The bitter labour dispute between Dangote Petroleum Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) intensifies after the company accused the union of “lawless acts and sabotage,” warning that a planned nationwide strike could cripple Nigeria’s fuel supply and derail the country’s fragile economic recovery.
In a strongly worded statement issued on Sunday, Dangote Refinery alleged that PENGASSAN had directed its members across Nigeria to withdraw services beginning Sunday, and to shut down all gas and crude oil supplies to the refinery, including halting vessel-loading operations.
The directive reportedly instructs union members in international oil companies (IOCs), gas producers, and field locations to ramp down production and stop deliveries to the refinery and its petrochemical plants.
Join our WhatsApp ChannelDangote management described the move as a “decision to unleash terror on the Nigerian state and its people,” warning that the planned industrial action would cut off supplies of petrol, diesel, kerosene, cooking gas, and aviation fuel, threatening hospitals, schools, emergency services, transportation networks, and critical infrastructure nationwide.
“This is a bully tactic that the Nigerian state and people must not succumb to or allow,” the company declared.
The refinery rejected PENGASSAN’s claims that over 800 Nigerian workers had been sacked for joining the union and replaced with more than 2,000 foreign nationals, calling the allegations a “complete falsehood.” It maintained that over 3,000 Nigerians remain employed and that a recent reorganisation affected only a “very small number of staff,” which it said was necessary to address operational challenges and ensure safety.
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Dangote further accused the union of pursuing a long history of obstruction, citing its role in past refinery privatisation efforts and in opposing amendments to the Petroleum Industry Act. The company also questioned PENGASSAN’s financial transparency and challenged the union to publish audited accounts of its finances over the last decade.
“This is economic sabotage at multiple levels,” the refinery said, warning that cutting off supplies would create fuel shortages, price hikes, and widespread hardship for millions of Nigerians. It urged the Federal Government and security agencies to “stare down PENGASSAN” and prevent what it described as a threat to Nigeria’s energy security and economic stability.
PENGASSAN, in earlier statements, accused Dangote of violating labour laws by sacking unionised workers and replacing them with foreign labour, pledging to defend its members’ rights through legal action and industrial pressure. The union has yet to respond to the latest allegations of “terror tactics” and “economic sabotage.”
Analysts warn that the crisis now represents more than an employer–union conflict, evolving into a high-stakes test of Nigeria’s labour laws, energy policy, and investor confidence in Africa’s largest oil and gas market.
As the clock ticks toward the union’s strike deadlines, Nigerians face the possibility of fuel shortages and economic disruption if the standoff is not resolved in the coming days a scenario Dangote Refinery says would be “an injury to all”.
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