LAGOS, July 30 (AGCNewsNet) — The Dangote Refinery has unexpectedly dropped its $66 million lawsuit against Nigeria’s fuel importers and regulators, halting a high-profile legal battle that had challenged the country’s fuel import licensing system.

The refinery, owned by Africa’s richest man, Aliko Dangote, had filed the suit to compel the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to revoke import licenses issued to the Nigerian National Petroleum Company (NNPC) and several private marketers. Dangote argued that continued fuel imports were illegal under current law, claiming that its operational capacity now eliminated the need for such imports.

The lawsuit also demanded $66 million in damages, alleging that the import permits undermined its domestic production and violated the Petroleum Industry Act by failing to prioritize local refining output.

In March, the Federal High Court had ruled that the case could proceed, dismissing preliminary objections by NNPC and three other oil marketers.

However, despite the court’s green light, Dangote Refinery has now voluntarily withdrawn the case without offering a public explanation. The matter remains scheduled for hearing on September 29, where defendants could choose to seek legal costs or formally agree to strike out the suit.

The surprise withdrawal comes amid growing speculation about behind-the-scenes negotiations between the refinery, the government, and key players in the petroleum sector.

Commissioned in May 2023, the $19 billion Dangote Refinery is expected to meet Nigeria’s fuel demand and reduce dependence on imports — a key point in the company’s original complaint.

Industry observers are now watching for signs of a new regulatory consensus or revised fuel import policy that could reshape Nigeria’s downstream sector.

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