The battle between Africa’s richest man’s refinery and Nigeria’s oil authorities has escalated, as the Dangote Petroleum Refinery and Petrochemicals FZE has accused the Federal Government and its agencies of deliberately undermining its operations. In a dramatic court filing at the Federal High Court in Lagos, the refinery alleged that crude supply shortages and regulatory decisions are being used to frustrate its massive investment in Nigeria’s downstream oil sector.
At the centre of the dispute is the refinery’s claim that its crude oil supply arrangement with the Nigerian National Petroleum Company Limited (NNPC) has fallen far below operational needs. According to Dangote Refinery, it receives only about five crude cargoes monthly—less than half of what it requires to operate at full capacity. The company further alleged that it has been forced to rely on expensive international crude purchases, significantly increasing production costs.
The refinery also accused regulatory authorities, particularly the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), of continuing to issue petroleum import licences despite what it described as sufficient domestic refining capacity. It argued that this practice violates the Petroleum Industry Act and undermines local production, even naming some oil marketing firms allegedly benefiting from the import regime. Dangote described the situation as a “deliberate sabotage” of its investment and warned of severe economic consequences if the practice continues.
However, the Nigerian National Petroleum Company Limited swiftly rejected the allegations, insisting that it has not denied Dangote Refinery access to crude oil nor obstructed its operations. The NNPC also announced plans to challenge the case in court, questioning the refinery’s legal standing to bring the suit. It maintained that the regulatory agencies involved had acted within the law and denied any form of sabotage or coordinated effort against the refinery.
As the legal and commercial tensions deepen, both sides remain firm in their positions. Dangote Refinery argues that its multibillion-dollar investment and role as a major employer are at risk, while the NNPC insists the market is operating fairly under existing regulations. The case is expected to test the interpretation of Nigeria’s Petroleum Industry Act and could reshape how crude supply and fuel importation are managed in the country’s energy sector.