Nigeria’s state-owned oil company has accused the Dangote Petroleum Refinery of attempting to monopolise the country’s fuel market through a court challenge aimed at restricting imports by rival marketers, according to legal documents seen by Reuters.
In filings before the Federal High Court in Lagos, the Nigerian National Petroleum Company (NNPC) argued that granting Dangote’s request to void or limit fuel import licences would expose Nigeria to supply shortages, price instability and threats to national energy security.
The dispute marks a major escalation in tensions between Africa’s largest refinery and state energy authorities over control of Nigeria’s downstream fuel market.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has also applied to join the case, broadening the legal confrontation over import policy and competition in the sector.
The battle comes ahead of Dangote refinery’s planned initial public offering in September, raising uncertainty for investors over future market rules, fuel imports and revenue prospects for the 650,000-barrel-per-day facility.
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Dangote Petroleum Refinery filed the lawsuit in April against Nigeria’s attorney general, challenging fuel import permits issued or renewed by the NMDPRA to marketers and the NNPC.
The refinery argues that continued fuel imports undermine domestic refining efforts and violate provisions of Nigeria’s Petroleum Industry Act designed to support local production.
But the NNPC rejected those claims, saying Nigerian law permits the issuance of import licences to companies with refining licences or established international trading records.
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According to the court filings, the state oil company argued regulators retained discretionary powers to manage imports under the country’s backward-integration policy and that no outright ban on imports existed unless domestic supply shortages emerged.
NNPC further said Dangote had failed to provide “credible, independent or verifiable evidence” proving it could fully satisfy Nigeria’s fuel demand or guarantee uninterrupted nationwide supply.
The company also denied allegations that it had attempted to frustrate the refinery’s operations or deliberately restrict crude oil allocations.
It said crude supply decisions were influenced by operational, commercial, logistical and security considerations.
Dangote declined to comment publicly while the matter remains before the court.
Fuel marketers have also opposed the refinery’s suit, warning that limiting imports could weaken competition and create risks for supply stability in a country that has long struggled with periodic fuel shortages.
