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NMDPRA Considers Appeal After Court Halts Action Against Dangote Refinery
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is weighing legal options after a Federal High Court in Lagos restrained it from interfering with operations at the Dangote Petroleum Refinery in the Lekki Free Zone.
Justice Akintayo Aluko granted the interim injunction on September 2, 2026, following a motion ex parte filed by Dangote Refinery. The company had approached the court after receiving an NMDPRA directive dated August 24 ordering suspension of product loading and truck-out.
The refinery argued that NMDPRA lacked oversight powers in free zones, citing a March 2, 2026 letter from the Attorney-General of the Federation affirming that the regulator was not entitled to exercise authority there. Justice Aluko agreed the matter raised serious issues requiring determination and ruled to preserve the status quo.
NMDPRA spokesman George Ene-Ita declined comment, but senior officials confirmed the agency’s legal team is considering next steps. The regulator has previously insisted that companies in free zones remain subject to the Petroleum Industry Act (PIA) and its regulations.
In a May circular, NMDPRA stressed that incentives in free zones do not exempt operators from petroleum sector rules. It reaffirmed its statutory powers over refining, processing, storage, pipelines, gas networks, import/export, and distribution nationwide, including in free zones.
The dispute highlights tensions between Nigeria’s investment promotion framework for free zones and regulatory oversight under the PIA. Dangote Refinery has asked the court to restrain NMDPRA from sealing, restricting access to, or interfering with its facilities pending full hearing.
The case has been adjourned to September 9, 2026, for hearing of the motion on notice, with NMDPRA expected to defend its authority over free zones while the court decides whether such powers apply.
