BY GODWIN OBI
The $20bn Dangote Petroleum Refinery is facing a major labour crisis following the order by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) for its members across seven oil and gas firms to halt all crude oil and gas supplies to the massive facility.
The refinery slammed the directive, describing it as criminal, lawless, and economic sabotage.
At the centre of the crisis is the dismissal of 800 workers, which the union said were laid off for exercising their constitutional right to join PENGASSAN. The union also accused the refinery of importing illegal Indian expatriates into Nigeria’s sensitive energy sector.
It further alleged wage discrimination, claiming Nigerian engineers earned about N385,000 monthly, while Indian counterparts received as much as $5,000 (about N7.5m).
Crude, Gas Shutdown
In response, PENGASSAN on Saturday ordered a shutdown across its branches in major oil and gas companies, including TotalEnergies, Chevron, Seplat, Shell Nigeria Gas, Oando, Renaissance, and the Nigerian Gas Infrastructure Company.
The union’s General Secretary, Lumumba Okugbawa, directed an immediate stoppage of gas and crude supply to Dangote Refinery.
“All crude oil supply valves to the refinery should be shut. Loading operations for any vessel headed to the refinery should be halted immediately. Injury to one is injury to all,” the memo stated.
Union officials hinted at a possible nationwide strike should Dangote fail to reinstate the sacked workers.
“This isn’t just about Dangote anymore—it’s about setting a precedent,” a senior union official said.
FRONTLINE REPORTERS gathered that while the Nigeria Labour Congress is not directly involved, it is closely monitoring developments pending a response from the Trade Union Congress, to which PENGASSAN is affiliated.
Dangote: PENGASSAN Plotting Fuel Crisis
In a swift reaction, Dangote accused the union of plotting to deny Nigerians access to fuel, diesel, aviation fuel, kerosene, and cooking gas.
In a statement, the company said, “Apart from the lawlessness and criminality inherent in PENGASSAN’s instruction, the directive amounts to economic sabotage at multiple levels. In plain language, PENGASSAN has directed its branches to stop the supply of petroleum products from the Dangote Refinery to Nigerians. In what circumstance would it be justified for PENGASSAN to disrupt and introduce hardship into the living conditions of Nigerians? None that we can see.”
The refinery stressed that Nigeria is governed by law, not mob action.
“This is economic sabotage against the Nigerian state at multiple levels. Dangote Refinery is the only refinery of its type in Africa and qualifies as a strategic national asset. An irreparable injury to it would constitute a national embarrassment and discourage investors,” it warned.
The company urged the Federal Government and Nigerians to resist the union’s move.
“The production and supply of petrol, diesel, kerosene, cooking gas, and aviation fuel would cease if this directive is allowed. The repercussions would affect all Nigerians. This is therefore a fight for all Nigerians,” the statement added.
Refinery Backtracks on Dollar Payment
Meanwhile, the refinery briefly suspended naira payments for fuel sales, citing pressure from exceeding its naira-crude allocations. Customers were advised to request refunds and await updates.
But following the intervention of the Naira-for-Crude Technical Committee chaired by the Minister of Finance, Wale Edun, the refinery reversed its decision.
In a fresh notice, it confirmed that sales in naira had resumed and urged marketers to place fresh orders for both self-collection and free delivery at depots across the country.
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2025-09-28