Kenyan court suspends Dangote Refinery activities amid land dispute

A Kenyan court has ordered parties involved in the proposed Dangote refinery in Lamu County to maintain the status quo pending further proceedings in a dispute raised by local residents over the project.

The order was issued by the Malindi Land and Environment Court following a petition from farmers and residents of Chandavai in Lamu District, who raised concerns over alleged eviction and destruction of their properties.

Bloomberg reported on Monday that Judge Jane Onyango ordered that the “prevailing status quo” be maintained.

The court is expected to issue further directions on the matter on October 14, following an order dated September 25 and made public on Monday.

George Wakahiu, counsel for the applicants, told Bloomberg that the order effectively means that construction activities related to the project must not begin before the court reconvenes on October 14.

The petitioners stated that the proposed refinery would result in “forced eviction of the plaintiffs from their land, damage and destruction of their property, but no resettlement plan for them.”

They also argue that Dangote Group and Kenyan authorities have not complied with environmental requirements, including “a mandatory environmental impact analysis conducted prior to implementation of any major project,” before proceeding with construction.

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The court filing further states that the project does not comply with Kenya’s constitution, “which requires necessary community participation.”

However, Dangote Group offered a different interpretation of the court order, saying it had not specifically canceled the groundbreaking ceremony scheduled for September 30.

In a statement carried by Reuters on Tuesday, the company acknowledged that activities at the project site could be affected while the case was before the courts.

“The court has not stopped the groundbreaking ceremony for the refinery at this stage. However, activities at the site may be affected by the decision, as both parties are required to refrain from activities until the case is heard on October 14,” the statement said.

This legal dispute occurred when the Kenyan government attempted to facilitate the proposed construction of a refinery with a capacity of 700,000 barrels per day in Lamu.

President William Ruto said his government was expediting the necessary administrative processes for the project during his visit to the Dangote Oil Refinery in Lekki, Lagos, on Friday.

Ruto said the Kenyan government had acquired land for the proposed facility and was working to meet other regulatory requirements to minimize bureaucratic delays.

Kenya’s president described the refinery plan as a regional development project capable of increasing industrial activity, creating jobs and improving technical expertise across East Africa.

Dangote, Africa’s richest man, also said the planned refinery facility in Kenya would be bigger than the existing refinery in Lagos.

Therefore, the proposed project faces a combination of legal, environmental and administrative issues as the parties await the next court hearing on October 14.