The effects of intergroup contact on prejudice are well established. However, its effects on minority group well-being have been rarely studied. We hypothesised that contact with members of the majority culture will be related to better well-being, and that this is facilitated by majority language proficiency. We tested this hypothesis in a three-wave longitudinal study of refugees over two years (N = 180). Cross-lagged path modelling confirmed that intergroup contact at earlier time points was associated with increased well-being at later time points; the reverse associations (from earlier well-being to later contact) were not reliable. Self-rated earlier English language competence was positively associated with later intergroup contact (but not the reverse), suggesting that improving majority language proficiency might be the key to better well-being of refugees, with intergroup contact being the mediator between language and well-being.