The Nigerian Midstream and Downstream Petroleum Regulatory Authority has revealed that an illegal refinery uncovered in Ogere Remo, Ikenne Local Government Area of Ogun State, occupied more than three hectares of land and had an underground storage tank with a capacity exceeding 90,000 litres.
The NMDPRA State Coordinator, Dr Atilola Akinyemi, disclosed this on Wednesday during a joint inspection of the facility with officials of the Economic and Financial Crimes Commission.
Akinyemi described the operation as crude and illegal, stressing that it had no permit from any regulatory authority. He said the facility contained underground storage tanks, locally fabricated tanks, separation silos, underground heating systems and water hydrants for cooling.
He added that the operators appeared to have technical expertise and had designed the facility to imitate a standard refinery while avoiding regulatory requirements. However, he cautioned against identifying the recovered products as diesel, saying laboratory tests were needed to establish their actual composition.
The NMDPRA coordinator warned that selling the unverified products could damage vehicles and automobile engines. He said all recovered materials had been confiscated and placed under Federal Government control pending laboratory analysis. He also pledged continued collaboration with security agencies to uncover similar operations.
The EFCC Zonal Director, Lagos Zonal Directorate 2, Bawa Usman Kaltungo, said the agency uncovered the facility through intelligence provided by a Nigerian whistleblower. He said officers conducted surveillance to verify the information before launching a sting operation, adding that another suspected location was being investigated. He also disclosed that some foreign nationals arrested at the site allegedly had immigration documentation issues, while the commission was investigating companies linked to the operation and their ownership structures, including interests based in China.
The EFCC Director of Proceeds of Crime Management, Gbolahan Latona, warned that illegal refining could undermine legitimate investments and deprive the country of revenue. He said the commission would pursue asset recovery and prosecute suspects where sufficient evidence was established, while investigating alleged financiers outside Nigeria.
