Dangote Refinery accuses PENGASSAN of economic sabotage

Dangote Refinery accuses PENGASSAN of economic sabotage

Dangote Refinery accuses PENGASSAN of economic sabotage

The Dangote Petroleum Refinery has raised alarm over what it described as a dangerous move by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), following a directive by the union to its branches to suspend crude oil and gas supplies to the facility.

In a statement on Saturday, the refinery warned that the instruction, if implemented, could disrupt the availability of essential petroleum products and trigger fuel shortages across the country. The company said the action not only threatens household and industrial supplies of petrol, diesel, kerosene, aviation fuel, and cooking gas, but also risks undermining government revenue and investor confidence.

The union had on 26 September directed its members in oil companies, including multinational producers and local operators, to halt crude loading and gas supply to the refinery. Dangote Refinery argued that the directive was outside the scope of the union’s authority, insisting that supply agreements were between the company and its vendors, not with PENGASSAN.

“The attempt to interfere with such contracts amounts to an unlawful disruption of Nigeria’s energy supply chain,” the statement said, adding that the development poses economic risks to both the company and the Nigerian state.

As the world’s largest single-train refinery and one of the country’s biggest taxpayers, the company described itself as a strategic national asset that should be safeguarded rather than targeted. It urged the federal government and security agencies to intervene, warning that the directive could inflict hardship on Nigerians and create a setback for the nation’s energy security.

The refinery further noted that it considered the directive contradictory, pointing out that PENGASSAN had previously suggested pursuing legal options in its dispute but had instead resorted to what it described as “disruptive tactics.”

Dangote Refinery stressed that halting supplies would not only cause immediate hardship for households and businesses but could also discourage much-needed foreign investment in Nigeria’s oil and gas sector.

“The repercussions of this directive would be felt in every household and across industries,” the statement said. “It is a development that requires urgent government attention.”

 

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