The Nigerian Midstream and Downstream Petroleum Regulatory Authority has asked the Federal High Court in Lagos to vacate the interim order restraining it from interfering with operations at the Dangote Petroleum Refinery.
The request comes amid the continuing legal dispute between the regulator and the refinery over the authority’s powers within the Lekki Free Zone. The court had earlier restrained NMDPRA from enforcing its August 24 directive suspending the loading and truck-out of petroleum products from the refinery.
The interim order was granted by Justice Akintayo Aluko following an application by Dangote Petroleum Refinery Nigeria Limited in suit No. FHC/L/CS/1174/2026. The refinery had argued that NMDPRA lacked the authority to exercise regulatory or oversight powers over its operations within the free zone.
The court’s order prevented the regulator, its officers and agents from entering, sealing, shutting down, restricting access to, obstructing, inspecting, supervising or sanctioning the refinery and related facilities pending the hearing of the substantive application.
At the centre of the dispute is the question of whether petroleum facilities operating within a free zone remain subject to NMDPRA’s regulatory authority under the Petroleum Industry Act.
Justice Aluko had referred to a March 2, 2026 letter from the Attorney-General of the Federation which, according to the judge, stated that NMDPRA was not entitled to exercise regulatory powers or oversight functions over operations within free zones.
NMDPRA, however, has maintained that its regulatory mandate covers midstream and downstream petroleum activities across Nigeria, including facilities located within free zones. In an earlier industry circular, the authority stated that operating in a free zone does not exempt petroleum companies from compliance with the Petroleum Industry Act and relevant regulations.
The regulator’s decision to challenge the interim order signals its determination to defend its statutory authority over the refinery and other petroleum facilities operating within designated zones.
The dispute also comes at a sensitive time for Nigeria’s petroleum sector, with the Dangote Refinery playing a major role in domestic fuel supply and the government seeking to strengthen local refining capacity.
The court is now expected to consider NMDPRA’s application alongside the wider arguments concerning the extent of its regulatory powers over the Dangote Refinery. The outcome could have implications beyond the refinery, particularly for other petroleum companies operating within free zones across the country.