A Kenyan court has lifted an order that temporarily halted work on Nigerian billionaire Aliko Dangote’s proposed $16 billion oil refinery in Lamu County, allowing the project to proceed despite an ongoing land dispute.
The ruling was delivered on Wednesday, October 14, 2026, by Justice Jane Onyango of the Malindi Environment and Land Court, following a petition filed by 133 residents challenging the development over land ownership and environmental concerns.
Why Kenya Court Lifted the Ban
According to Kenyans.co.ke , the court lifted the restriction after the petitioners failed to properly serve the respondents and identified the wrong parcel of land.
The court declined to extend the earlier restriction after finding that the petitioners had failed to properly serve Dangote and other respondents involved in the case.
The judge also noted that the residents had identified the wrong parcel of land in their petition.
Justice Onyango granted the petitioners seven days to amend their filing and directed them to serve the relevant parties before further proceedings.
The decision removes an immediate legal obstacle to the refinery project but does not resolve the underlying land dispute.
Why Residents Oppose Dangote’s Refinery
The legal challenge was brought by residents of Lamu County who claim ancestral rights to portions of the land earmarked for the proposed refinery.
The petitioners allege that the project threatens their property rights and could lead to displacement without adequate compensation or resettlement arrangements.
They have also raised questions about land acquisition procedures and compliance with environmental regulations.
Their lawyer, George Wakahiu, told the court that approximately 700 additional residents had expressed interest in joining the proceedings.
What to Know About Dangote’s $16bn Refinery
The proposed Dangote East Africa Petroleum Refinery and Petrochemicals project is designed to process 700,000 barrels of crude oil daily.
Located in Lamu County, the refinery is expected to strengthen regional refining capacity and reduce East Africa’s dependence on imported petroleum products.
The project, formally launched by Dangote and Kenyan President William Ruto on September 30, 2026, is also expected to include a 1,000-megawatt power plant.
Commissioning is currently targeted for 2030.
What Happens Next?
The land dispute remains before the Kenyan court, with the matter scheduled for further proceedings on November 24, 2026.
Although the latest ruling allows work to continue, the residents’ objections concerning land rights, compensation and environmental compliance have not been resolved.
The outcome of the continuing legal proceedings could determine whether further restrictions are imposed on the multibillion-dollar refinery project.
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