Energy Minister Hon. Makozo Chikote has officially broken ground for the construction of a US$1.1 billion state-of-the-art petroleum refinery and integrated energy complex in Ndola. The project is being developed by the Zambia Petrochemical Energy Company Limited (ZPEC), a joint venture between the Industrial Development Corporation (IDC) and China’s Fujian Xiang Xin Corporation (FJXX).
The groundbreaking ceremony, held on Friday, marks a significant milestone as the project moves from preliminary processes to full implementation. This follows the signing of a Memorandum of Understanding on 21 July 2025 and the issuance of an investment licence by the Zambia Development Agency (ZDA) in November 2025.
Once completed, the refinery will process three million tonnes of crude oil annually, about 60,000 barrels per day, enough to meet Zambia’s current fuel demand while also supporting exports to regional markets. Construction will be carried out in phases, with the first phase expected to be completed within 18 months.
The project is expected to create over 2,200 jobs at peak construction. Once operational, it will support more than 600 direct jobs and over 2,000 indirect jobs, providing more than 3,000 employment opportunities overall.
Beyond fuel production, the integrated complex will drive industrial growth by including facilities for liquefied petroleum gas (LPG) bottling, bitumen production, and lubricant blending. It is also expected to stimulate related sectors such as storage infrastructure, rail development, and the supply of materials for manufacturing plastics, fertilizers, synthetic products, and asphalt. Small and medium enterprises (SMEs) are likely to benefit through opportunities in logistics, maintenance, catering, and specialized services.
Speaking at the ceremony, Hon. Chikote described the event as more than symbolic, calling it a progressive step that reflects strong private sector confidence in the country’s economic environment.
“Today’s occasion goes beyond the turning of soil. It marks a transformative milestone and demonstrates the private sector response to and environment created by the New Dawn administration,” said Hon. Chikote.
Commerce, Trade and Industry Minister Hon. Chipoka Mulenga, said the refinery was about the future of the country, where Zambia moves from being a consumer of imported products to a producer, processor and a competitive player in the regional and global markets.
Hon. Mulenga said it was necessary to build a new state-of-the-art refinery with new and efficient technology.
IDC CEO Mr. Cornwell Muleya said the project was not just about building the refinery, but it was also about securing Zambia’s energy future.
“It is about reducing our dependency on imports and creating a platform for industrialization and growth in the industrial base for the entire country,” said IDC CEO Mr Cornwell Muleya.
Mr Huang Tieming, Chairperson of Fujian Xiang Xin Corporation (FJXX) and ZPEC added: “As a key land-linked country in Southern Africa, Zambia’s industrial, transport and agriculture sectors continue to expand driving rising demand for refined petroleum products. Once completed this refinery will fundamentally change Zambia’s long-standing reliance on imported fuels. It will ensure reliable supply of gasoline and diesel and create substantial employment opportunities.”
Representative of the Chinese Embassy in Zambia, Mr. Wang Shen, said the refinery represented long-standing Zambia-China relations.
“It will help further strengthen the backbone of Zambia’s industrialization and modernization and considerably increase the added value of energy and chemical products,” Mr Wang said..
