A Kenyan court has ordered a halt to construction activities linked to Aliko Dangote’s proposed $16 billion oil refinery in Lamu County, following a legal challenge by local residents opposing the project.
The ruling represents a major legal setback for the ambitious refinery project, which is planned for Lamu in north-eastern Kenya.
According to Bloomberg, Judge Jane Onyango ordered all parties to maintain “the status quo prevailing” at the disputed site pending further proceedings.
The case was brought by 133 residents who claim rights to the land earmarked for the refinery. The petitioners allege that development activities have affected their ancestral land and property, with claims including destruction of homes, crops and trees and concerns over resettlement.
The court is expected to issue further directions on October 14, 2026.
The proposed Dangote refinery is designed to have a processing capacity of 700,000 barrels of crude oil per day and is expected to form a major part of Dangote Group’s expansion across Africa.
However, Dangote Group has indicated that the court order will not stop the planned groundbreaking ceremony, although it could affect activities at the project site.
The legal dispute comes as the project faces questions over land ownership and the rights of communities in Lamu, putting the planned development under fresh judicial scrutiny.
Further developments are expected when the matter returns before the Kenyan court on October 14.
