Dangote refinery sues Nigeria over fuel import licences

Nigeria’s largest private refinery, the Dangote Petroleum Refinery at Lekki near Lagos, has filed a fresh lawsuit in the Federal High Court of Lagos. The suit seeks to overturn fuel import licences granted by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to the state‑owned Nigerian National Petroleum Company (NNPC) and several private distributors. Dangote argues that the licences violate the spirit of the 2021 Petroleum Industry Act, which favours domestic supply when sufficient refining capacity exists. With a theoretical capacity of 650,000 barrels per day and a $20 billion investment, the refinery claims it can meet the bulk of Nigeria’s gasoline and diesel needs, rendering the imports unnecessary.

The complaint revives a legal action that was withdrawn in 2025 after Dangote had sought 100 billion naira in damages. Nigerian regulators maintain that continued imports are needed to ensure fuel security while the refinery ramps up production. The case highlights a broader struggle over the country’s energy policy: whether to rely on imported refined products despite being Africa’s top crude producer, or to shift to locally refined fuel that could reduce foreign‑exchange outflows and create a regional supply hub. The court’s ruling could reshape Nigeria’s fuel market, affect competition, and influence consumer prices across West Africa.

Stakeholders include the Federal Government, NMDPRA, NNPC, private fuel distributors, and regional bodies such as ECOWAS, which have set stricter sulphur standards that could benefit a modern refinery like Dangote’s.