Nigeria is grappling with a significant industrial dispute involving the Dangote Petroleum Refinery and Petrochemicals FZE and the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). The conflict, rooted in allegations of mass worker dismissals, has escalated to threats of nationwide strikes and disruptions to the nation’s energy supply, prompting urgent interventions from government, judiciary, and various public interest groups.

At the heart of the crisis are PENGASSAN's claims that the Dangote Refinery laid off over 800 Nigerian employees, who were allegedly replaced by foreign nationals. The union asserts that these actions violate Nigerian labour laws and International Labour Organisation conventions. Consequently, PENGASSAN directed its members to embark on a nationwide strike, including cutting off crude oil and gas supplies to the refinery, effective Monday. The union demanded the immediate recall of all terminated Nigerian workers. The Trade Union Congress of Nigeria (TUC), an affiliate of PENGASSAN, publicly backed the union, demanding not only the reversal of the dismissals but also a public apology from Dangote Refinery management, alongside assurances against future anti-union actions.

In response, Dangote Refinery vehemently denied the scale of the alleged dismissals, stating that only a “small number” of workers were affected as part of a "reorganisation exercise." The company explicitly refuted claims of sacking over 800 Nigerians and employing over 2,000 foreigners, asserting that more than 3,000 Nigerians continue to work actively at the refinery and that recruitment of local talent is ongoing. Dangote Refinery accused PENGASSAN of attempting to sabotage the country's energy supply chain, describing the union’s strike directive as "criminal," "lawless," and a form of "economic sabotage." The company also characterized PENGASSAN's tactics as "terror" and "guerrilla" actions aimed at "weaponising hardship" against Nigerians, claiming the union cares little for the "unbearable hardship" it would inflict on the populace by disrupting essential services.

The seriousness of the dispute quickly drew attention from national figures. Governor Abdullahi Sule of Nasarawa State described the Dangote Refinery as a “national asset,” warning that disruptions would lead to global embarrassment for Nigeria. He urged dialogue between the refinery management, unions, and the federal government, defending the company's position by noting that gas supply disruptions could cripple operations. The federal government also stepped in, convening a reconciliatory meeting between PENGASSAN and Dangote Refinery management, led by Minister of Labour and Employment Mohammed Dingyadi and Minister of State Nkiruka Onyejeocha.

Concurrently, the National Industrial Court in Abuja issued an interim order on Monday, restraining PENGASSAN from proceeding with its planned industrial action and from cutting crude and gas supplies to the Dangote Refinery. Justice Emmanuel Sublim (also referred to as Danjuma Subilim) granted the ex-parte application filed by the refinery's counsel, George Ibrahim, SAN. The court also specifically restrained the Nigeria National Petroleum Company Ltd (NNPCL), the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), and the Nigeria Upstream Petroleum Regulatory Commission (NUPRC) from giving effect to PENGASSAN's directive to halt supplies. The judge emphasized that the strike could cause "irreparable damage" to the nation's economy, ordering immediate service of the restraining order and adjourning the matter to October 13 for further hearing.

However, despite the court order, reports indicated that PENGASSAN had already implemented a cutoff of gas and crude oil supply to the refinery. This action drew further criticism and concern. Various other stakeholders weighed in, reflecting the contentious nature of the issue. Senator Ali Ndume representing Borno South, called on President Bola Tinubu to dissolve PENGASSAN if it continued to "serve private interests" rather than the public good, accusing the union of attempting to "impose demands" on a private entity and holding Nigerians "by the neck." In contrast, an opinion piece criticized the Dangote Group for alleged "alarming disregard" for its workers, citing a lack of Personal Protective Equipment (PPE), non-existent health insurance (HMO), unfair allowances, and disrespect compared to foreign expatriates. It labeled the mass dismissal for unionizing as a "human rights crisis" and "exploitation," stressing the need for dialogue and adherence to Nigerian labour law.

Adding another dimension, a coalition of women, the Women in Trade Alliance (WOTA), threatened nationwide protests against PENGASSAN, labeling the union's strike as "unnecessary and anti-people." WOTA accused "oil cabals" of attempting to frustrate the refinery's operations and warned against returning to "the dark days of rising prices and market manipulation," praising Dangote's role in consistently lowering petroleum product prices since 2024. They urged the government to resist "gang-ups" against the refinery and criticized unions for contributing to the collapse of government-owned refineries while protecting narrow interests.

The potential economic ramifications of the dispute are severe, with warnings of impending fuel scarcity and nationwide blackouts. Reports indicated that key oil and gas regulatory institutions experienced paralysed operations due to the industrial action, and thermal power stations, which supply over 70% of Nigeria's electricity, had begun shutting down. The disruption threatens the supply of essential petroleum products like kerosene, petrol, diesel, cooking gas, and aviation fuel, critical for hospitals, schools, emergency services, and transportation systems, underscoring the urgent need for a swift and comprehensive resolution to the escalating conflict.