The dispute between Dangote Petroleum Refinery and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) intensified on Saturday, as the union directed seven of its branches to halt crude oil and gas supplies to the $20 billion facility.
In a letter dated September 26 and signed by General Secretary Lumumba Okugbawa, the union accused the refinery’s management of dismissing its members as punishment for exercising their constitutional right to unionise.
This latest move represents a significant escalation in the conflict, with PENGASSAN alleging anti-labour practices and the unlawful termination of its members by the refinery.
The directive, sent to branch chairmen in major upstream and midstream companies—such as TotalEnergies, Chevron, Seplat, Shell Nigeria Gas, Oando, and the Nigerian Gas Infrastructure Company—ordered an immediate suspension of crude and gas supply to the refinery.
The directive comes after PENGASSAN alleged that Nigerian workers were sacked by Dangote Refinery after joining the union, claiming that management also withdrew staff buses and denied entry to locals while allowing expatriates access.
The union threatened to picket the refinery if the situation was not addressed.
In a statement on Friday, the refinery clarified that only a small number of workers were affected by what it described as a reorganisation aimed at preventing acts of sabotage within the facility. It said over 3,000 Nigerians remain in employment, rejecting claims of mass layoffs.

Dangote maintained that the restructuring was necessary after what it described as recurring acts of sabotage in different units of the refinery, which posed serious risks to human lives and operations.
As a result, PENGASSAN instructed its branches in TotalEnergies, Seplat, Chevron, Oando, Shell Nigeria Gas, Renaissance, and NGIC to cut gas supply to the refinery immediately.
The union described the move as “illegitimate” and accused the refinery of spreading misinformation instead of addressing the matter through dialogue.
“As you are aware, the management of Dangote Petroleum Refinery has disengaged our members in reaction to the exercise of their constitutional right to be unionised.
“They have gone further on a mission of misinformation and propaganda to justify this illegitimacy rather than engaging meaningfully with us to right the wrong.
“Consequent to these, you are hereby directed to cut off gas supply to NGIC effective immediately. All crude oil supply valves to the refinery should be shut. The loading operation for the vessel headed there should be halted immediately,” the directive read.
The union further mandated the NGIC Chairman to ensure strict compliance with the order and told all branch chairmen to give regular updates on the action taken.
“NGIC Chairman, ensure that gas supply to the Refinery is cut off effective immediately. All chairmen on this summons are to report promptly the progress of the directive. Kindly accept the assurances of our highest esteem. Thank you,” the statement read.
Reaffirming its solidarity, PENGASSAN ended the directive with its slogan: “Injury to one! Injury to all!”
On Friday, the company announced it would suspend petrol sales in naira from September 28 following the exhaustion of its crude-for-naira allocations.
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