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Home » Dangote Refinery Slams PENGASSAN Over Supply Halt Threat

Dangote Refinery Slams PENGASSAN Over Supply Halt Threat

Refinery warns union’s directive could destabilize fuel supply, investor confidence, and government revenue.

nigeriawallstret by nigeriawallstret
September 27, 2025
in Energy
Reading Time: 2 mins read
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Lagos, Nigeria – The Dangote Refinery has sharply criticized the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) after the union directed its members to halt crude oil and gas supply to the multi-billion-dollar facility. Management labeled the move “lawless, reckless, and criminal,” warning it could jeopardize the country’s energy security and undermine investor confidence.

In a statement issued on Saturday, the refinery said it became aware of a directive circulated by PENGASSAN on September 26 to branches across several operators, including TotalEnergies E&P, Seplat, Chevron, Oando, and Shell Nigeria Gas. The union allegedly instructed members to shut valves supplying crude to the refinery, cut gas supplies to NGIC, and halt vessel loading operations.

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Describing the move as an act of economic sabotage, Dangote Refinery insisted no law empowers PENGASSAN to interfere in legally binding supply contracts. “Absolutely no law gives PENGASSAN the right to cut off supplies to Dangote Refinery or anywhere else. This amounts to criminal conduct intended to disrupt or interfere with operations,” the statement read.

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The company accused the union of creating contradictions in its position. While PENGASSAN’s press release on the same day pledged to pursue “necessary legal actions,” the internal directive ordered disruptive measures instead. “This reveals an abandonment of lawful recourse and preference for illegal actions that could destabilize the nation,” the refinery added.

Management cautioned that if the directive were enforced, Nigerians would face severe consequences, including disruptions in petrol, diesel, kerosene, aviation fuel, and cooking gas supply. “All strata of Nigerians depend on these products, whether high or low. Imposing insufferable hardship on households cannot be justified,” the company stressed.

The refinery emphasized that beyond immediate fuel supply, the directive threatened investor confidence in Nigeria’s oil and gas sector. “This is a disincentive to both local and international investors, who expected encouragement from the success of Dangote Refinery as a strategic national asset. The action risks undermining Nigeria’s credibility in attracting investment and poses a direct threat to government revenues,” it warned.

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As one of the largest contributors to both federal and state coffers, the refinery highlighted that disruptions could pause significant revenue streams. It urged the Federal Government and security agencies to intervene swiftly to prevent chaos and safeguard the economy.

“This is not only an attack on Dangote Refinery but a fight for all Nigerians. The repercussions would affect every household that depends on petroleum products,” management said.

The company concluded with a call for PENGASSAN to honor its commitment to legal channels rather than resort to what it described as “illicit and criminal disruption.”

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