• Zambia launches $1.1 billion refinery project in Ndola
• Plant to meet fuel demand, create over 4,800 jobs
• Facility aims to cut imports, support industry and exports

Zambia began construction of a $1.1 billion oil refinery on Friday, April 10, aiming to meet domestic fuel demand and support industrial development.

The refinery will be built in Ndola, a major industrial and mining hub in Copperbelt province near the border with the Democratic Republic of Congo. It will be developed by the Zambia Petrochemical Energy Company (ZPEC), a joint venture between China’s Fujian Xiang Xin Corporation and the Industrial Development Corporation (IDC).

Construction is expected to be completed by the end of 2028. The building phase is projected to create more than 2,200 jobs, while operations are expected to generate more than 600 direct and over 2,000 indirect jobs once the facility becomes operational.

Speaking at the groundbreaking ceremony, Energy Minister Makozo Chikote said the refinery will have a processing capacity of 3 million metric tons per year, or roughly 60,000 barrels per day. He added that it is expected to support key sectors such as mining and other fuel-intensive industries.

This capacity should be sufficient to meet the country’s current fuel demand. In a statement after signing the agreement with Fujian Xiang Xin Corporation, the government said the facility could also export part of its output to neighboring countries in the long term.

Chikote said the integrated energy complex will include liquefied petroleum gas (LPG) bottling, bitumen production and lubricant blending, increasing value-added activities and supporting industrial growth. “This transformative project reflects strong investor confidence in the country’s business-friendly environment,” he said, urging developers to prioritize skills transfer and training for Zambians.

In 2024, Zambia imported $2.11 billion worth of refined petroleum products, according to the Observatory of Economic Complexity (OEC). Key suppliers included Singapore ($426 million), Tanzania ($387 million) and the United Arab Emirates ($335 million), making fuel imports the country’s largest source of foreign exchange outflows.

Walid Kéfi