In a surprising turn of events, the Dangote Group has announced its intention to withdraw its ₦100 billion lawsuit against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) over the issuance of import licenses to the Nigerian National Petroleum Company Limited (NNPCL), Matrix Petroleum Services Limited, AA Rano Limited, and four other companies, despite local production of petroleum products.
In a statement released late Monday, the Dangote Group described the lawsuit, filed at the Federal High Court in Abuja on September 6, 2024, as “an old issue” that has since been rendered irrelevant by recent developments.
Spokesman Anthony Chiejina noted that the parties involved have begun conciliatory discussions and that the refinery has no intention of pursuing the lawsuit any further.
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“We have agreed to put a halt to the proceedings.
“It is important to stress that no orders have been made and there are no adverse effects on any party.
“We understand that once the matter comes up in January 2025, 23 would be in a position to formally withdraw the matter in court,” Chiejina said.
In its originating summons, Dangote Refinery argued that the NMDPRA violated Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing import licenses when there was no product shortfall.
The refinery contended that such licenses should only be granted in cases where a clear need for imported products exists. It stated that the import licenses issued to other companies are harmful to its business, which has invested billions of dollars in production, resulting in diminished patronage for Dangote’s products.
The refinery sought an injunction to prevent the NMDPRA from issuing or renewing import licenses for the defendants.
On Monday, the presiding judge, Justice Inyang Ekwo, adjourned the case until January 20, 2025, for a report.
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