Key Points

• Mozambique and Aiteo’s refinery project will scale up to 240,000 barrels per day, making it one of the largest in the SADC region.
• The refinery will reduce fuel import dependence and support regional trade through the production of gasoline, diesel, jet fuel, and LPG.
• The project aligns with Mozambique’s national strategy to boost energy access, create jobs, and strengthen industrial infrastructure for long-term growth.

Aiteo, one of Africa’s leading energy companies, has signed a major engineering, procurement, and construction (EPC) agreement to develop a 240,000 barrels-per-day refinery in Mozambique.

The project is expected to significantly boost domestic fuel production, reduce import dependence, and establish the country as a key energy supplier in Southern Africa.

The announcement was made during a signing ceremony chaired by President Daniel Chapo, marking the formal start of a strategic partnership between Aiteo and the Government of Mozambique. The project reflects the administration’s efforts to attract high-impact energy investments and expand industrial infrastructure across the country — a direction shaped in part by Chapo’s long-term focus on energy independence and industrialization.

Nigerian Inquirer reports that the new refinery will be developed as a joint venture between Aiteo US Corporation and Mozambique’s state-owned petroleum company, Petromoc. U.S.-based Deerfield Energy Services LLC, an established engineering firm, has been awarded the EPC contract, reflecting the project’s international scope and technical ambition.

Designed for phased development, the refinery will launch with an initial 80,000 bpd processing train and scale up to full capacity of 240,000 bpd.

Facility to use modular technology

The facility will use low-complexity, modular technology to speed up deployment and ensure operational stability. Its output will include gasoline, diesel, jet fuel, and naphtha, with the potential to meet local demand and support growing regional trade.

The project is also aligned with Mozambique’s long-term energy strategy, which emphasizes domestic refining capacity, industrial development, and job creation. Officials say it will expand access to cleaner fuels and liquefied petroleum gas (LPG), helping address energy access and affordability — particularly in support of clean cooking initiatives.

“This EPC contract marks a defining milestone for Aiteo and Mozambique’s energy future,” said Dr. Ransome Owan, Group Managing Director for Infrastructure at Aiteo. “It will reduce import reliance, create jobs, and lay the foundation for Mozambique to become a leading hub in the region’s downstream energy sector.”

Construction of the first phase is expected to be completed within 24 months. Once fully operational, the refinery will be among the largest of its kind in the Southern African Development Community (SADC), adding significant capacity to the regional energy landscape.

Aiteo deal is commitment to infrastructural development across Africa

The deal reinforces the government’s push for transformative industrial partnerships and Aiteo’s commitment to long-term infrastructure development across Africa.

It also highlights the strategic foresight of President Chapo, whose administration has prioritized energy infrastructure as a pillar of Mozambique’s economic transformation.