NNPC Seeks Dismissal Of Dangote Refinery’s Lawsuit

The Nigerian National Petroleum Company Limited (NNPCL) has requested the Federal High Court in Abuja to dismiss a lawsuit filed by Dangote Petroleum Refinery and Petrochemicals FZE, describing it as “incompetent.”

In a preliminary objection filed by NNPCL’s legal team, led by Senior Advocate of Nigeria (SAN) Kehinde Ogunwumiju, the company argued that the suit lacks merit and is premature. The objection, dated November 15, seeks to either strike out the case entirely for lack of jurisdiction or remove NNPCL as a defendant.

Grounds for Objection

NNPCL argued that:

  1. Dangote Refinery lacks the legal standing to initiate the suit.
  2. The case presents no actionable cause.
  3. NNPCL, as named in the suit, is not a valid legal entity.

An affidavit supporting the objection, deposed by Isiaka Popoola of Afe Babalola & Co, stated that Dangote Refinery sued “Nigeria National Petroleum Corporation Limited (NNPC),” a non-existent entity. A search on the Corporate Affairs Commission (CAC) website confirmed that the correct name is “Nigerian National Petroleum Company Limited.”

Claims by Dangote Refinery

Dangote Refinery had sued NNPCL alongside the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and five oil marketers. The refinery alleged that NMDPRA violated the Petroleum Industry Act (PIA) by issuing import licenses without a declared shortfall in petroleum products.

The company is seeking:

  • Nullification of the licenses.
  • A declaration that NMDPRA failed to support local refineries as mandated by law.
  • N100 billion in damages for continuing to issue licenses despite Dangote Refinery’s production capacity exceeding domestic demand for certain petroleum products.

Justice Inyang Ekwo has set January 20, 2025, for a report on the case settlement or continuation of proceedings.

Oil Marketers’ Position

Three oil marketers—AYM Shafa Limited, A.A. Rano Limited, and Matrix Petroleum Services Limited—have also opposed Dangote Refinery’s suit, arguing that its demands could harm the country’s oil sector. They claimed that Dangote Refinery has not consistently met Nigeria’s daily petroleum needs and warned that granting its requests would create monopolistic challenges in the industry.