Cameroon Begins Construction of 30,000-BPD Modular Refinery
07.18.2025 By Tank Terminals - NEWS

July 18, 2025 [Business in Cameroon]- On July 17, 2025, Cameroon’s National Hydrocarbons Company (SNH), its subsidiary Tradex, and the Ariana/RCG consortium officially launched the CSTAR Refinery project. This modular refinery, with an announced capacity of 30,000 barrels per day, will be built on a 250-hectare site in Lolabe, within the Kribi industrial-port zone.

 

The refinery’s estimated cost is 115 billion CFA francs. RCG Turnkey Solutions will lead the construction in partnership with Global Process Systems (GPS) and Norinco International. The work is expected to take 18 months, with commissioning set for June 2028. Nathalie Moudiki, CEO of CSTAR, stated at the ceremony that the initiative aligns with the presidential vision to position Cameroon as a regional hub for petroleum product supply.

The project also includes a fuel storage terminal for diesel, gasoline, Jet A1, kerosene, and heavy fuel oil. Its initial capacity will range from 250,000 to 300,000 cubic meters. This development comes as Cameroon continues to face challenges from the prolonged shutdown of Sonara, its national refinery. Sonara ceased all refining activity after a fire in May 2019, making Cameroon entirely dependent on imports of finished petroleum products, despite producing around 72,000 barrels of crude oil per day.

Cameroon’s annual demand for petroleum products is estimated at 1.9 million metric tons. Its current storage capacity, approximately 270,000 cubic meters, falls significantly short of regulatory requirements. These regulations mandate security stocks for 30 days of consumption and commercial stocks for 15 days, requiring a target capacity of about 470,000 cubic meters.

Given this context, the CSTAR project offers a crucial alternative. Estimates suggest it could reduce fuel imports by 30%, leading to annual savings of nearly 400 billion CFA francs. Authorities also anticipate export revenues of 141 billion CFA francs, primarily from marine fuels. Socially, the project is expected to create 2,000 direct and 5,000 indirect jobs, along with skills transfer benefiting the local workforce.

The launch of the Kribi refinery demonstrates a clear intent to restore Cameroon’s national energy autonomy, which has been weakened since Sonara’s shutdown. While the project is a significant milestone, its success hinges on several factors. These include adhering to timelines and budgets, securing financial arrangements, and ensuring institutions can sustainably manage such infrastructure.

Without rigorous oversight, this new facility could risk the same fate as other large-scale industrial projects that were announced but remained incomplete. Therefore, a return to petroleum sovereignty will depend not only on technology or investment, but primarily on credible and consistent governance over time.

 

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