The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), in collaboration with operatives of the Economic and Financial Crimes Commission (EFCC), has uncovered an illegal refinery in Ogere-Remo, Ikenne Local Government Area of Ogun State.
The discovery followed a whistleblower’s report and intelligence gathering that led investigators to a heavily fenced facility, described as a technically sophisticated illegal refining operation occupying more than three hectares of land.
During an inspection of the site, the joint team discovered underground tanks suspected to have been used for heating and processing sludge oil, refining waste products and substances believed to be Automotive Gas Oil (AGO), commonly known as diesel.
NMDPRA officials subsequently sealed the facility after confirming that it was operating without the necessary regulatory approvals.
Speaking during the inspection, the Ogun State Coordinator of NMDPRA, Dr Atilola Akinyemi, described the facility as completely illegal, stressing that it had no operating permit from any recognised regulatory authority.
He disclosed that the underground storage facility had an estimated capacity of more than 90,000 litres and was equipped with underground heating systems, cooling hydrants, locally fabricated tanks and separation silos.
“This facility you see here is very crude and completely illegal. This is not a refinery by any standard. It does not have a permit from any regulatory authority, and its operations are unknown to the relevant authorities,” he said.
Akinyemi noted that although the operators appeared to possess some technical knowledge, their activities were deliberately structured to evade government regulations.
He warned against assuming that the recovered products were genuine diesel without proper laboratory analysis.
“They appear to be technically skilled people who have deliberately designed this facility to circumvent government regulations. When we examine their final product, it may look like diesel to the average person, but we cannot classify it as diesel until laboratory tests have been conducted,” he said.
The NMDPRA coordinator warned that distributing adulterated petroleum products could expose vehicles and engines to serious damage, adding that all products recovered from the facility had been confiscated by the Federal Government.
Also speaking, the EFCC Zonal Director, Lagos Zonal Directorate 2, Bawa Usman Kaltungo, said the illegal refinery was uncovered through intelligence provided by a whistleblower.
According to him, preliminary findings suggested that the facility had been operating for several years, with a complete setup for processing sludge into products resembling diesel.
“What we have seen here is an illegal refinery with a complete setup, featuring all the processes through which sludge passes before being converted into what is commonly referred to as diesel. Judging by the nature of this facility, it has been operating for years,” Kaltungo said.
He further disclosed that the Ogere axis had become a location of concern over alleged illegal activities involving foreign nationals.
Kaltungo recalled that 14 Chinese nationals were arrested in the area a week earlier over alleged illegal lithium processing activities.
He said investigations into that operation revealed immigration-related concerns, including expired visas and individuals allegedly operating without passports.
“Some of them had passports, while others did not. Even among those who had passports, we discovered that some of their visas had expired about three months earlier. Yet, there were still individuals operating there without passports,” he said.
The EFCC director also vowed that the alleged ultimate owners of the illegal refinery, believed to be based in China, would be brought to Nigeria to answer questions concerning the operation.
Meanwhile, the Director of the EFCC’s Department of Proceeds of Crime Management, Gbolahan Latona, called on Nigerians to support efforts to combat economic and financial crimes, stressing that illegal operations undermine legitimate investments in the country’s petroleum industry.
“Imagine allowing saboteurs like these to operate freely and undermine the efforts of legitimate investors like Dangote Refinery. Ultimately, it is Nigerians who will suffer,” Latona said.
He urged citizens to work collectively with relevant authorities to expose and prevent criminal activities capable of undermining the country’s economic development.
“If we genuinely want this country to become better for all of us, we must collectively work together to put an end to these kinds of criminal activities,” he added.
Latona further explained that suspects would be prosecuted after investigations had been concluded and sufficient evidence gathered.
He said proceeds of crime recovered from the operation would be subject to forfeiture to the Federal Government, where ordered by the court, and subsequently put to appropriate use.
