In late September, Nigeria’s energy situation changed suddenly because PENGASSAN ordered workers to stop crude and gas supplies to Dangote Refinery after 800 dismissals.
Labour Dispute Sparks Crisis
Immediately, the strike shocked the sector: oil production dropped 16%, gas deliveries fell sharply, and power stations lost over 1,200 megawatts.
Consequently, exports slowed as delays hit cargoes, while facilities like Oben gas plant and Nigeria LNG struggled, deepening the fragile national energy chain.
Households Feel The Pain
Soon, households felt the pain.
Cooking gas became scarce, depots ran dry, and vendors raised refill prices up to ₦1,800/kg.
As a result, a 12.5 kg cylinder cost ₦22,500.
Families struggled, while small restaurants feared collapse under soaring energy costs.
Meanwhile, long queues formed at gas stations.
Read Also: SEC Eyes ₦10Bn Capital Rule For Credit Enhancement Firms
Many families considered kerosene or firewood instead, despite the health and safety risks.
Government And Industry React
Furthermore, the government worried about heavy losses.
Deferred exports and reduced output highlighted how vulnerable Nigeria’s oil and gas economy remains during labour disputes.
After three tense days, mediators helped PENGASSAN and Dangote reach a fragile truce.
Dangote promised to redeploy dismissed workers across the group without pay cuts.
Nevertheless, PENGASSAN suspended its strike but warned it could return without notice if Dangote broke the agreement, keeping pressure firmly on the company.
Ultimately, this brief crisis taught a harsh lesson: concentrated infrastructure leaves Nigeria exposed, where one strike can trigger nationwide scarcity and price shocks.
