A Kenyan court has ordered parties to maintain the status quo over land earmarked for Dangote Group’s proposed 700,000-barrel-per-day refinery in Lamu, just a day before the planned groundbreaking ceremony.
The Malindi Environment and Land Court issued the order after 133 residents of Chandavai challenged the development, claiming the land is ancestral property that has been occupied, cultivated and used by their families for generations.
The residents also allege that homes, crops, trees and other property have been affected by preparations for the project.
They are challenging parts of the compulsory acquisition process, including claims that affected occupants were not adequately recognised or compensated.
The court’s order requires the existing situation on the disputed land to be maintained pending further proceedings scheduled for October 14. However, the ruling has not halted the planned groundbreaking ceremony on Wednesday.
Dangote Group says the ceremony will go ahead, although activities at the project site could be affected by the court order.
The proposed refinery is expected to cost between $15 billion and $16 billion and will have the capacity to process up to 700,000 barrels of crude oil per day.
The project forms part of Kenya’s plans to develop Lamu into an energy and logistics hub, with crude expected to come from Kenya and other African producers.
The latest development comes as equipment for the refinery continues to arrive at Lamu Port. About 2,930 metric tonnes of refinery equipment were delivered to the port this week.
Kenyan President William Ruto is expected to attend the September 30 groundbreaking ceremony. The court will hear the land dispute on October 14, when the respondents will have an opportunity to respond to the residents’ claims.
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