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Court Restrains NMDPRA From Interfering With Dangote Refinery Operations

A Federal High Court in Lagos has restrained the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) from enforcing its directive suspending the loading and truck-out of petroleum products from the Dangote Petroleum Refinery.

Justice Akintayo Aluko issued the interim injunction on Monday following a fresh legal dispute between Dangote Refinery and NMDPRA over the regulator’s authority to oversee operations within the free zone where the refinery is located.

The court barred NMDPRA, its officials, agents and representatives from entering, sealing, shutting down, restricting access to, obstructing, inspecting, supervising, sanctioning or otherwise interfering with the refinery’s operations at the Lekki Free Zone pending the hearing of Dangote’s motion on notice.

The order followed an ex-parte application filed by Dangote Petroleum Refinery and Petrochemicals FZE in Suit No. FHC/L/CS/1174/2026.

Dangote had challenged NMDPRA’s August 24, 2026 directive suspending the loading and truck-out of petroleum products from its facilities.

Ruling on the application, Justice Aluko said the documents presented by Dangote raised serious legal questions, particularly over whether NMDPRA possesses regulatory or oversight powers over businesses operating within free zones.

The judge noted that Dangote’s position was that NMDPRA lacked the authority to regulate operations within free zones, including the Dangote Industrial Free Zone.

He also referred to a March 2, 2026 letter from the Attorney-General of the Federation, which, according to the judge, stated that NMDPRA was not entitled to exercise regulatory or oversight functions over operations within free zones.

Justice Aluko said the court was required to determine whether NMDPRA should be permitted to exercise the disputed regulatory powers while the substantive issues remained before the court.

He held that the affidavit and evidence presented by Dangote disclosed serious issues requiring judicial determination and demonstrated the need for urgent intervention to preserve the subject matter of the case.

The judge said Dangote had satisfied the legal requirements for an interim injunction and had also undertaken to indemnify NMDPRA in damages if it was later determined that the order should not have been granted.

“Accordingly, I find merit in the application, and the same is hereby granted in terms of the reliefs sought,” Aluko ruled.

The court directed Dangote to file a formal undertaking as to damages and ordered that the interim order and notice of the proceedings be served on NMDPRA.

The case has been adjourned until September 9, 2026, for hearing of the motion on notice.

The latest legal battle is separate from another suit filed by Dangote Refinery challenging the issuance and renewal of fuel import licences to NNPC Limited and other petroleum marketers.

That case, Suit No. FHC/L/CS/857/2026, was also before the Federal High Court in Lagos on Monday but was adjourned until October 7 following the absence of Justice Chukwujekwu Aneke due to indisposition.

In the earlier suit, Dangote is challenging the issuance and renewal of licences for the importation of Premium Motor Spirit (PMS), Automotive Gas Oil (AGO) and Jet A1.

The refinery argues that the licences were issued in breach of an earlier court order directing parties to maintain the status quo as of April 2, 2026.

Dangote is seeking orders setting aside the licences and restraining the relevant government authorities from issuing or renewing fuel import licences pending the determination of the case.

The refinery maintains that continued fuel imports undermine domestic refining and argues that the Petroleum Industry Act permits petroleum imports only where there is a proven shortfall in domestic supply.

With an installed capacity of about 650,000 barrels per day, Dangote Refinery has maintained that it has the capacity to meet Nigeria’s domestic refined petroleum product requirements while generating surpluses for export.

NNPC Limited, however, has urged the court to dismiss the suit, arguing that neither the Petroleum Industry Act nor the Federal Government’s Backward Integration Policy imposes a blanket ban on petroleum product imports.

Tolulope Adebayo

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