A Kenyan court has lifted an earlier restriction on the development of Aliko Dangote’s proposed $16bn oil refinery in Kenya, allowing the project to proceed despite an ongoing legal dispute over land ownership and environmental concerns.
The ruling was delivered on Wednesday, October 14, 2026, by High Court Judge Jane Onyango during proceedings in Malindi.
Residents had challenged the proposed construction of the 700,000-barrel-per-day refinery in the Lamu archipelago.
The ruling comes two days after Kenyan parliamentary leaders expressed support for the Dangote East Africa Petroleum Refinery and Petrochemicals project and pledged to support the company’s planned initial public offering (IPO), according to a statement issued by Dangote Group on October 12.
The legal challenge was filed by 133 Kenyan residents who argued that the proposed refinery threatened their property rights and that the developers had not demonstrated compliance with environmental regulations.
The applicants argued that Kenyan law requires environmental impact assessments and public consultations before major infrastructure projects can proceed, particularly in environmentally sensitive areas such as Lamu, which hosts a UNESCO World Heritage site.
During Wednesday’s proceedings, Justice Onyango lifted the earlier restriction after identifying an error in the land parcel cited in the applicants’ petition.
The judge noted that the petitioners had referenced the wrong parcel of land and granted them permission to amend their filing to reflect the correct property.
The court adjourned the case until November 24, 2026, when the amended petition is expected to be heard. It also allowed additional interested parties to join the proceedings.
The number of petitioners could rise significantly, as lawyer George Wakahiu told the court that about 700 additional Kenyan residents had expressed interest in joining the lawsuit.
The Malindi Environment and Land Court had earlier issued an interim order on September 25, 2026, directing parties involved in the refinery’s land dispute to maintain the status quo on the contested property pending a hearing scheduled for October 14.
Dangote Group, however, maintained that the order did not amount to a complete suspension of the project, adding that preparations would continue within the limits of the court’s directive.
“The court has not halted the groundbreaking ceremony of the refinery at this stage,” Dangote Group said in a statement.
The company acknowledged that the restriction could affect some activities at the project site but insisted that its plans to develop the refinery remained unchanged.
