In a bold move that could disrupt operations at one of Nigeria’s most high-profile energy facilities, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has ordered its members to immediately halt all gas and crude oil supplies to the Dangote Petroleum Refinery.
This directive, issued on Friday through a letter signed by the union’s General Secretary, Lumumba Okugbawa, comes amid escalating tensions between the union and the refinery’s management over alleged anti-labour activities.
According to PENGASSAN, the Dangote Refinery has dismissed unionised employees and has been “peddling misinformation and propaganda” rather than engaging in constructive dialogue with the union. The union maintains that these actions violate the constitutional rights of workers to freely associate and join labour unions.
In response, PENGASSAN has instructed all branch chairmen particularly those in critical supply chains such as the Nigerian Gas Infrastructure Company (NGIC) to cut off gas delivery to the refinery without delay. The directive further extends to shutting down all crude oil supply valves feeding the facility and halting vessel loading operations destined for the refinery.
Major upstream and midstream companies have also been put on notice. These include Shell Nigeria Gas, Chevron, TotalEnergies, Seplat, Oando, and others who play key roles in Nigeria’s oil and gas logistics network.
The union describes the move as a necessary action to defend workers’ rights and to protest what it sees as a campaign of intimidation and suppression by the Dangote Group.
However, in a swift reaction, the Dangote Group dismissed claims of mass layoffs, stating that only a small number of workers were disengaged, citing the need to maintain operational integrity and guard against internal sabotage. The company also maintained that it continues to employ over 3,000 Nigerians at the refinery and emphasized that employees are free to join or not join any union.
This standoff is the latest in a string of controversies surrounding the $20 billion Dangote Refinery, which has been touted as a game-changer for Nigeria’s fuel independence. A full supply halt could severely impact refinery operations and ripple across the downstream oil market.
As the situation unfolds, all eyes will be on the Federal Government and energy sector stakeholders to see whether intervention or negotiations will defuse the tension and avert a potential shutdown of the country’s largest privately owned refinery.