Fresh tension is mounting in Nigeria’s downstream petroleum sector as the Dangote Petroleum Refinery has filed a fresh lawsuit seeking to halt the continued importation of petrol into the country.
Court documents reportedly seen by Reuters showed that the refinery instituted legal action against the Attorney General of the Federation over fuel import licences issued by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to oil marketers and the Nigerian National Petroleum Company Limited (NNPCL).
The lawsuit marks another escalation in the growing battle over fuel importation and local refining operations in Nigeria.
In the suit filed before the Federal High Court in Lagos, the refinery asked the court to revoke import permits recently granted or renewed by the NMDPRA.
Dangote Refinery argued that the approvals violated an earlier court directive ordering all parties to maintain the status quo pending the resolution of the matter.
According to the company, the continued importation of petrol undermines its refining operations and contradicts the provisions of the Petroleum Industry Act (PIA).
The refinery maintained that petroleum products should only be imported into Nigeria when local refining capacity is insufficient to meet domestic demand.
However, fuel marketers and regulators have continued to defend the issuance of import licences, insisting that imported petrol remains necessary to sustain nationwide supply and prevent shortages while local production stabilises.
As of the time of filing this report, the NMDPRA had not officially reacted to the fresh lawsuit.
The latest legal battle comes nearly one year after Dangote Refinery withdrew an earlier suit challenging fuel import licences granted to the NNPCL and other petroleum trading companies.
That previous case was discontinued in July 2025 without any public explanation from the refinery.
Nigeria has depended heavily on imported petrol for decades due to the poor performance of state-owned refineries.
The Dangote Refinery, estimated to be worth about $20 billion and designed to refine 650,000 barrels of crude oil per day, was widely expected to significantly reduce the country’s dependence on imported refined petroleum products.
Despite the commencement of operations at the massive refinery, petrol importation has continued, with stakeholders in the oil sector arguing that imported products are still required to bridge supply gaps while production gradually increases.
Industry observers believe the new court case could further intensify debates surrounding market competition, local refining capacity, and implementation of the Petroleum Industry Act.
The lawsuit also comes amid existing disagreements over crude oil supply to the refinery.
Dangote Refinery had earlier accused Nigerian upstream oil producers of failing to supply crude oil in line with provisions of the Petroleum Industry Act, allegedly forcing the refinery to purchase crude from international traders at higher prices.
According to the company, reliance on foreign crude suppliers has significantly increased operational costs because of additional premiums charged on purchases.
“The high crude cost is compounded by the fact that Nigeria upstream producers have failed to supply crude oil to the refinery as required under the PIA, forcing us to source a substantial portion through international traders who charge an additional premium,” the refinery stated.
The company further claimed that Nigerian crude oil currently trades above global benchmark prices, adding further pressure to operational costs amid volatility in the international energy market.
