The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has declared a nationwide strike, escalating tensions in its dispute with the Dangote Petroleum Refinery, a development that threatens to further destabilize Nigeria’s fragile energy sector.
The industrial action, announced on Sunday after an emergency meeting of the union’s National Executive Council (NEC), comes in response to what PENGASSAN described as “unfair labour practices” and “attempts by the refinery’s management to undermine workers’ rights and union representation.”
Union’s Grievances
In a communique signed by PENGASSAN President Festus Osifo, the union accused the management of the $20 billion Lagos-based refinery of:
- Refusing to recognize workers’ rights to unionize.
- Engaging in exploitative contracts.
- Failing to implement agreed welfare packages for technical staff.
“The conduct of Dangote Refinery management is not only a violation of workers’ rights but a direct affront to Nigeria’s labour laws. We cannot sit idly while our members are subjected to unfair treatment,” Osifo said.
Nationwide Shutdown Looms
The strike directive affects PENGASSAN branches across the upstream, midstream, and downstream sectors, including the Nigerian National Petroleum Company Limited (NNPCL), oil servicing firms, and depots nationwide.
The union instructed members to down tools beginning Monday, September 29, 2025, warning that operations at critical facilities could grind to a halt if the government and refinery management fail to intervene.
Government and Industry Response
The Federal Ministry of Labour and Employment has appealed for calm, urging both parties to return to the negotiation table to avert a disruption that could affect fuel distribution across the country.
Energy experts warn that a prolonged strike could trigger severe fuel shortages, panic buying, and price hikes, especially with Nigeria’s overdependence on refined fuel imports despite the recent commissioning of the Dangote Refinery.
Background to the Dispute
The Dangote Refinery, Africa’s largest single-train refinery with a capacity of 650,000 barrels per day, has been seen as a game-changer for Nigeria’s energy independence. But since its commissioning, labour disputes have dogged operations, with PENGASSAN repeatedly accusing the management of “union-busting tactics.”
The refinery, however, insists it operates within the law and that “dialogue, not confrontation” remains the best way to resolve disagreements.
What Next?
With the strike set to commence, all eyes are on the federal government to broker a truce. Analysts warn that failure to resolve the standoff could worsen Nigeria’s economic challenges, fuel inflation, and deepen public frustration amid already high living costs.