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Economic Issues > Blog > Uncategorized > Dangote Refinery Warns of Economic Sabotage over PENGASSAN Directive
Uncategorized

Dangote Refinery Warns of Economic Sabotage over PENGASSAN Directive

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By Reporter September 27, 2025
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Dangote Refinery Warns of Economic Sabotage over PENGASSAN Directive

By Patience Ikpeme 

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Dangote Petroleum Refinery has described the recent directive by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) to halt crude oil and gas supply to the facility as an act of economic sabotage that threatens Nigeria’s stability and energy security.

 

In a strongly worded statement issued on Saturday, the Refinery said the move, if enforced, could discourage international investors from committing resources to the Nigerian oil and gas sector, while also jeopardising government revenues at both the federal and subnational levels.

 

“Dangote Refinery is the only refinery of its type in Africa and the largest single-train refinery in the world. Its operations should ordinarily be in the interest of all Nigerians as well as the governments of Nigeria,” the management said. “Any action designed to disrupt its operations constitutes sabotage against the Nigerian state at multiple levels.”

 

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The management argued that PENGASSAN’s directive would not only damage Nigeria’s investment climate but also pause one of the country’s largest revenue streams at a time when the refinery had become a major contributor to government income.

 

The company further stated that the union’s directive amounts to reckless conduct that is “lawless, baseless, and criminal.” It maintained that PENGASSAN has no legal authority to order a cut in crude oil and gas supplies to the refinery, adding that supply contracts were signed directly with vendors, not with the union.

 

“There is no law in our statute books that would support or enable PENGASSAN to cut off supplies to Dangote Refinery or at all,” the statement said. “Those supply contracts were not entered into with PENGASSAN, and the Association has no right whatsoever to disrupt or interfere with their performance.”

 

Dangote Refinery also warned that the directive could unleash widespread hardship on Nigerians by creating artificial scarcity of petroleum products such as petrol, diesel, kerosene, aviation fuel, liquefied petroleum gas (LPG), and cooking gas.

 

“Nigeria is a country governed by laws. Our laws do not brook self-help and mob action that could introduce mayhem and chaos and easily translate into anarchy,” the statement added. “PENGASSAN’s conduct is a complete disregard of the rule of law.”

 

The company urged the Federal Government, security agencies, and regulators to intervene immediately to prevent the directive from being carried out, describing it as reckless and irresponsible. It also called on Nigerians to resist any attempt that would lead to unnecessary hardship.

 

“This is a fight for all Nigerians because every household depends on the very petroleum products that PENGASSAN has now directed its branches to disrupt,” the management said. “The repercussions from this directive would affect and inflict harm on all Nigerians.”

 

Reiterating that the only acceptable path is through legal redress, the refinery pointed out that PENGASSAN itself had previously declared in a press release that it would take necessary legal actions against Dangote Refinery, not resort to disruption.

 

“The Association must not be allowed to ride roughshod on Nigerians,” the statement said. “We must encourage and nudge PENGASSAN to live up to its commitment to take necessary legal actions, not illicit and criminal actions, to challenge any act it disagrees with.”

 

The company revealed that PENGASSAN’s directive, issued on 26 September 2025, instructed its branches in TotalEnergies E&P, Seplat, Chevron, Oando, Shell Nigeria Gas, NGIC, and others to cut gas supply to NGIC and shut crude supply valves to the refinery immediately. The union also ordered that loading operations for vessels bound for the refinery should be stopped.

 

Dangote Refinery concluded by warning that the union’s order, if implemented, would halt operations at a facility that plays a central role in Nigeria’s energy and economic future.

 

 

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Reporter September 27, 2025 September 27, 2025
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