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HomeBUSINESSDangote Refinery vs PENGASSAN: Fears over fuel supply, pricing

Dangote Refinery vs PENGASSAN: Fears over fuel supply, pricing

ยท FG moves to avert supply crisis

By Laraba MUREY

Nigerians have been reacting to the tussle between Dangote Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN.

Over the weekend, association instructed its members nationwide to withdraw their services following the alleged mass dismissal of over 800 Nigerian workers by Dangote Refinery.

The refinery on September 25 terminated the appointments of some of its workers, citing repeated acts of sabotage that have raised significant safety concerns and affected operational efficiency.

The company emphasised that the decision is not arbitrary but a necessary measure to protect the facility and ensure its long-term stability.

โ€œThis exercise is not arbitrary. It has become necessary to safeguard the refinery from repeated acts of sabotage that have raised safety concerns and affected operational efficiency,โ€ the company stated.

PENGASSAN in reaction to the development in a circular issued after its emergency National Executive Council meeting on Saturday, September 27, 2025, and signed by General Secretary Lumumba Okugbawa, accused the refinery of violating Nigeriaโ€™s labour laws, the Constitution, and International Labour Organisation conventions by dismissing workers for joining the association.

The NEC alleged the refinery had replaced the dismissed staff with โ€œover 2,000 Indians,โ€ calling the action โ€œan affront to all workers in Nigeria.โ€

To press its demands, PENGASSAN directed members in field locations to down tools from Sunday, and ordered a total nationwide shutdown across offices, companies, institutions, and agencies from Monday.

The letter reads in part, โ€œAll PENGASSAN members working across field locations are to withdraw services effective 06:00hrs on Sunday, 28 September 2025 and commence 24-hour prayers. This includes all control room operations, panel operations, and outfield personnel.

โ€œAll PENGASSAN members across all offices, companies, institutions, and agencies should withdraw all services effective 00:01 on Monday, 29th of September, 2025.

โ€œNo intervention whatsoever will be entertained across field locations except where the safety of personnel and assets is at risk; such clearance must be obtained from the National Secretariat.

โ€œAll processes that involve gas and crude supply to Dangote Refinery should be let off effectively immediately,

โ€œAll IOC branches must ramp down gas production and supply to Dangote Refinery and petrochemicals.โ€

The NEC further announced 24-hour prayer vigils and appealed for government intervention, declaring the strike will continue until the dismissed workers are reinstated.

On Sunday in Abuja the Forum of Concerned Nigerian Consumers urged the Federal Government and the Department of State Services, DSS, to wade into what it described as โ€œdesperate attemptsโ€ by the PENGASSAN to undermine the multi-billion-dollar facility.

Forum President, Olabisi Taiwo, said Nigerians must see through the plot, warning that the action could plunge the country back into fuel scarcity and economic instability.

โ€œThe government must send a clear message: industrial blackmail will not be tolerated. The Dangote Refinery is our best chance at energy independence, and we must not allow vested interests to destroy it.

โ€œThey resisted reforms, blocked privatisation, and crippled fuel supply with strikes. Their actions contributed to the rot that turned these refineries into relics of corruption and mismanagement,โ€ the forum declared.

As at Sunday evening, there yet to be fuel queues in the FCT, while this newspaper learnt of efforts behind the scene to address the industrial disquiet.

In another development, the Federal Government has assured Nigerians that there would be no disruption in the supply of refined petroleum products, following concerns over the Naira-for-crude oil arrangement and disputes involving the Dangote Refinery.

In a statement on Sunday, the Ministry of Finance after a meeting of the Steering Committee of the Domestic Crude Oil and Refined Products Sales in Local Currency Initiative, said energy security and stability in the downstream oil sector remained a top priority.

The committee, chaired by the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, said the recent reports of a suspension of the Naira-for-crude oil deal by the Dangote Refinery had been โ€œamicably resolved.โ€

The statement added, โ€œFor the avoidance of doubt, the committee reassured that the crude oil for the Naira initiative will continue. It also assured that all outstanding issues, particularly the dispute between the Petroleum and Natural Gas Senior Staff Association of Nigeria and Dangote Refinery, are being addressed with urgency and in good faith.โ€

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