Dar es Salaam — Africa’s richest person, Aliko Dangote, has held talks with President Samia Suluhu Hassan to explore expanding his investment portfolio in East Africa.
The meeting, which took place at the State House in Dar es Salaam on May 16, 2026, focused on a proposed US$17 billion crude oil refinery and new ventures in fertiliser production.
The discussions come amid intense regional competition for the massive refinery project, which is designed to process 650,000 barrels per day.
Recent reports have suggested that Dangote is leaning towards locating the facility in Mombasa, Kenya, prompting a strategic push from the Tanzanian government to secure the investment.
During the meeting, Dangote praised the government’s efforts to improve the business environment. He specifically thanked President Samia for resolving operational challenges at his existing US$600 million cement plant in Mtwara.
“I want to sincerely thank you for resolving many of the challenges facing our investment at the Mtwara Cement Plant,” Dangote said. “When you came into office, we had a series of challenges, but as you promised, every single one has been properly addressed.”
The Mtwara facility is currently performing strongly, with production expected to reach 2.8 million tonnes this year against an installed capacity of 3.2 million tonnes.
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To improve logistics and lower operating costs, the Dangote Group has already deployed 400 compressed natural gas-powered trucks. This initiative is part of a broader plan to convert 700 vehicles from diesel to natural gas.
“We are doing well,” Dangote noted. “I must thank you, Your Excellency, for your guidance; without it, the market would not have been created to enable us to operate at this scale.”
Race for the refinery
The proposed refinery dominated the discussions, given its potential to transform the region’s energy landscape.
East Africa remains heavily dependent on imported petroleum products, leaving economies vulnerable to global energy crises and foreign exchange pressures.
Tanzania and Kenya combined consume roughly 40 million litres per day, highlighting the strategic importance of domestic refining capacity.
Dangote noted that the project could be structured to allow equity participation by countries in the region. This approach supports Africa’s push to build domestic refining capacity and reduce dependence on imported fuel.
“By and large, the governments of East Africa will be part owners of this refinery,” Dangote stated. “It doesn’t matter where the location is, and Tanzania, we have offered Tanzania to also be a part owner of this refinery.”
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The Nigerian billionaire’s existing refinery in Lagos, currently the world’s largest single-train refinery, has already demonstrated the economic benefits of domestic production.
It has significantly reduced Nigeria’s reliance on imported fuel, supported foreign exchange stability, and created thousands of jobs.
Tanzania offers strategic advantages for the new project, including the termination point of the East African Crude Oil Pipeline in Tanga. The country also occupies a unique position between the East African Community and the Southern African Development Community markets.
Expansion
Beyond energy, the meeting explored potential investments in agriculture and infrastructure. Dangote revealed plans to establish an NPK fertiliser blending plant to address chronic shortages across the continent.
“One of the biggest problems that we have in Africa is that we don’t produce fertiliser. Most of the fertilisers actually come late,” Dangote observed. “What we want to do is see if we can produce urea, then bring in potash and phosphate and do NPK blending.”
“We will look at setting up the NPK plant immediately and then, most likely within the next year, it should be ready,” Dangote promised.
The two leaders also discussed developing a port and industrial zone in Bagamoyo. Dangote indicated that technical teams would arrive within a week to begin working on these projects.
President Samia, on her part, assured Dangote of her government’s continued cooperation, according to a statement by the State House. She invited the Dangote Group to assess further bankable investment opportunities that would generate commercial returns while supporting national economic priorities.
She also welcomed the potential investment in fertiliser production, noting that domestic demand remains well above current local production capacity.
The outcome of the refinery location decision remains pending, with technical teams tasked to determine the best-suited site.
As African nations seek to move away from exporting raw materials and importing finished goods, investments of this scale are increasingly viewed as essential for long-term economic resilience.
