IPO
The project would mean a big deal for Kenya, which currently has no commercial oil production, despite its ambitions to establish itself as a regional energy hub.
The court dispute comes as Dangote advances plans to expand his energy business across Africa.
Earlier this month, the group launched an Initial Public Offering (IPO) for its Lagos refinery in what has been described as Africa’s largest-ever share sale.
For now, the groundbreaking ceremony remains on course, but the October 14, 2026 hearing could prove significant for the next phase of work on the multibillion-dollar Lamu project.