Aiteo to Build $240K bpd Refinery in Mozambique, Boosting Fuel Supply and Regional Energy Trade
Aiteo, one of Africa’s leading energy companies, has signed a landmark engineering, procurement, and construction (EPC) agreement to develop a 240,000 barrels-per-day (bpd) oil refinery in Mozambique.
The project is set to dramatically increase domestic fuel production, reduce reliance on imports, and position Mozambique as a key energy hub in Southern Africa.
The announcement was made during a signing ceremony chaired by President Daniel Chapo, underscoring the government’s commitment to attracting high-impact energy investments and strengthening industrial infrastructure.
The project supports Chapo’s long-term strategy focused on energy independence, industrial growth, and regional trade expansion.
The refinery will be developed through a joint venture between Aiteo US Corporation and Mozambique’s state-owned Petromoc.
The EPC contract has been awarded to U.S.-based Deerfield Energy Services LLC, reflecting the project’s international scope and technical complexity.
The refinery is designed for phased development, beginning with an initial 80,000 bpd processing train and scaling up to its full 240,000 bpd capacity.
Utilizing low-complexity modular technology, the plant will be built for rapid deployment and long-term operational efficiency.
Once completed, the refinery will produce a range of petroleum products including gasoline, diesel, jet fuel, and naphtha.
It will also support clean cooking initiatives by expanding access to liquefied petroleum gas (LPG), helping address fuel affordability and energy access challenges in Mozambique and the wider region.
“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.”
The first phase of construction is expected to be completed within 24 months. Once fully operational, the refinery will rank among the largest in the Southern African Development Community (SADC), adding substantial refining capacity to the region’s energy infrastructure.
The agreement reinforces Mozambique’s push for transformative industrial partnerships, while also highlighting Aiteo’s commitment to long-term infrastructure development across the continent.
It also reflects the strategic vision of President Chapo, whose administration continues to position energy infrastructure as a central pillar of Mozambique’s economic transformation.
