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By Ollus Ndomu

Zambia is set to construct a $1.1 billion state-of-the-art crude oil refinery and integrated energy complex in Ndola, following the signing of a Memorandum of Understanding (MoU) between the Industrial Development Corporation (IDC), the Zambia Development Agency (ZDA), and China’s Fujian Xiang Xin Corporation.

The facility, expected to process up to three million tonnes of crude oil annually—equivalent to approximately 60,000 barrels per day, aims to meet Zambia’s domestic fuel needs while positioning the country as a future exporter to neighboring markets.

Construction is scheduled to begin in the third quarter of 2025, with the first phase of commercial operations anticipated by 2026.

During its development phase, the project is projected to create more than 2,200 jobs across civil works, mechanical and electrical engineering, and logistics. Once operational, the refinery is expected to support 600 direct jobs and over 2,000 indirect roles in maintenance, supply chain services, and auxiliary operations.

The complex will also include a 130-megawatt power plant, of which 100 megawatts will be fed into Zambia’s national grid, bolstering energy supply in a country that continues to face periodic shortages.Speaking at the MoU signing ceremony, IDC Chief Executive Officer Cornwell Muleya hailed the project as a “significant milestone” in Zambia’s industrialization strategy and a crucial step toward energy self-reliance.

“This initiative aligns with the government’s long-term vision for cost-effective energy solutions for our industries and citizens,” Muleya said.

Fujian Xiang Xin Corporation President Huang Tieming said the company was proud to collaborate with the Zambian government. He noted that the partnership would bring cutting-edge technology and global engineering standards to the country’s energy sector.

The announcement was made in Lusaka through a joint statement by ZDA Head of Corporate Communication Kwali Mfuni and IDC Head of Corporate Communication Namakau Mukelabai.

The new refinery comes at a critical time for Zambia, which is grappling with high fuel import costs and growing regional demand for energy solutions. Analysts say the investment could position Zambia as a strategic fuel hub in Southern Africa.

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