Dangote Petroleum Refinery and Petrochemicals has formally withdrawn its lawsuit against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Nigerian National Petroleum Company Limited (NNPC Ltd), and five other petroleum marketers.
The case, originally filed at the Federal High Court in Abuja, was discontinued by the plaintiff’s legal team through a formal notice of discontinuance submitted to the court. No official reason was given for the decision, and it remains unclear whether an out-of-court settlement was reached or if the reliefs sought influenced the withdrawal.
The suit sought ₦100 billion in damages against NMDPRA for allegedly violating Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing import licences to companies despite no confirmed domestic shortfall in petroleum products. Dangote Refinery argued that such licences should only be granted when local supply is insufficient and claimed the regulator failed in its statutory duty to support local refining capacity.
The defendants in the case were Nigerian National Petroleum Company Limited (NNPC Ltd), Matrix Petroleum Services Limited, AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, and 2015 Petroleum Limited.
In response, the marketers and NMDPRA filed counter-affidavits urging the court to dismiss the claims. They argued that competitive access to import licences is vital for market efficiency and consumer benefit. The companies maintained they met all regulatory requirements under Section 317(9) of the PIA and accused Dangote Refinery of attempting to establish a monopoly over petroleum supply, distribution, and pricing.
NMDPRA further stated that Dangote Refinery’s current production levels are insufficient to meet national demand, justifying the need to issue import licences to experienced traders to bridge the supply gap. In a sworn affidavit, Idris Musa, a Senior Regulatory Officer at NMDPRA, emphasized the agency’s mandate to promote market competition and prevent monopolistic practices.
The case also involved a procedural dispute. On December 9, 2024, Dangote Refinery filed a motion to amend the name of the second defendant from “Nigeria National Petroleum Corporation Limited” to “Nigerian National Petroleum Company Limited.” NNPC Ltd opposed the motion, arguing the misidentification rendered the suit incompetent. However, on March 18, 2025, Justice Inyang Ekwo dismissed the objection, ruling that the naming error did not affect the suit’s validity and that the defendants should have addressed the core issues rather than focusing on procedural technicalities.
With the case now withdrawn, the legal battle over petroleum import licences and local refining support has ended—at least for now.
