Dangote Refinery has announced plans to withdraw its ₦100 billion lawsuit against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Nigerian National Petroleum Corporation Limited (NNPCL), and five other petroleum companies. The suit, filed in September 2024, challenged the NMDPRA’s decision to continue issuing import licenses for petroleum products, despite the refinery’s local production capabilities.

The other companies involved in the case include Aym Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited. Dangote Refinery argued that the importation of products like Automotive Gas Oil (AGO) and Jet Fuel violated the Petroleum Industry Act (PIA), which mandates import restrictions when local supply is sufficient.

However, Anthony Chiejina, a spokesperson for Dangote Group, revealed that “events have overtaken the development” due to recent discussions between the parties. He stated that the refinery plans to withdraw the case by January 2025 and emphasized that no court orders have been made or enforced during the proceedings.

The lawsuit aimed to protect Dangote Refinery’s business interests, following its significant investment in local production. The refinery, which began operations in December 2023, has been steadily increasing its output and is expected to reach a capacity of 650,000 barrels per day by the end of 2024. While it already supplies diesel and aviation fuel domestically, petrol distribution is also underway.

As Nigeria continues to face fuel shortages and rising prices, exacerbated by the removal of fuel subsidies in May 2023, Dangote Refinery’s increased production is seen as a crucial step toward reducing the country’s dependence on imported petroleum products.