Engineers India Ltd (EIL) saw its shares climb by 6% on Tuesday, hitting a new 52-week high, after announcing a significant contract win from the Dangote Group. EIL will act as the Project Management Consultant (PMC) and Engineering, Procurement, and Construction Management (EPCM) consultant for Dangote's new 700,000 barrels-per-day (BPD) greenfield refinery and petrochemical plant in Kenya. The contract value is reported to be in excess of $450 million.
This new project is part of the Dangote Group's aggressive expansion into East Africa, aiming to meet regional demand and process a wider range of crude oil. The refinery is expected to strengthen fuel production in East Africa, reduce dependence on imports, and enhance regional energy security, while also positioning Kenya to supply petroleum products to global markets.
EIL has a history of collaboration with the Dangote Group, having previously served as PMC and EPCM consultant for the 650,000 BPD Dangote Refinery and Petrochemical Complex in Nigeria, which has already been commissioned. EIL is also involved in an expansion project for the Nigerian refinery to 1.4 million BPD, a move poised to significantly boost Africa's refining capacity. The Dangote Group, a Nigerian multinational conglomerate, operates across 17 African countries with diverse interests including oil and gas, mining, petrochemicals, and cement.
