IDC, FJXX and ZDA Ink $1.1B Deal for Ndola Oil Refinery
The Industrial Development Corporation (IDC) and Fujian Xiang Xin Corporation (FJXX) have signed a strategic Memorandum of Understanding (MoU) with the Zambia Development Agency (ZDA) for the development of a $1.1 billion crude oil refinery and integrated energy complex in Ndola.
The agreement was signed during the Invest Zambia International Conference held from 16th to 18th July 2025 at Mulungushi International Conference Centre in Lusaka.
The planned facility will process three million tonnes of crude oil annually, which is approximately 60,000 barrels per day. This capacity is expected to meet Zambia’s entire current fuel demand and create room for exports to neighbouring countries. Groundbreaking for the project is scheduled for the third quarter of 2025, with commercial operations for the first phase anticipated in 2026.
During the construction phase, the project is expected to create around 2,200 jobs, spanning civil works, mechanical and electrical installations, and logistics. Once operational, the refinery will sustain about 600 direct jobs and over 2,000 indirect roles, resulting in more than 3,000 employment opportunities for Zambians. The project will also include skills transfer and certified training programmes to equip local talent with the expertise to operate the refinery according to international standards.
The refinery is designed to stimulate broader industrial development. In addition to fuel production, it will include units for LPG bottling, bitumen production, lubricants blending, and a 130-megawatt power plant, with 100 megawatts expected to be fed into the national grid.
The facility is also set to catalyse investment in storage infrastructure and rail networks, and provide feedstock for industries such as plastics, synthetic materials, fertilisers, and asphalt. Small and medium-sized enterprises will benefit from opportunities in transport, catering, equipment maintenance, and professional services.
Economically, the refinery is expected to reduce Zambia’s dependence on imported refined fuel, thereby improving energy security and shielding the economy from regional supply shocks. It is also projected to save the country millions of dollars in annual fuel import costs and reduce foreign exchange outflows, which will strengthen the kwacha. Located in an emerging industrial zone, the complex is positioned to drive further industrialisation and contribute to Zambia’s Vision 2030.
Speaking at the signing ceremony, IDC CEO Cornwell Muleya said the agreement marked a major milestone in Zambia’s journey toward industrialisation and energy independence. He highlighted the refinery’s potential to support job creation, improve living standards, and drive economic transformation.
FJXX President and Chairperson Huang Tieming expressed the company’s commitment to delivering world-class engineering and technologies to the project, adding that the initiative would have lasting economic impact across Zambia and the wider region.
ZDA Director General Albert Halwampa said the MoU demonstrated the spirit of Invest Zambia 2025 by showcasing bold partnerships that bring transformative capital and employment. He reaffirmed Zambia’s commitment to supporting high-impact projects and future-ready investment.
