Court Dismisses NNPCL’s Bid to Halt Dangote’s N100bn Lawsuit Over Fuel Imports

The Federal High Court in Abuja on Tuesday dismissed the Nigerian National Petroleum Company Limited’s (NNPCL) objection to the lawsuit filed by Dangote Petroleum Refinery, which seeks to halt the importation of refined petroleum products by NNPCL and five oil marketers.

Justice Inyang Ekwo also rejected an application by the Federal Competition and Consumer Protection Commission (FCCPC) to be joined as a party in the case, ruling that the dispute could be resolved without its involvement. The judge held that the FCCPC was not a necessary party in the matter and dismissed its request.

Dangote Refinery had filed the suit (FHC/ABJ/CS/1324/2024) against the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), NNPCL, and five oil marketing firms—AYM Shafa Limited, A.A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited. The company is challenging the issuance of import licenses by the NMDPRA, arguing that it violates Sections 317(8) and (9) of the Petroleum Industry Act (PIA). Dangote contends that such licenses should only be granted in cases of a domestic supply shortfall and maintains that its refinery has the capacity to meet Nigeria’s fuel demand.

The refinery is also seeking N100 billion in damages against the NMDPRA for allegedly continuing to issue import permits despite its ability to supply the local market.

The FCCPC had sought to join the suit, arguing that Dangote’s move to block fuel imports could lead to a monopoly in the petroleum industry, which goes against the commission’s mandate to promote competition. However, Dangote Refinery opposed the request, calling the FCCPC a “meddlesome interloper” with no jurisdiction over a matter governed by the Petroleum Industry Act.

Additionally, NNPCL filed a preliminary objection, questioning the court’s jurisdiction and claiming that Dangote’s suit was premature. The state-owned company also argued that the lawsuit was filed against a non-existent entity, as the second defendant was named as “NNPC,” rather than its registered corporate identity, “Nigerian National Petroleum Company Limited.”

Justice Ekwo dismissed NNPCL’s objections, ruling that they lacked merit. However, he granted Dangote Refinery’s request to amend the suit to correctly reflect NNPCL’s legal name.

The case has been adjourned to March 6 for further mention.