The Nigerian National Petroleum Company Limited (NNPCL), Group Chief Executive Officer, Bashir Ojulari, has lamented the crude and gas production losses resulting from the three-day strike carried out by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
In a letter written to the Nigerian Midstream and Downstream Petroleum Regulatory Authority and Nigerian Upstream Petroleum Regulatory Commission, Ojulari explained that the suspended strike led to 16 per cent oil production and 30 per cent marketed gas losses, while the nation suffered a 20 per cent power supply shortfall.
The national oil company’s letter, dated 29 September 2025 and titled ‘Impact Assessment of ongoing industrial action,’ was also sent to the National Security Adviser and the Director General, Department of State Services.
The industrial action caused by a rift between the union and the Dangote Refinery forced the shutdown of major oil terminals, gas plants and power facilities, leading to the deferment of 283,000 barrels of crude oil per day and 1.7 billion standard cubic feet of gas daily, choking off vital income streams from the country’s two biggest revenue sources.
This came as the leadership of the union announced the suspension of its nationwide strike against Dangote Petroleum Refinery following the intervention of the Federal Government, even as it cautioned that the truce remained temporary and could be revisited if the pending issues were not addressed.
It was reported that both PENGASSAN and the management of the 650,000 refinery have been at loggerheads.
The rift stemmed from allegations by PENGASSAN that the Dangote Refinery engaged in mass transfers and sackings of union members, while also replacing some Nigerians with foreign nationals, claims the company consistently denied.
The refinery’s management stated that the workforce reorganisation was due to operational requirements and not related to union activities.
The standoff escalated when the union embarked on an industrial action by halting gas and crude oil supplies to the refinery, raising the alarm over potential disruptions to the nation’s energy supply and economic stability.
The Federal Government intervened over concerns about the impact of the dispute, citing the risk of “adverse effects on the economy and energy security,” and convened high-level talks to resolve the impasse.
Detailing the financial losses in the letter obtained by our correspondent on Wednesday, the NNPCL GCEO said industrial action resulted in significant production deferments.
Ojulari disclosed that, within the first 24 hours of the strike, as of September 29, 2025, production deferments stood at 283,000 barrels of oil per day, 1.7 billion standard cubic feet of gas per day, and more than 1,200 megawatts of power generation
According to him, this translates to around 16 per cent of national oil production, 30 per cent of marketed gas, and 20 per cent of electricity supply, with the impacts expected to intensify if the situation lingers.
“As of 29 September 2025 (within the first 24 hours of the strike), production deferments stood at approximately 283 kbpd of oil, 1.7 bscfd of gas, and over 1,200 MW of power generation impact. This equates to around 16 per cent of national oil output, 30 per cent of marketed gas, and 20 per cent of electricity generation. Should the situation continue, the impacts are expected to intensify, posing a material threat to national energy security,” the GCEO noted.
