Osamagbe Imadiyi
The Federal High Court in Abuja has heard a lawsuit filed by Dangote Petroleum Refinery and Petrochemicals against the Nigeria Midstream and Downstream Petroleum Regulatory Authority as well as a few significant oil and gas importers.
Dangote Refinery filed lawsuit number FHC/ABJ/CS/1324/2024 against NMDPRA, claiming that the latter was liable for N100 billion in damages for granting licenses to import refined goods like automotive gas oil and jet-A1 air fuel. According to Dangote, the refinery’s output was higher than domestic demand, negating the need for imports.
However, oil marketers objected, stating that dealers were free to import the commodities or purchase them from the $20 billion refinery located in Lekki because the market had been deregulated.
Dangote also requested that the import licenses given to four other companies, A. A. Rano Limited, Matrix Petroleum Services Limited, and the Nigerian National Petroleum Corporation Limited be revoked. NMDPRA, NNPCL, AYM Shafa Limited, A.A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited were all added as defendants in the case.
Dangote, the plaintiff, argued that by granting import licenses in the absence of any proof of product shortages, NMDPRA had broken provisions of the Petroleum Industry Act. Dangote said the regulator was not doing enough to support local refineries as required by law.
Ahmed Hashem, the general manager of government and strategic relations at the Dangote refinery, stated in an affidavit that the importation of AGO and Jet-A1 has caused business operations to be disrupted and left the refinery’s products largely unsold.
