Details of Ruto, Dangote Sh2.2 trillion Lamu refinery talks as CMA flags IPO

President William Ruto has held talks with Nigerian industrialist Aliko Dangote and Africa Finance Corporation (AFC) President and CEO Samaila Zubairu in New York on financing and final preparations for the proposed Sh2.2 trillion ($17 billion) East Africa Refinery in Lamu.

The meeting, held on the sidelines of the 81st United Nations General Assembly on Monday, September 21, comes as Kenya prepares for the planned groundbreaking of the 700,000-barrel-per-day refinery.

President Ruto said discussions focused on financing and preparations to commence the project, which he said would strengthen regional energy security, increase local value addition, create jobs and support industrialisation.

“We are ready to break ground on the East Africa refinery in Lamu, a transformative project that will enhance the region’s energy security, deepen local value addition, create jobs and advance our industrialisation agenda,” the Kenyan Head of State said in a statement.

The President said the project would also unlock new economic opportunities, strengthen regional supply chains and position East Africa as an energy and industrial hub.

The New York engagement comes at a time when Dangote's wider refinery business is attracting major investor interest through an ongoing Nigerian IPO, creating a parallel development for Kenyan investors.

While Ruto was discussing the financing of Dangote's proposed Kenyan refinery with the businessman, Kenya's Capital Markets Authority (CMA) issued a public notice warning Kenyans over the separate Dangote Petroleum Refinery and Petrochemicals FZE Initial Public Offering.

CMA said the IPO is regulated in Nigeria and has not been submitted to the Kenyan regulator for consideration and approval under Kenya's applicable legal and regulatory framework.

The regulator urged members of the public to independently verify the authenticity and source of any prospectus or other offering document before making investment decisions, sending money or providing personal and financial information.

CMA further advised investors to rely only on official communication from relevant regulators, issuers and authorised channels.

It also directed investors wishing to undertake capital-markets transactions to use licensed intermediaries and verify their status through the regulator's official licence register.

The warning comes amid interest in the Nigerian offer which has spread beyond Nigeria, with investors across the region seeking ways of participating in the share sale.

Kenya's position contrasts with developments in Rwanda, where the Capital Markets Authority of Rwanda said it was working with relevant stakeholders to facilitate participation by Rwandan investors in the Dangote refinery IPO.

The Rwandan regulator said investors interested in the offer could register their interest through United Capital Financial Services Rwanda while arrangements were being finalised.

It nevertheless clarified that registration of interest does not constitute a subscription for or allocation of shares, with further information to be provided once the arrangements are concluded.

The IPO for Dangote Petroleum Refinery and Petrochemicals opened on September 14, 2026, with the offer scheduled to close on October 13.

Nigeria's Securities and Exchange Commission approved the sale of 4.1 billion ordinary shares at 525 naira each, targeting approximately 2.15 trillion naira, or about $1.6 billion.

Reuters reported that the offer represents the sale of about a 3.3% stake in the refinery and is Africa's largest share offering to date.

The Nigerian refinery currently has a processing capacity of about 700,000 barrels per day, while Dangote plans a $14.3 billion expansion that would eventually double capacity to 1.4 million barrels per day.

The IPO came amid Dangote's wider expansion plans, including the proposed second refinery in East Africa.

However, Kenyan investors' direct access to the current IPO has been affected by the decision not to cross-list the offer locally.

According to a Business Daily report, the IPO had initially been expected to involve other African markets, including Kenya, before the offer was ultimately domiciled in Nigeria.

The Lamu project marks a significant change from the initial discussions around Dangote's East African refinery.

In April, President Ruto met Dangote during the Africa We Build Summit in Nairobi and welcomed the industrialist's announcement that he was ready to partner with Kenya, Uganda and Tanzania in developing a regional refinery.

Ruto at the time publicly supported the proposed Tanga, Tanzania location, describing it as part of the same economic space as Kenya and saying the facility could benefit the wider region.

The project subsequently shifted towards Kenya, with Lamu emerging as the selected site.

The proposed refinery is expected to form part of a wider industrial and logistics development around Lamu Port and the LAPSSET corridor.

Government projections put the wider project's potential employment impact at more than 60,000 jobs, while the refinery itself is expected to serve markets across East Africa.

Reuters, however, has reported that the project still faces major questions, particularly around securing sufficient crude oil supplies because Kenya currently has no commercial crude production.

Potential supplies from Kenya, Uganda and South Sudan would require infrastructure and commercial arrangements, while importing crude by sea would expose the refinery to international market conditions.