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Dangote Refinery Pulls Plug on ₦100 Billion Suit Against NNPCL and Marketers

Nigeria’s Dangote Petroleum Refinery and Petrochemicals FZE has officially withdrawn its ₦100 billion lawsuit challenging fuel import licenses issued to the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Nigeria National Petroleum Company Limited (NNPCL), AYM Shafa Limited, A.A. Rano Limited, Matrix Petroleum Services, and other marketers

The dispute initially filed in September 2024 and revisited in January 2025 centered on the refinery’s claim that imports were improperly licensed despite Dangote’s capacity to meet domestic demand, and sought to enforce Sections 317(8) and (9) of the Petroleum Industry Act

A Federal High Court judge had earlier dismissed preliminary objections from NNPCL over procedural issues including naming errors and denied the Federal Competition and Consumer Protection Commission (FCCPC) permission to join the case. The court also allowed Dangote to amend its filings accordingly and scheduled further proceedings for May and later September 2025

In a notice of discontinuance filed today, the refinery’s lead counsel, Ogwu Onoja (SAN), formally discontinued the proceedings “forthwith,” with no explanation provided

The case remains on the court’s calendar for September 29, 2025, when judges will consider whether to formally strike it out and assess any cost implications or waivers by the defendants

Why This Matters:

  • The suit underscored tensions between domestic refining capacity and policy allowing fuel imports—even amid claims of oversupply by Dangote Refinery.
  • A withdrawal now may signal shifts in policy alignment following President Bola Tinubu’s directive on crude and refined product sales in naira, which prompted ongoing negotiations among stakeholders
  • The move may ease regulatory friction ahead of potential collaboration or policy reforms but leaves open questions about market competition and licensing discretion.

As of now, NMDPRA and the involved oil marketers have not publicly responded to the withdrawal. The outcome of the scheduled hearing in September will clarify the final legal standing and whether parties will bear any cost burdens.

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