The Federal High Court in Lagos has extended an interim order restraining the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) from interfering with operations at the Dangote Petroleum Refinery amid a dispute over the loading and distribution of propane.
Justice Akintayo Aluko extended the order on Wednesday after the refinery's counsel, Wale Akoni, SAN, sought time to respond to a counter-affidavit filed by NMDPRA in opposition to the refinery's application.
The regulator had urged the court to discharge the order, arguing that it was obtained on the basis of alleged misrepresentation and suppression of material facts.
The court had on August 31 restrained NMDPRA, its officers, agents and representatives from entering, sealing, shutting down, restricting access to, obstructing, suspending, disrupting, inspecting, supervising or sanctioning the refinery's operations pending the determination of the substantive application.
At Wednesday's proceedings, counsel to NMDPRA, Matthew Burkaa, also challenged the jurisdiction of Justice Aluko to grant the interim order.
He argued that Dangote Refinery had not filed the required motion on notice when its ex-parte application was heard.
The regulator's case arose from its investigation into the alleged diversion of propane-laden trucks and the suspected use of the product in LPG blending outside approved specifications.
NMDPRA told the court that laboratory analysis of LPG samples taken from Selai, Tewa and Ameego Pago LPG plants showed propane content exceeding 50 per cent.
It said the prescribed industry requirement was for propane to account for no more than 20 per cent of the LPG blend, while butane should make up about 80 per cent.
According to the authority, representatives of the three plants were invited for questioning and subsequently identified Sublime Oil and Gas Limited, an off-taker from Dangote Refinery, as the source of the propane.
The development, NMDPRA said, led to a wider reconciliation exercise involving propane-producing facilities and LPG-blending plants.
The authority further alleged that its officials were prevented from accessing Dangote Refinery on August 24 to inspect propane-loading operations and relevant records.
Following the alleged denial of access, it said, the refinery was issued a notice of potential non-compliance and directed to suspend propane loading and truck-out operations pending the completion of the investigation and the introduction of additional safety measures.
NMDPRA also placed before the court details of what it described as discrepancies in truck-out records.
It alleged that Sublime Oil and Gas lifted 25 propane trucks on August 20 and 22 for delivery to Navgas/Agasco, but that Navgas confirmed receiving only six.
The regulator said the whereabouts of the remaining 19 trucks were not accounted for.
It further alleged that records from Delta State showed another off-taker loaded 52 trucks between May and August 2026 for delivery to Navgas, although Navgas reportedly confirmed that it received none of the consignments.
The regulator maintained that the alleged diversion of the product to unauthorised and unlicensed customers created safety concerns because the propane was allegedly being used for LPG blending in facilities outside the approved regulatory framework.
It also told the court that propane from Dangote and other gas-processing facilities had a vapour pressure of approximately 13 bar, compared with the maximum seven-bar pressure it said was required for the standard propane-butane LPG mixture.
NMDPRA argued that such pressure could present an explosion hazard at LPG facilities not designed to handle the product.
Dangote Refinery, however, disputed the regulator's position and maintained that its propane had been inspected and certified by NMDPRA before it was released to buyers.
The Dangote Group spokesman, Anthony Chiejina, said the refinery could not be held responsible for what independent off-takers did with the product after taking delivery.
“We have NMDPRA staff there in the refinery. They inspected and certified the product as okay. Then, a company came to pick up the product with its truck, not Dangote’s truck. You later arrested the truck somewhere else and said it was conveying adulterated or blended propane. How does that concern us after you tested and certified our product okay?” he said.
Chiejina also accused NMDPRA of exceeding its regulatory powers by attempting to interfere with the refinery's operations.
“You went to the plant to seal it and later left the plant. For me, that is an absolute abuse of power by NMDPRA. And that is just a diabolical sense of control. It makes no sense. That’s what led to the court action,” he said.
He further challenged the regulator to provide evidence showing that the refinery supplied adulterated or improperly blended propane.
“They have a hidden transcript. Assuming you entered our refinery and discovered that what we have there is blended, that’s a different thing. You have earlier certified the product,” he said.
On the alleged diversion of trucks, the spokesman said the refinery had no control over the destination of products after they were sold to independent buyers.
“Let them go and check their records. And the owner of the truck has left with his truck. Where he goes with his truck – is it my business? He does what he likes with his products,” Chiejina said.
At the hearing, Akoni told the court that he had only been served with NMDPRA's counter-affidavit in court and therefore needed time to study and respond to it.
Burkaa did not oppose the request but urged the court to treat the matter with urgency, citing the safety concerns contained in the regulator's case.
Justice Aluko said he could not fix a new hearing date because his jurisdiction as vacation judge would expire on Friday when the court's annual vacation ends.
“My jurisdiction ends on Friday as far as the vacation matter is concerned. Therefore, the Admin Judge will, in his wisdom, decide where the case file should go,” he said.
The judge consequently directed that the case file be returned to the registry for assignment to the regular court by the administrative judge.
Before doing so, however, Justice Aluko extended the August 31 interim order.
“I find it proper to extend the interim order made on the 31st day of August 2026. It shall continue to subsist and shall be in force till the hearing and determination of the motion on notice, or until the court gives further directive,” he held.
The court also ordered that the case file be remitted to the registry for assignment to the appropriate regular court.
The order means that, for now, NMDPRA remains restrained from taking steps that would shut down, disrupt or otherwise interfere with the refinery's operations, pending the determination of the substantive application.
The central issues in the dispute - including the quality and handling of propane, the alleged diversion of trucked consignments, the regulator's inspection powers and Dangote Refinery's responsibility for products after they leave its facility - will now be considered by the regular court.
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