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Nigeria’s oil output drops by 16% throughout PENGASSAN’s strike – NNPCL 

Nigeria’s oil and fuel manufacturing dropped sharply throughout a quick nationwide strike by the Petroleum and Pure Fuel Senior Workers Affiliation of Nigeria (PENGASSAN), which ended on Wednesday after government-mediated talks with Dangote Refinery.

The strike, which started on September 28, was triggered by the dismissal of some staff on the Dangote Refinery, Africa’s largest crude processing facility with a capability of 650,000 barrels per day.

In a letter dated September 29, 2025, Nigerian Nationwide Petroleum Firm Restricted (NNPC Ltd)’s Group Chief Government Officer, Bayo Ojulari, knowledgeable regulators that the economic motion led to important manufacturing deferments and projected income losses from missed crude liftings and lowered fuel gross sales.

He stated, “Vital income losses are projected at present deferment ranges, pushed by missed liftings and fuel gross sales. Cashflow pressures are rapid and compounding. 

“NNPC continued engagement with working companions and key stakeholders to boost safety and emergency protocols, activation of BCP with non-union workers taking on operations, the place practicable.” 

Ojulari added that the economic motion “has impacts that reach past the Dangote Refinery”.

He stated the disruptions pose systemic dangers to power provide, personnel and asset safety and the broader economic system.

“Throughout the first 24 hours of the strike, the NNPC GCEO stated manufacturing deferments “stood at roughly 283 kbopd of oil, 1.7 bscfd of fuel, and over 1,200 MW of energy technology impaction.

“This equates to round 16per cent of nationwide oil output, 30per cent of marketed fuel, and 20% of electrical energy technology,” he stated. 

The NNPC had warned the disruption posed a “materials menace to nationwide power safety” if extended. 

Key services affected by strike 

Key services shuttered through the motion included the Shell-operated Bonga floating manufacturing unit and the Oben fuel plant, whereas the restart of Nigeria LNG’s Practice 5 and 6 was delayed, and midstream networks have been disrupted.

Cargo loadings for Dangote refinery in addition to at export terminals corresponding to Akpo, Brass, and Egina have been additionally delayed, risking demurrage prices, and not less than 5 vital upkeep and mission timelines slipped, the report stated.

NNPC stated it activated enterprise continuity plans and deployed non-union workers to maintain operations through the stoppage however warned of “important income losses” from missed liftings and fuel gross sales.

Backstory 

On Sunday, PENGASSAN ordered a nationwide strike in response to the dismissal of some Nigerian staff by the Dangote Refinery.

The affiliation’s Basic Secretary, Lumumba Okugbawa, stated the choice adopted an emergency assembly of the union’s Nationwide Government Council (NEC).

The Dangote Group dismissed studies of mass workers layoffs, clarifying that the continued reorganisation at its Petroleum Refinery impacts solely a small variety of workers and is geared toward safeguarding operations and stopping sabotage.

The union suspended the strike after talks brokered by the federal government, easing rapid provide dangers, although NNPC cautioned that systemic vulnerabilities remained.


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