Dangote Refinery and Regulator Clash Over Propane Issues

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Dangote Petroleum Refinery are engaged in a legal conflict regarding the quality and distribution of propane. The dispute arose after NMDPRA directed the suspension of propane loading and truck-out operations at the refinery.

This issue was brought before the Federal High Court in Lagos, where NMDPRA requested the court to lift an interim order that restrained it from enforcing the suspension. Dangote accused NMDPRA of overstepping its authority.

The court had previously issued an order on August 31, preventing NMDPRA from interfering with the refinery's operations until the case was resolved. NMDPRA's counsel, Matthew Burkaa, argued that the interim order was obtained through misrepresentation.

The regulator's decision to suspend operations stemmed from findings of alleged diversion of propane trucks and illegal blending at LPG plants, with tests showing propane content exceeding industry standards. NMDPRA also reported discrepancies in truck-out manifests from the refinery.