LAGOS, Sept 30 – Nigerian billionaire Aliko Dangote has selected Honeywell Technologies to provide engineering services, technology licensing and equipment for a planned 700,000-barrel-per-day refinery in Kenya, marking another major contract for the $16 billion project.
Dangote Petroleum Refinery and Petrochemicals FZE awarded Honeywell a $300 million contract covering engineering services and technology for the refinery, which is planned for Lamu County.
The agreement builds on the companies’ existing relationship at Dangote’s refinery complex outside Lagos. Honeywell has also been involved in projects supporting the Nigerian refinery’s expansion, which is expected to increase its capacity to 1.4 million barrels per day.
Honeywell Technologies President Rajesh Gattupalli said the company’s previous work with Dangote had created engineering designs that could be adapted for the Kenyan project.
“Through our long-standing relationship with Dangote, we have developed proven large-train engineering designs that can be applied to the Kenya refinery to significantly reduce time-to-market,” Gattupalli said.
$16 Billion Lamu Refinery
The Kenya refinery is part of a broader $16 billion investment in Lamu County and is intended to establish a large-scale domestic refining and petroleum-products hub for Kenya and the wider East African market.
Dangote and Kenyan President William Ruto broke ground for the project as the developer moves to establish the infrastructure required for the refinery.
The planned facility is expected to produce diesel, petrol and jet fuel for Kenya, while also supplying petroleum products to other markets across East Africa.
The project could reduce the region’s reliance on imported refined petroleum products by adding significant refining capacity closer to East African markets.
Honeywell Expands Dangote Relationship
Honeywell’s involvement in the Kenyan project extends a relationship that began with Dangote’s Nigerian refinery.
The US-based technology company has provided engineering and technology support for the Lagos refinery and is involved in upgrades aimed at increasing its capacity from its current level to 1.4 million barrels per day.
The use of established engineering designs and technology from the Nigerian project could allow Dangote to replicate elements of the refinery’s configuration in Kenya while seeking to accelerate construction.
The Lamu project has, however, faced opposition from environmental groups and affected landowners, who have challenged its development in court.
The latest contract gives Honeywell a significant role in the engineering and technology package for a project that Dangote intends to develop at large scale for both Kenya’s domestic fuel market and regional exports.
