Zambia plans to use road and rail logistics for crude delivery as its $1.1bn oil refinery progresses.

Zambia is expected to begin supplying crude oil to a new refinery scheduled for completion in 2028, with initial deliveries set to move by road, according to the energy ministry.

Authorities say the transport system will later transition to rail, with crude imports expected from the Middle East and Angola.

Work is already underway on the $1.1 billion refining project being developed by Fujian Xiangxin Corp.. Once completed, the facility is projected to process around 60,000 barrels of crude oil per day, sufficient to satisfy domestic demand and potentially support exports to neighbouring markets.

Energy security considerations are driving the investment, as African governments reassess supply risks linked to global geopolitical tensions, including disruptions from the US–Israel conflict involving Iran. Zambia is also projected to lose about $200 million in revenue following a three-month suspension of fuel levies caused by instability affecting the Strait of Hormuz.

Officials say the refinery could save the country millions of dollars each year by cutting dependence on imported fuel products.

In addition to refining capacity, the broader energy complex will incorporate facilities for liquefied petroleum gas (LPG) bottling, bitumen manufacturing, lubricant blending, and a 130-megawatt power station, strengthening Zambia’s wider industrial and energy base.

Separately, Zambia has acquired an equity position in the Lobito refinery project located in Benguela Province on Angola’s Atlantic coastline.

When completed, the Lobito facility is expected to refine up to 200,000 barrels of crude per day. Under the current ownership structure, private investors including Zambia will collectively hold 70%, while Sonangol will retain the remaining 30%.

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