KEY POINTS
- NNPC Ltd. and the AGF are opposing Dangote Refinery’s attempt to block fuel import licences, citing risks to national energy security.
- NNPC argues the suit repeats a previously discontinued 2024 case and violates unactivated provisions of the Petroleum Industry Act.
- The court has maintained status quo as the dispute could reshape Nigeria’s entire fuel import and refining structure.
A fresh and intensifying legal battle has erupted between the Nigerian National Petroleum Company Limited, NNPC Ltd, the Office of the Attorney General of the Federation (AGF), and Dangote Refinery over attempts to restrict the issuance and renewal of petroleum import licences in Nigeria.
At the centre of the dispute is a lawsuit filed before the Federal High Court in Lagos (Suit No. FHC/L/CS/857/2026), in which Dangote Refinery is seeking a sweeping court order to stop the Federal Government and all regulatory bodies from issuing or renewing import licences for Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Jet A1.
The refinery argues that its operational capacity has reached a level sufficient to meet Nigeria’s total domestic fuel demand, making continued importation unnecessary and economically distortive. It further claims that existing policy structures undermine local refining viability.
However, both the NNPC Ltd. and the AGF have moved firmly to oppose the suit, describing it as a direct threat to Nigeria’s energy stability and fuel supply architecture.
According to submissions now before the Attorney General, NNPC Ltd. insists that granting the reliefs sought by Dangote Refinery could destabilise the country’s petroleum distribution system and weaken statutory obligations under the Petroleum Industry Act (PIA).
The company argues that Nigeria’s fuel supply chain depends on a balanced mix of local refining and strategic imports to prevent shortages, price shocks, and nationwide supply disruptions.
Claims of Repeat Litigation and Legal Challenge
NNPC further contends that the current case is not new, but rather a reintroduction of a previously discontinued suit filed by Dangote Refinery in 2024 (FHC/ABJ/CS/1324/2024), which also challenged import licensing structures under the PIA.
The national oil company maintains that the 2026 filing attempts to revive similar arguments under Sections 317(8) and 317(9) of the Petroleum Industry Act.
On this basis, NNPC is seeking to be joined as a necessary party while also challenging the competence of the suit itself.
In its legal position, NNPC argues that Section 317(9) of the PIA cannot be enforced independently without a formally activated Backward Integration Policy under Section 317(8).
The company further states that no official gazette, directive, or regulatory instrument has been issued to activate such a policy framework.
It also notes that its operations span trading, refinery participation, and ownership stakes in facilities such as the Port Harcourt, Warri, and Kaduna refineries, making it a central actor in downstream petroleum operations.
