NNPC Counts Losses As PENGASSAN Suspends Strike

The Nigerian National Petroleum Company Limited has revealed heavy production and revenue losses following the three-day strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria, which was suspended after federal intervention.

According to a letter sent to key regulators and security agencies, the strike resulted in daily deferments of 283,000 barrels of crude oil and 1.7 billion standard cubic feet of gas. This disruption also cut 20 percent of the nation’s electricity supply, exposing the economy to severe shocks. The company warned that missed lifting operations and delayed maintenance activities could worsen the situation in the coming months.

The dispute that triggered the industrial action stemmed from union accusations that the Dangote Refinery carried out mass transfers, sackings of workers, and replacement of Nigerians with foreign staff. The refinery denied the claims, insisting the changes were operational. The standoff escalated when the union cut crude and gas supply to the 650,000-barrel-per-day refinery, causing ripple effects across oil terminals, gas plants, and power facilities.

The government stepped in after the strike began to paralyze energy supply and revenue streams. Concerns over national security and economic stability pushed federal officials into marathon talks that secured a truce, though the union maintained that its action was only suspended and not called off.

PENGASSAN leaders said their members joined the union to demand fair pay and better welfare, dismissing claims that the strike was about check-off dues. They argued that the issue was rooted in the right of workers to freedom of association and decent working conditions.

The union also rejected suggestions that its action could undermine the multibillion-dollar Dangote investment, stressing that PENGASSAN had long supported major oil companies to thrive in Nigeria without jeopardising their projects.

Despite the suspension, union leaders made clear that they remain wary of Dangote’s commitment to agreements reached during negotiations. They warned that any breach of the terms would trigger an immediate return to strike action.

For now, the truce offers temporary relief, but the losses recorded and lingering distrust show that Nigeria’s energy sector remains vulnerable to industrial disputes.