Kenya is preparing to begin construction of the proposed East Africa Refinery in Lamu, a $17bn project being developed in partnership with Nigerian businessman Aliko Dangote.

President William Ruto announced the development after meeting with Dangote, President and Chief Executive Officer of Dangote Industries, and Africa Finance Corporation Chief Executive Officer, Samaila Zubairu, during the 81st United Nations General Assembly in New York.

The meeting centred on funding arrangements and the final steps required to move the refinery project into the construction phase.

Ruto said his administration was ready to move beyond planning and commence work on the refinery, which he said would play a major role in improving energy security across East Africa.

According to the Kenyan President, the project is expected to generate employment, increase local value addition and support industrial development in the region.

The proposed refinery, estimated to cost about Sh2.2tn ($17bn), is planned to have a crude processing capacity of 700,000 barrels per day.

Once completed, the facility is expected to supply petroleum products to markets across East and Central Africa.

Ruto also said the refinery would create additional economic opportunities and strengthen supply chains, while contributing to Kenya’s ambition of developing Lamu into an energy, industrial and logistics hub.

The project is part of broader efforts to expand Kenya’s energy infrastructure and increase the country’s role in regional petroleum supply.

Ruto said the government would continue working to ensure the project moves into implementation and delivers economic benefits to communities and businesses in the region.