President William Ruto has announced that Kenya plans to invest in Uganda’s proposed oil refinery, signaling a major step toward stronger regional cooperation in the energy sector. Speaking during the Africa We Build Summit 2026 held in Nairobi, President Ruto revealed that Kenya intends to acquire a strategic stake in the refinery project, which is estimated to cost over half a trillion shillings. The summit brought together African Heads of State, policymakers, private sector players, and development partners to discuss practical approaches to advancing infrastructure development across the continent.
The announcement comes amid growing momentum for joint energy projects within East Africa. Uganda, under President Yoweri Museveni, has also shown interest in strengthening ties with Kenya, including efforts to acquire a controlling stake in the Kenya Pipeline Company following the government’s recent privatization process. President Ruto highlighted Africa’s paradox in the global oil market, noting that while the continent produces about 10% of the world’s oil, roughly 10 million barrels per day, it still relies heavily on imported petroleum products.
East African nations are now exploring the possibility of establishing a shared oil refinery to reduce dependency on imports and maximize value from locally produced crude oil. Ruto recounted a conversation with President Museveni, emphasizing the urgency and long-term vision behind the initiative. He reaffirmed Kenya’s commitment to supporting Uganda’s refinery project as part of a broader regional strategy.
Nigerian billionaire Aliko Dangote also weighed in on the discussions, pledging potential investment in the region. Dangote, who owns a major refinery in Nigeria, expressed willingness to build a similar facility in East Africa if governments provide the necessary support.
The renewed push for refinery development comes more than a decade after Kenya shut down its Changamwe Oil Refinery due to inefficiencies and high operational costs that made it uncompetitive compared to imported refined fuel. Despite Kenya’s interest in the Ugandan refinery, the National Treasury of Kenya has indicated that the exact amount of investment is yet to be determined.
Kenya’s proposed investment in Uganda’s refinery underscores a growing commitment to regional integration and energy security. If successful, the partnership could transform East Africa’s oil sector by boosting local refining capacity and reducing reliance on imports.
