Nigerians may soon begin to pay more for premium motor spirit (PMS), commonly known as petrol, as one of the major suppliers of the product, Dangote Petroleum Refinery, has stopped selling it in Naira.
The development came even as the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) escalated its verbal rift with the company and ordered its members to halt gas supply to the Dangote Petroleum Refinery.
Dangote earlier sacked 800 Nigerian workers who had opted to join the trade organisation and its junior staff equivalent, the National Union of Petroleum and Natural Gas Workers, NUPENG.
On Friday night, the $20 billion Lagos-based refinery served notice of stopping the sale of petrol in local currency from tomorrow, Sunday, September 28, 2025, because it has exhausted its crude-for-Naira allocation from the government.
To ensure prices of petroleum products remain affordable, the Federal Government introduced the crude-for-Naira policy, selling crude oil to private refineries in domestic currency.
However, a notice by the Group Commercial Operations of Dangote Petroleum Refinery and Petrochemicals, and sent to customers on Friday evening, the company said, “We write to inform you that Dangote Petroleum Refinery and Petrochemicals has been selling petroleum products in excess of our Naira-Crude allocations and, consequently, we are unable to sustain PMS sales in Naira going forward.
“Kindly note that this suspension of Naira sales for PMS will be effective Sunday, September 28, 2025. We will provide further updates regarding the resumption of supply once the situation has been resolved.
“All customers with PMS transactions in Naira who would like a refund of their current payments should formally request the processing of their refund.”
PENGASSAN’s directive to stop gas supplies was issued in a circular dated September 26, 2025, and signed by General Secretary Comrade Lumumba Ighotemu Okugbawa, ordering members in major oil and gas companies to stop gas and crude deliveries to the refinery and suspend vessel loading operations.
PENGASSAN said the action followed the refinery’s sacking of workers opting for unionisation, while accusing management of spreading misinformation instead of addressing grievances.
Copied to branch chairmen at TotalEnergies, Seplat, Chevron, Oando, Shell, and NGIC, the PENGASSAN memo tasked them to cut off supply “effective immediately.”
“We bring you fraternal greetings from the National Secretariat. As you are aware, the Management of Dangote Petroleum Refinery has disengaged our members in reaction to the exercise of their constitutional right to being unionized.
“They have gone further on a mission of misinformation and propaganda to justify this illegitimacy rather than engaging meaningfully with us to right the wrong. Consequent to these, you are hereby directed to cut off gas supply to NGIC effective immediately. All crude oil supply valves to the Refinery should be shut. The loading operation for vessel headed there should be halted immediately.
“NGIC Chairman, ensure that gas supply to the Refinery is cut off effective immediately.”
PENGASSAN said the decision was necessary to defend its members’ rights and further instructed branch chairmen to report promptly on enforcement progress.
While PENGASSAN linked its latest directive to alleged victimisation of workers seeking to unionise, the Dangote Group had earlier dismissed reports of mass layoffs, saying only a small number of employees were affected and even so because of efforts to safeguard refinery operations from sabotage.
The company said over 3,000 Nigerians remained employed at the refinery and maintained that workers are free to decide whether or not to join a union.
Labour disputes have persisted despite a resolution brokered by three federal ministers and the Deputy Director General of the DSS, with NUPENG previously accusing the refinery of refusing to recognise workers’ rights and allegedly intimidating union officials.
