A Federal High Court in Abuja has fixed March 18 to rule on the preliminary objection filed by the Nigerian National Petroleum Company Limited (NNPCL) in response to a suit by Dangote Petroleum Refinery over an oil import licence dispute......CLICK HERE TO CONTINUE READING>>>.....CLICK HERE TO CONTINUE READING>>>
Justice Inyang Ekwo set the date after hearing arguments from NNPCL’s counsel, Ademola Abimbola, SAN, and Dangote Refinery’s lawyer, John Ibrahim, SAN, on Wednesday.
NNPCL, in its objection filed on November 15, 2024, asked the court to dismiss the suit for lack of jurisdiction or, alternatively, strike out its name from the case. Abimbola argued that the suit was premature and lacked merit.
“This honourable court lacks the jurisdiction to hear this suit,” he stated, contending that the NNPCL, as sued by Dangote Refinery, is a non-existent entity.
Dangote Refinery, through its counsel, Ogwu Onoja, SAN, had sued the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and NNPCL, along with five oil marketers—AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.
The refinery is seeking to nullify the import licences issued by NMDPRA, arguing that the regulator violated Sections 317(8) and (9) of the Petroleum Industry Act (PIA), which restricts such licences to situations of product shortfalls.
The refinery is also demanding ₦100 billion in damages, alleging that NMDPRA’s continued issuance of import licences undermines its operations.
In response, NMDPRA, through a counter affidavit filed by Senior Regulatory Officer Idris Musa, asked the court to dismiss the case, insisting that Dangote Refinery does not yet produce enough petroleum products to meet national demand.
He stated that “licences were issued to companies with a good track record of international product trading” in compliance with the PIA to prevent shortages and ensure competition in the sector.
The oil marketers also opposed the suit, arguing that granting Dangote’s request would create a monopoly that could harm Nigeria’s oil industry.
In their joint affidavit, they stated that the refinery does not produce enough fuel to meet national consumption needs and that there was no evidence before the court to prove otherwise.
After listening to all parties, Justice Ekwo adjourned the case until March 18 for a ruling.