State-owned Engineers India Ltd (EIL) has secured a contract worth over $450 million from Nigeria’s Dangote Group for a 700,000-barrels-per-day (bpd) greenfield refinery and petrochemical complex in Kenya, expanding its partnership with the conglomerate beyond its existing 650,000-bpd refinery in Nigeria.
The proposed Kenyan facility will have 50,000 bpd higher processing capacity than Dangote’s existing refinery at Lekki Free Zone, which is being expanded to 1.4 million bpd. EIL is already associated with the Nigerian project’s expansion.
Under the latest agreement, EIL will serve as project management consultant (PMC) and engineering, procurement and construction management (EPCM) consultant for the Kenyan complex, the company said in a statement on Tuesday.
The project marks Dangote Group‘s expansion into East Africa, where the proposed refinery will process a wider range of crude oil and cater to growing regional demand for petroleum products.
Once completed, the project will help in “strengthening fuel production within East Africa, reducing reliance on imports, and supporting regional energy security”, EIL said. The complex will also supply petroleum products to global markets.
The agreement builds on EIL’s existing association with Dangote’s integrated refinery and petrochemical complex in Nigeria, where it served as PMC and EPCM consultant. The operational facility produces Euro-V quality petrol, diesel, jet fuel and polypropylene.
EIL described the latest contract as a “strong affirmation of the trust reposed in EIL’s capabilities to deliver projects of exceptional scale and complexity”.
The company said it would deploy its engineering expertise, multidisciplinary capabilities and global execution model to support the development of the integrated refinery and petrochemical complex.