EA carriers count on Dangote Lamu refinery to reduce soaring fuel costs

East African airlines are pinning their hopes on Aliko Dangote’s planned oil refinery in Lamu, Kenya, in the hope of securing a new source of jet fuel and reducing their exposure to external supply shocks.

This came as the Middle East crisis pushed up the cost of aviation fuel and exposed the region’s dependence on supplies from outside Africa. The African Airlines Association (AFRAA), which negotiates jet fuel prices for all African airlines, says that Dangote’s entry into the jet A-1 fuel business has ensured some supply security on the continent and that his expansion into East Africa could benefit the region’s airlines.