Kenya is considering investing up to $500 million in the initial public offering of Dangote Group's proposed oil refinery, according to sources cited by CNBC Africa.
The potential stake would represent a significant state-level commitment to the project, which aims to establish a 700,000 barrels-per-day (bpd) refining capacity in the East African nation.
A $500 million sovereign or state-linked investment would provide substantial anchor capital for the equity portion of the deal.
The reported interest aligns with Dangote Group's previously outlined financing strategy for the Kenyan facility.
The group has confirmed it intends to fund the construction through a combination of internal cash, bond issuance, and an IPO.
A $500 million sovereign or state-linked investment would provide substantial anchor capital for the equity portion of the deal.
The refinery project is a cornerstone of Kenya's energy security strategy, aiming to reduce reliance on imported refined products.