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Dangote Refinery dispute disrupts Nigeria’s oil supply

Ibrahim Onipede by Ibrahim Onipede
October 21, 2025
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Dangote Refinery dispute disrupts Nigeria’s oil supply, prompting House of Representatives to act urgently to safeguard strategic investment.

The Dangote Refinery dispute has thrown Nigeria’s petroleum sector into turmoil, prompting urgent intervention by the House of Representatives.

Also read: Dangote refinery challenges marketers amid petrol hike

The standoff between the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the refinery has severely disrupted crude oil production and fuel distribution across the country.

Lawmakers described the refinery as a vital national asset, with the potential to ensure energy security, reduce reliance on imports, and create thousands of jobs.

Yet, since 29 September 2025, industrial action at the $20 billion facility has led to a reported daily loss of approximately 200,000 barrels of crude oil, worsening fuel scarcity nationwide.

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The House motion, co-sponsored by representatives from Kano and Sokoto states, stressed the need to protect the refinery’s operations within the Nigeria Export Processing Zones Authority (NEPZA) framework.

This legislation grants special protections to the refinery, operating within a Free Trade Zone, shielding it from disruptive union activities.

Speaking in plenary, Alhassan Doguwa emphasised the gravity of the situation. He warned that ongoing union conflicts threaten investor confidence and risk undermining Nigeria’s broader economic growth.

Despite concerns from some lawmakers about the timing of a probe, the House has mandated its leadership to mediate peace between the parties.

Ministries responsible for labour, trade, and justice have been called upon to develop and enforce policies that safeguard private investments of strategic importance.

The Dangote Refinery dispute serves as a stark reminder of the delicate balance between labour rights and economic progress in Nigeria’s burgeoning energy sector.

Also read: Aliko Dangote warns monopoly claims harm investment

The nation now watches closely as political and industrial leaders work to restore stability and protect this crucial powerhouse.

Source: Read more at saharareporters.com

Ibrahim Onipede
Ibrahim Onipede

Ibrahim Onipede is a journalist and contributor to Freelanews.com, covering news, public affairs, and human-interest stories.

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