Kenya Airways signs deal for Africa’s first sustainable aviation fuel refinery

Kenya Airways has signed a memorandum of understanding with Rubis Energy Kenya to build Africa’s first dedicated sustainable aviation fuel refinery. The agreement was finalised on Tuesday, May 12, in the presence of President William Ruto and French President Emmanuel Macron.

The refinery will process locally sourced waste cooking oil and animal fats into sustainable aviation fuel. Once complete, it is expected to produce 32,000 metric tonnes annually with an investment of 60 to 70 million euros.

The project will follow several production stages including pre-treatment of raw materials, hydrodeoxygenation to remove oxygen, isomerisation to improve fuel properties, and fractionation to separate components.

This marks Kenya Airways’ second major partnership in recent days, following its role as official airline for the Africa Forward concert held the same day at Kasarani Indoor Arena in Nairobi.

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Photorealistic image depicting the construction of Bishoftu Airport in Ethiopia, financed via Wall Street model, with Ethiopian Airlines involvement and African Union Summit backdrop.
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Ethiopia adopts Wall Street model for Bishoftu Airport

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Ethiopia is employing a Wall Street-inspired financing model for the Bishoftu Airport project amid discussions at the African Union Summit. Ethiopian Airlines has contributed 700 million dollars as initial investment toward the 12.5 billion dollar venture. A special-purpose company will oversee borrowing, with financiers choosing contractors.

Nigeria's billionaire Aliko Dangote pledged to Presidents William Ruto of Kenya and Yoweri Museveni of Uganda to build a refinery identical to his Lagos plant if they provide support. The facility would be in Tanzania's Tanga area, linked by pipeline to Mombasa. The commitment came at the Africa We Build Summit 2026 in Nairobi on April 23.

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At the Southern Africa Oil and Gas Conference in Cape Town, Minister Gwede Mantashe urged harnessing South Africa's oil and gas resources amid disruptions from the US-Israeli war on Iran. He stressed legislative urgency to avoid litigation delays. Industry leaders echoed calls for diversified energy portfolios.

The Kenya Pipeline Company has assured the public of sufficient fuel stocks at all its terminals to meet national demand, despite reports of shortages in at least 13 counties. The Kenya Transporters Association warns of a looming logistics crisis due to rationing and withdrawn credit facilities. Energy Cabinet Secretary Opiyo Wandayi has been summoned to parliament over a related fuel scandal.

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The R8 billion Cape Winelands Airport project near Durbanville is set to begin construction in late 2026, pending resolution of landowner appeals to the Western Cape environmental minister. The development aims to enhance regional travel, reduce airline fuel costs, and create thousands of jobs. Environmental approvals were granted in October 2025, but concerns over noise and land use persist.

As Middle East tensions intensify with the Iran war, petrol demand for Nigeria’s Dangote Refinery is surging across Africa, building on recent shifts by countries like South Africa and Ghana amid the Strait of Hormuz siege.

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The World Bank Group has announced a coordinated plan to provide financial aid to vulnerable countries like Kenya amid the Middle East conflict's effects. President William Ruto warned oil marketers against hoarding fuel for profit. This comes as fuel prices surge and some Kenyan petrol stations report shortages.

 

 

 

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