Nigeria’s oil sector came under pressure on Monday as depots across the country shut down in solidarity with the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). More than 50 private depots in Lagos, including Dockyard, Satellite, and Coconut, joined the strike, suspending operations and halting product flows.
In contrast, refinery activities in Calabar, Port Harcourt, and Warri continue without interruption, offering some balance to the disruption. At the same time, the Dangote Refinery remains fully operational, keeping its plants running and supplying fuel despite union directives.
Kunle: PENGASSAN’s Shutdown Plan “Empty Threat”
Oil and gas expert Dan Kunle dismissed PENGASSAN’s threat to cripple Dangote Refinery, calling it an “empty threat” with no chance of success. Speaking on ARISE News on Sunday, he assured Nigerians that the refinery has enough reserves to sustain supply nationwide.
“Dangote Refinery is already here to stay. PENGASSAN cannot shut it down. It is an empty threat,” Kunle said.
He urged Nigerians not to panic, stressing that there would be no fuel shortage or price hike. “Dangote has enough petrol in his strategic reserve for the country. All trucks booked will be loaded and delivered across Nigeria without any price increase,” he explained.
Labour Dispute Deepens
Kunle said PENGASSAN’s sudden intervention disrupted talks previously handled by the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG). He explained that the union abruptly demanded check-off deductions from Dangote Refinery in September without prior consultation or evidence that staff had joined.
He also defended the refinery’s right to redeploy workers within the Dangote Group. “If I employ you, don’t I have rights to transfer you if I’m restructuring my company?” he asked, dismissing claims of victimisation. Kunle argued that staff who feel unfairly treated can seek alternative jobs instead of relying solely on union demands.
National Security and Government Role
Kunle warned that shutting down fuel distribution would endanger national security, since ordinary Nigerians would face the consequences. “If PENGASSAN members follow this directive and shut down everywhere, they will put Nigerians in distress. That is an indictment of PENGASSAN,” he said.
He criticised regulators for failing to mediate between organised labour and private investors, stressing the weight of Dangote’s $20 billion refinery investment. “This is a mega investment, and even Nigeria’s sovereign authority cannot toy with it,” he added.
Calling for stronger leadership, Kunle urged President Bola Tinubu to act decisively. “President Tinubu has the best chance now as a democrat to review this whole issue. We cannot continue on this lane if we want to grow the GDP,” he said.
Kunle concluded by reiterating that PENGASSAN’s plan would not succeed, emphasising that the Dangote Refinery remains fully operational and capable of meeting nationwide demand.