Tension Rise as NUPENG Blocks Dangote Refinery Amid Agreement Collapse

A major industrial standoff has erupted between the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) and the Dangote Petroleum Refinery, sparking fears of disruptions to the nation’s fuel supply. The crisis emerged after a recently signed agreement between the union and the refinery collapsed within 48 hours, escalating tensions between both parties. According to NUPENG, the Memorandum of Understanding (MoU) signed on September 9, 2025, which was facilitated by the Department of State Services (DSS) and witnessed by the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC), has been breached by Dangote Refinery. The MoU was intended to safeguard the rights of petroleum tanker drivers under NUPENG to unionize and regulate loading operations at the refinery. Williams Akporeha, the National President of NUPENG, alleged that Sayyu Aliu Dantata, a senior official in Dangote’s trucking operations, instructed drivers to remove union stickers from their trucks and forcibly access the refinery. According to the union, this action violated the agreed union loading procedures and amounted to a direct breach of the MoU. In retaliation, NUPENG mobilized its members to barricade the entrance of the Dangote Refinery, preventing trucks without official union stickers from entering the premises. Reports indicate that Dangote management planned to deploy towing vehicles to remove the trucks, prompting NUPENG to escalate its response by vowing to bring in additional tanker trucks to reinforce the blockade. Dangote Refinery, however, has denied the allegations, describing the union’s claims as "cheap blackmail." The company emphasized that union membership is voluntary and reaffirmed its commitment to labor rights and the ongoing energy transition. Despite these assurances, the blockade has sparked anxiety across the oil and gas sector. Industry stakeholders, including the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), have called on both parties to adhere strictly to the terms of the MoU to avoid further disruptions. The NLC has also criticized Dangote Refinery’s alleged actions as a "gross violation" of the agreement, highlighting the potential for escalating labor unrest. The situation remains fluid, with NUPENG placing its members on “red alert” and threatening a nationwide strike, which had been temporarily suspended following the initial MoU signing. Fuel supply to retail outlets could face delays if the standoff continues, heightening concerns for consumers and businesses alike. As both sides dig in their positions, observers warn that swift mediation is necessary to avert a prolonged industrial crisis that could have ripple effects throughout Nigeria’s energy sector. The nation watches closely as the drama unfolds at one of Africa’s largest refineries.