The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has placed its members on red alert and threatened to resume a nationwide strike after accusing the Dangote Petroleum Refinery of violating a government-brokered agreement on worker unionization rights, raising fears of fuel shortages across the country.

The dispute traces back to September 8, 2025, when NUPENG initiated a strike, claiming the refinery was preventing its 4,000 compressed natural gas (CNG) truck drivers from joining the union, in violation of Nigeria's 1999 Constitution and international labor standards. The refinery's planned deployment of these CNG trucks for fuel distribution, delayed from August due to issues in China but set to begin before year-end, was seen by the union as an attempt to bypass established labor practices.

A conciliation meeting on September 9 at the Department of State Services (DSS) headquarters in Abuja, mediated by Minister of Labour and Employment Muhammadu Dingyadi and attended by representatives from the Nigeria Labour Congress (NLC), Trade Union Congress (TUC), and other officials, led to a Memorandum of Understanding (MoU). The agreement affirmed unionization as a right under labor laws, committed to starting the process immediately and completing it by September 22, prohibited the refinery from forming rival unions, and barred victimization of workers. NUPENG suspended the strike following the signing.

However, NUPENG's National President Williams Akporeha stated on September 11 that Sayyu Aliu Dantata, a Dangote Group managing director and Aliko Dangote's cousin overseeing trucking operations, instructed drivers—longtime union members—to remove NUPENG stickers from vehicles and attempted to force entry into the refinery despite non-compliance with union loading rules. Akporeha alleged Dantata used a helicopter to oversee the site and summoned naval personnel to intervene, describing it as an act of impunity. The union reinforced barricades at the refinery gates to block non-compliant trucks and warned of potential industrial action by September 15 if unresolved.

In a September 11 statement, Dangote Refinery rejected the claims as "wholly inaccurate," emphasizing that union membership is voluntary and denying any compulsion for drivers to renounce affiliations. The company highlighted its CNG initiative as a job creator, promising over 60,000 direct positions with benefits exceeding national standards, including pensions and insurance. It also noted cordial relations with unions, such as providing office space for dues collection, and accused NUPENG of using "economic sabotage" tactics. The refinery pointed to competitive pressures, mentioning over 30 other refinery licenses issued and a 30% drop in diesel prices since its operations began, while insisting no fuel price hikes are planned.

Fuel marketers from the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) called for adherence to the MoU, with President Billy Gillis-Harry expressing gratitude for the government's initial intervention but labeling any breach as regrettable. The NLC described the alleged violation as a "gross breach," with acting General Secretary Benson Upah noting that decisions on action would come from relevant bodies. An anonymous NLC executive criticized the refinery for perceived contempt toward Nigerian institutions, despite benefiting from tax waivers and subsidies.

The Ministry of Labour's Director of Trade Unions, Amos Falonipe, confirmed on September 11 that no formal complaint had been received from NUPENG, stating that any reports of non-compliance would prompt an investigation and appropriate steps.