The Economic and Financial Crimes Commission (EFCC) has uncovered a suspected illegal oil refinery allegedly operated by Chinese nationals in the Ogere area of Ogun State.
The discovery was made on Saturday, October 31, 2026, during an operation conducted by operatives of the EFCC’s Lagos Zonal Directorate 2 following intelligence gathering and surveillance on suspected illegal sludge oil refining activities.
The development was disclosed in a statement issued on Tuesday by the Commission’s Head of Media and Publicity, Dele Oyewale.
According to the EFCC, the facility was deserted when operatives stormed the premises, following an earlier crackdown on four illegal lithium processing plants in the area.
However, the operatives discovered waste products from the refining process and underground tanks suspected to have been used for heating and processing sludge oil.
“Two of the underground tanks inspected contained substances suspected to be Automotive Gas Oil (AGO), otherwise known as diesel,” the statement said.
The Commission said preliminary investigations revealed that the operators allegedly sourced sludge oil, also known as black sludge, from Warri in Delta State and Port Harcourt in Rivers State before transporting it to the Ogere facility for processing.
It explained that the operators subjected the sludge oil to intense heat, allowing lighter petroleum components to pass through a series of chambers and filters in a process believed to produce Automotive Gas Oil (AGO) for sale in the Nigerian market.
The EFCC further disclosed that security personnel at the facility told investigators that the Chinese operators had never revealed their identities or the name of the company behind the operation.
The Commission said operatives of its Lagos Zonal Directorate 2 had taken over the premises as investigations continued to establish the identities of the operators, ownership of the facility and the full extent of the suspected illegal activities.
The investigation will also determine the extent of any economic sabotage linked to the operation.




