MWE Correspondent
Yoweri Museveni has endorsed a proposal to establish a major oil refinery in East Africa, following discussions with Nigerian industrialist Aliko Dangote on a multibillion-dollar energy investment aimed at transforming the region’s fuel processing capacity.
The meeting, held on Sunday, focused on plans for a proposed $17 billion regional refinery project intended to serve multiple East African countries, reduce dependence on imported refined petroleum products, and strengthen energy security across the region.
Museveni’s endorsement comes as East African governments intensify efforts to expand energy infrastructure and retain more value from natural resources within the continent rather than relying heavily on external refining markets.
The proposal was discussed just a day after Dangote held separate talks with the President of Tanzania, Samia Suluhu Hassan, where the industrialist presented similar plans for regional cooperation in oil refining and distribution.
The back-to-back meetings highlight growing momentum around large-scale energy integration projects in East Africa, particularly at a time when global oil markets remain volatile and African economies continue to seek strategies to reduce import bills and improve industrial self-sufficiency.
According to officials familiar with the discussions, the proposed refinery would be designed not only to process crude oil but also to serve as a regional supply hub, distributing refined petroleum products to neighbouring countries and potentially reducing transportation costs and fuel price disparities across the region.
Energy analysts say the project, if implemented, could mark a significant shift in Africa’s downstream oil sector, which has historically been limited by underinvestment in refining infrastructure and heavy reliance on imported fuel products from Asia, Europe and the Middle East.
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Supporters of the plan argue that a shared refinery model could strengthen economic cooperation among East African nations while creating thousands of jobs and attracting additional foreign direct investment into supporting industries such as transport, logistics and petrochemicals.
However, experts also caution that large-scale refinery projects of this nature require extensive feasibility studies, stable financing structures, and long-term political coordination among participating countries to ensure sustainability and profitability.
Dangote, who has previously invested heavily in industrial and energy infrastructure across Africa, has been expanding his presence in regional energy discussions, positioning private sector-led initiatives as key drivers of Africa’s industrial transformation.
The latest developments suggest increasing alignment between political leadership and private investors in shaping the future of Africa’s energy sector, particularly as countries seek to balance economic growth with energy security and regional integration goals.
If realized, the East African refinery project could become one of the largest energy infrastructure developments on the continent, potentially reshaping fuel supply chains and strengthening intra-African trade in petroleum products.
