Museveni to Raise Lamu Refinery Relocation with Tanzania as East Africa Reconfigures Petroleum Projects

# What happened Ugandan President Yoweri Museveni said he will speak with Tanzanian President Samia Suluhu Hassan to understand why a previously discussed regional refinery plan associated with Tanga shifted to Lamu, Kenya. The remark came at the groundbreaking for the Dangote East Africa Petroleum Refinery in Lamu on September 30, 2026.

# Why this matters The relocation changes the balance of refinery capacity and transport routes in East Africa. Tanga had been linked to Uganda's crude via the East African Crude Oil Pipeline (EACOP) and to a proposed Tanga Regional Energy Hub. Lamu's new refinery alters where crude will be processed, where products are loaded for markets, and which countries host major refining infrastructure.

# Projects in play

• Dangote Lamu refinery: Nigerian industrialist Aliko Dangote backed the Lamu project, described as a Sh2.2 trillion ($16 billion) refinery with an expected 700,000 barrels-per-day processing capacity. Reuters reported completion targeted for 2030. Dangote has proposed a training school in Lamu and offered regional governments a combined 30% equity stake.

• Uganda's Hoima refinery: Uganda is continuing work on a domestic refinery at Hoima. Reporting indicates plans for a smaller Ugandan facility, with referenced capacity ranges between about 60,000 and 120,000 bpd in related coverage.

# What Museveni said and intends to do

# Regional implications The shift places Kenya and Lamu at the centre of a rapidly changing petroleum landscape. Possible outcomes include:

• New supply and logistics options for Kenya and neighbouring importers, including landlocked countries such as Uganda, Rwanda, Burundi, South Sudan, and eastern DR Congo.
• Increased competition among regional hubs (Lamu, Tanga, Hoima) for crude feedstock, storage, and distribution business.
• Multiple routes for Ugandan crude: EACOP into Tanga remains an existing pipeline plan, while Lamu adds an alternative export and refining destination.

# Near-term next steps to watch

• Bilateral talks between Uganda and Tanzania about the Tanga-to-Lamu question.
• Progress on the Dangote Lamu construction and the establishment of its training initiatives and equity arrangements.
• Implementation details and financing for Uganda's Hoima refinery and the Tanga hub's MoU partners.

# Bottom line