Court dismisses NNPC’s objections in Dangote refinery’s import licence suit

A federal high court has dismissed Nigerian National Petroleum Company (NNPC) Limited’s objection to its inclusion in a lawsuit brought by Dangote Petroleum Refinery over import licences issued to oil marketers.

According to a report by Reuters, Inyang Ekwo, the presiding judge, gave the ruling on Tuesday.

In an amendment, dated November 25, 2024, Dangote refinery had sought a single relief to correct the name of the second defendant in the lawsuit from ‘Nigeria National Petroleum Corporation Limited’ to ‘Nigeria National Petroleum Company Limited’.

Dangote refinery had on September 6, 2024, filed a suit, marked FHC/ABJ/CS/1324/2024, against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and NNPC as first and second defendants.

The refiner had requested the court to nullify the import licences issued to NNPC, Matrix Petroleum Services Limited, A. A. Rano Limited, and four other oil companies.

Dangote refinery asked the court to rule that the NMDPRA violated Sections 317 (8) and (9) of the Petroleum Industry Act (PIA) by granting licences for petroleum product importation, adding that such licences should only be issued in circumstances where there is a petroleum product shortfall.

The refiner urged the court to declare that the NMDPRA is in violation of its statutory responsibilities under the PIA for not encouraging local refineries such as Dangote refinery.

The publication said NNPC had objected to the suit that domestic consumption still surpasses the refinery’s production, hence, imports remain necessary.

Also, NNPC argued that Dangote refinery’s filing cited a non-existent company, Nigeria National Petroleum Corporation, as the national oil company had officially changed its name to Nigeria National Petroleum Company Limited in 2022 when it became a limited liability company.

However, in his ruling, Ekwo dismissed the objections.

The publication said the presiding judge adjourned the case to May 6, to consider the request by NMDPRA and NNPC to dismiss the suit due to a lack of merit and their counter-argument that the refinery is seeking to create a monopoly.

Dangote refinery is seeking N100 billion in damages from NMDPRA, NNPC and five oil marketers.