Business
Dangote Refinery: Disengaged engineers reject redeployment
Dangote Refinery: Disengaged engineers reject redeployment
Several engineers recently disengaged by Dangote Refinery for allegedly joining the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) have expressed outrage over plans to redeploy them to other Dangote Group units, including the sugar and cement plants.
According to The PUNCH, some of the affected workers, who spoke anonymously due to the sensitivity of the issue, accused the company of victimising them for exercising their right to unionise.
However, the Dangote media team denied the allegations on Wednesday, insisting that “there are PENGASSAN members still working in the refinery.”
PENGASSAN had last week shut down oil and gas facilities between Sunday and Tuesday, alleging that 800 refinery workers were fired for volunteering to join the union.
But the Dangote Refinery dismissed the claim, stating that only “a few workers who were sabotaging the facility” were let go as part of a reorganisation process.
The strike by oil and gas workers led to disruptions in production, losses in the petroleum sector, and a drop in power generation. The intervention of the Federal Government eventually restored calm, with the Dangote Group directed to redeploy the affected workers.
Speaking with The PUNCH, the engineers said they had yet to be recalled or redeployed as of Tuesday.
Sources within the Dangote Group confirmed that the company was preparing to redeploy the engineers to its sugar and cement divisions and recruit new engineers to fill the refinery positions a move considered by insiders to be a major operational loss.
It was also gathered that some of the 800 affected workers might be posted to Dangote operations outside Nigeria.
But the engineers rejected the plan, arguing that their employment letters clearly stated that they were hired by the refinery and not the Dangote Group. They described the proposed redeployment as “unfair,” saying it was inappropriate to transfer petrochemical engineers to other industries.
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“It is victimisation. How will you redeploy us from the refinery to sugar or cement plants? It is not fair. Most of us weren’t employed by the Dangote Group; we were employed by Dangote Petroleum Refinery and Petrochemicals. If we were employed by the Dangote Group, we would know that we could be redeployed from one unit to another. This is like victimising us. Some of us are petrochemical engineers; how do you want them to cope? It is affecting some of us psychologically,” they said.
The engineers disclosed that they had been at home since September 25 after receiving letters to stay away from work. They said their attempts to access the refinery were blocked by security agents.
“Currently we are at home; we are not allowed to go into the refinery. The management said they would get back to us as far as the redeployments are done, but we have not heard anything so far. There were times when we tried to enter the refinery, but we were sent back. There are pictures of those incidents,” they said.
They further alleged that Indian nationals were currently the only ones operating the refinery.
“At the moment, only Indians are running the refinery. All Nigerian engineers were sacked because we joined PENGASSAN,“ they alleged.
The refinery had earlier refuted this claim, saying, “Over 3,000 Nigerians continue to work actively in our petroleum refinery at present. Only a very small number of staff were affected, as we continue to recruit Nigerian talent through our various graduate trainee programmes and experienced hire recruitment process.”
The engineers also said their decision to join PENGASSAN stemmed from poor remuneration, revealing that their monthly pay was about ₦400,000 before deductions.
“We wouldn’t have joined PENGASSAN if we were well paid. Our salary is around ₦400,000, and after deductions, it falls below that.
“We didn’t plan to join PENGASSAN; the management announced it themselves that workers were free to unionise. We joined PENGASSAN, and it became an issue,” they said.
They dismissed the allegation of sabotage, insisting that they were loyal to the success of the $20 billion refinery project.
“We cannot sabotage the refinery. We love the refinery. Some of us built it from the beginning. How can we sabotage what we built? It is not possible. We’ve been very committed, and we were doing everything to ensure the success of the plant for the good of all Nigerians.
“As it is, we are all waiting for our posting letters. There’s nothing we can do now because the issue has become a national issue. The presidency is now involved. But we are not guilty of anything. Our only ‘crime’ is that we joined PENGASSAN,” they said.
The Dangote Group has again denied the allegations made by the affected engineers, insisting they were dismissed for acts of sabotage and not for joining PENGASSAN.
A senior official of the company said, “Those guys were sacked because of their acts of sabotage. Nobody is victimising them. Their September salary has been paid. Can we call that victimisation? They were not sacked for joining PENGASSAN. We have PENGASSAN members still working with us.
“They should also know that all of us in Dangote can be moved to anywhere within the company. You can be moved from cement to refinery, sugar, salt or fertiliser. That is the business. Many of us have been moved in the past,” the official said.
He also dismissed claims that engineers earned below ₦400,000 monthly, calling it “an outright falsehood.”
“The claim of a ₦400,000 monthly salary is an outright falsehood; it is far more than that,” he emphasised.
The Dangote Refinery has faced multiple labour and industry disputes in recent weeks.
It first came under fire from the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), who accused the refinery of “monopolistic practices and unfair pricing” after slashing petrol prices.
NUPENG also clashed with the refinery over workers’ rights, alleging that Dangote prevented tanker drivers from joining unions. The association subsequently shut down the refinery and fuel depots despite a government-brokered truce.
The situation worsened when PENGASSAN joined the fray, condemning the alleged mass dismissal of hundreds of workers. The union ordered members to halt crude and gas supplies nationwide, triggering fuel shortages and production losses.
Although government intervention calmed the crisis, stakeholders are awaiting the full implementation of the resolutions reached during the conciliation meeting.
Dangote Refinery: Disengaged engineers reject redeployment
(Punch)
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Business
Dangote Sets 40-Month Deadline for $16bn East Africa Refinery in Kenya
Dangote Sets 40-Month Deadline for $16bn East Africa Refinery in Kenya
Nigerian industrialist Aliko Dangote has set a 40-month completion target for his planned $16 billion East Africa refinery in Lamu, Kenya, following the official groundbreaking of the project.
Dangote and Kenyan President William Ruto broke ground for the 700,000-barrel-per-day (bpd) refinery on Wednesday, September 30, 2026, with the facility designed to supply refined petroleum products to Kenya and other countries across the region.
Dangote said the refinery would be commissioned within 40 months.
“We will come back here and commission this refinery in 40 months from today,” he said at the ceremony.
The Dangote East Africa Petroleum Refinery and Petrochemicals Complex is expected to process about 700,000 barrels of crude oil daily, making it one of the largest refining projects in Africa and, when completed, potentially the world’s largest single-train refinery.
The project is expected to produce petrol, diesel, jet fuel, polypropylene and base oil, with the products targeted at Kenya and wider East African markets. Dangote has also said part of the refinery’s jet-fuel output could be supplied to Europe and the United Kingdom.
The facility will also include a planned 1,000-megawatt power plant, which Dangote said would provide electricity for the wider industrial complex.
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Beyond refining, the billionaire said the project would create an industrial ecosystem covering petrochemicals, logistics, engineering, marine services, manufacturing, technology and small and medium-sized enterprises.
Dangote also announced plans for a training school that would prepare 1,000 Kenyan engineering graduates for opportunities associated with the project. The wider development is expected to generate thousands of jobs across the refinery and related industries.
The project has attracted major international engineering and technology partners, with Honeywell Technologies providing process technologies, licensing, engineering services, catalysts, equipment and digital solutions.
The use of established designs and experience from Dangote’s Nigerian refinery is expected to shorten the development schedule compared with a typical new refinery.
Engineers India Limited is also involved in the project under a major engineering and project-management contract.
Dangote’s Kenyan project is modelled partly on the experience of his 650,000-bpd refinery in Lagos, with the new facility expected to draw on technology and engineering experience gained from the Nigerian plant.
The refinery is expected to source crude from Uganda and other African producers, while serving a market extending beyond Kenya to countries including Uganda, Rwanda, Tanzania, Ethiopia and South Sudan.
Regional leaders who attended the groundbreaking included Ugandan President Yoweri Museveni and Ethiopian Prime Minister Abiy Ahmed, alongside other African leaders and former Nigerian President Olusegun Obasanjo.
President Ruto described the project as an investment in energy security, industrialisation and regional integration, while stressing the importance of ensuring that Kenyan citizens benefit from the employment and training opportunities created by the refinery.
Dangote has also proposed allowing governments in the region to take a combined 30 per cent stake in the refinery, potentially giving participating countries an opportunity to benefit financially from the project.
However, the project faces a legal challenge over the land on which it is being developed. A Kenyan court ordered parties to maintain the status quo over a disputed parcel in Lamu after residents challenged the development, citing ancestral land claims and other concerns.
Environmental concerns have also been raised over the potential impact of the project on the coastal ecosystem and the wider Lamu area.
Despite the legal and environmental issues, Dangote has said the project will proceed.
Once completed, the $16 billion Kenya refinery is expected to increase refining capacity in East Africa, reduce dependence on imported petroleum products and support the region’s broader industrialisation drive.
Dangote Sets 40-Month Deadline for $16bn East Africa Refinery in Kenya
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Business
Dangote Draws Battle Lines as Fuel Import Fight Heads Back to Court
Dangote Draws Battle Lines as Fuel Import Fight Heads Back to Court
Aliko Dangote, President of Dangote Industries Limited, has said he is prepared to face legal challenges as the dispute over fuel imports, domestic refining and import licences intensifies in Nigeria.
Dangote spoke amid renewed litigation involving the Dangote Petroleum Refinery and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) over the continued importation of refined petroleum products into Nigeria.
The latest development followed a Federal High Court ruling in Abuja directing the NMDPRA to continue granting, extending or renewing fuel import licences for Matrix Energy, A.A. Rano and AYM Shafa, provided the companies meet the relevant legal and regulatory requirements.
Justice Inyang Ekwo ruled that the regulator’s handling of the companies’ applications did not comply with provisions of the Petroleum Industry Act (PIA). The court also held that the NMDPRA has a responsibility to promote competition in the midstream and downstream petroleum sectors.
The ruling did not give the three companies unrestricted authority to import petroleum products. Their operations remain subject to applicable regulatory and statutory requirements.
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The judgment has added fresh momentum to a wider dispute over whether Nigeria should continue granting petrol import licences as domestic refining capacity expands.
The Dangote Refinery, which has a stated capacity of 650,000 barrels per day, has challenged the continued issuance or renewal of some import licences in a separate case.
The refinery’s position is that continued imports should be restricted where domestic refining capacity is available to supply the local market. The case remains before the court.
The NMDPRA, however, has continued to approve import permits, citing the need to safeguard petroleum supply and energy security.
The regulator approved permits covering about 830,000 metric tonnes of petrol for several marketers for the fourth quarter of 2026. The beneficiaries included Matrix Energy, A.A. Rano, AYM Shafa, NIPCO, Pinnacle Oil and Gas and Bono Energy.
The development has intensified debate over competition in Nigeria’s downstream oil sector, particularly as the Dangote Refinery expands its contribution to domestic fuel supply.
Dangote’s comments also came as his business interests face other legal challenges outside Nigeria.
In Kenya, a court has ordered the preservation of the existing status quo over land earmarked for Dangote’s proposed 700,000-barrel-per-day refinery in Lamu, following a dispute involving residents who claim ancestral rights over part of the proposed project site.
Dangote has maintained that he is prepared to defend his investments through the legal process.
The businessman has also said Africa could largely eliminate its dependence on imported refined petroleum products by 2030, as new refineries come on stream across the continent.
In Nigeria, the continuing dispute places domestic refining, fuel imports, competition, petroleum regulation and energy security at the centre of an increasingly significant legal and commercial battle.
The competing positions have not been finally resolved, with the various court cases still ongoing.
Dangote Draws Battle Lines as Fuel Import Fight Heads Back to Court
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Business
NNPC Profit Rises to N7.2tn Despite Revenue Decline
NNPC Profit Rises to N7.2tn Despite Revenue Decline
The Nigerian National Petroleum Company Limited (NNPC Ltd) recorded a N7.2 trillion profit after tax in 2025, representing a 33.3 per cent increase from the N5.4 trillion it reported in 2024, despite a significant decline in revenue.
NNPC Group Chief Executive Officer, Bayo Ojulari, disclosed the figures on Tuesday while presenting the company’s audited financial results for the 2025 financial year in Abuja.
The company recorded N34.5 trillion in revenue in 2025, down from N45.1 trillion reported for 2024. Despite the revenue decline, profit increased as NNPC attributed the stronger bottom-line performance to improved operational efficiency and financial discipline.
Ojulari said lower international crude oil prices and reduced petroleum product sales, following changes in the downstream petroleum market, put pressure on revenue during the year.
However, improved operational performance helped cushion the impact, allowing NNPC profit to rise to N7.2 trillion.
The company also reported N22.33 trillion in taxes, royalties and other remittances to the Federal Government, representing a 39 per cent increase compared with the previous year.
The results also showed stronger production performance across the company’s upstream operations.
According to NNPC, crude oil and condensate production reached an average peak of 1.77 million barrels per day in 2025, the company’s highest level in five years.
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Domestic gas supply also rose to a three-year high of 7.2 billion standard cubic feet per day, reflecting increased gas production and supply to the Nigerian market.
NNPC said the financial performance demonstrated the impact of efforts to improve asset management, increase production and strengthen efficiency across its businesses.
The company’s latest results come as Nigeria continues to seek higher crude oil production, increased domestic gas supply and greater investment across the petroleum value chain.
NNPC, which became a commercial company under the Petroleum Industry Act (PIA) in 2022, has been pursuing a strategy focused on increasing oil and gas output, expanding gas monetisation and strengthening its downstream operations.
The company said its future growth strategy would require continued investment in infrastructure, workforce development and operational capabilities.
NNPC also highlighted investments in digital capabilities and artificial intelligence as part of efforts to improve efficiency and strengthen its workforce.
More than 1,000 newly recruited professionals joined the company in 2025 and underwent a one-year internship and training programme before being deployed across its operations.
The company also reported that women now occupy more than 23 per cent of its leadership positions, compared with an industry average of 17 per cent.
The 2025 results come against the backdrop of major changes in Nigeria’s petroleum sector, including the removal of petrol subsidy and increased private-sector participation in fuel supply.
NNPC said the improved profitability had strengthened its capacity to invest in operations, contribute to government revenue and support Nigeria’s energy security.
The company’s performance will continue to be closely watched as Nigeria seeks to raise oil production, expand gas utilisation and increase the economic contribution of the oil and gas sector.
NNPC Profit Rises to N7.2tn Despite Revenue Decline
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