To prevent other corporations in the nation from obtaining fuel import licenses, Dangote Refinery filed a lawsuit against the Nigeria National Petroleum Company Limited, or NNPCL, asking the Federal High Court in Abuja to dismiss it.
On Wednesday, the NNPCL argued that the Federal High Court lacked the authority to approve Dangote Refinery’s petitions in the lawsuit.
Through its attorney, Abimbola Ademola, SAN, NNPCL filed a preliminary objection to the lawsuit, asking the court to either throw out NNPCL from the case altogether or to declare the Dangote Refinery’s complaint illegitimate.
But through its attorney, George Ibrahim SAN, Dangote Refinery contested the NNPCL suit and asked the court to reject NNPCL’s preliminary objection for being unnecessary.
Ibrahim asked the court to grant Dangote Refinery’s request to alter its action rather than dismissing it or removing NNPCL’s name.
The trial judge, Justice Inyang Edem Ekwo, scheduled his decision for March 18, 2025, following the adoption of the parties’ written submissions on the issues.
Regarding the granting of import licenses for petroleum products, Dangote Refinery has sued the Nigerian Midstream and Downstream Petroleum Regulatory Authority, or NMDPRA, as well as five oil corporations.
In the original summons, designated FHC/ABJ/CS/1324/2024 on September 6, 2024, Dangote Refinery had sued NMDPRA, NNPCL, AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited as first and seventh defendants, respectively.
In order to import refined petroleum products, the Refinery asked the court to revoke the import licenses that NMDPRA had granted to the NNPCL and the five other businesses.
The plaintiff also asked the court to rule that by granting licenses for the importation of petroleum products, NMDPRA had violated Sections 317(8) and (9) of the Petroleum Industry Act, or PIA, which states that such licenses should only be granted when there is a shortage of petroleum products.
Along with other reliefs, it demanded N100 billion in damages from NMDPRA for allegedly continuing to provide import licenses to NNPCL and the five businesses for the importation of petroleum products.
Idris Musa, a Senior Regulatory Officer at the office, deposed to the NMDPRA’s counter-affidavit, which contended that Dangote Refinery was not entitled to any of the reliefs sought and urged the court to dismiss the suit because it was misconceived, unmeritorious, and incompetent.
“Based on this and in compliance with Section 317 (9) of the PIA (Petroleum Industry Act), NMDPRA issued licenses to import petroleum products to bridge product shortfalls to companies with good track records of international products trading,” Musa stated in the application filed on December 13, 2024, stating that the Dangote Refinery’s current production does not yet meet the national daily petroleum products sufficiency requirement.
He added that the agency’s duty also includes preventing unhealthy monopolies and the abuse of dominating market positions in the oil and gas industry, as well as promoting competition.
“An allegation for which the plaintiff has provided no facts or evidence in support,” he said, dismissing the claim that NMDPRA is involved in any alleged “grand conspiracy and concerted efforts” against the refinery.
Additionally, in a united counter-affidavit submitted on November 5, 2024, the oil marketers warned the court that approving Dangote’s proposal would be disastrous for the nation’s oil industry.
They contend that the country will suffer a catastrophe as a result of the attempt to monopolize the oil industry.
In their response, the three marketers—AYM Shafa Limited, A. A. Rano Limited, and Matrix Petroleum Services Limited—stated that the plaintiff did not manufacture enough petroleum products for Nigerians’ daily needs.
Furthermore, they contended that no evidence to the contrary had been presented to the court.
