- PENGASSAN’s strike cut oil output by 16%, gas by 30%, and power generation by 20%, raising concerns for Nigeria’s energy stability.
- NNPCL confirmed the strike disrupted key facilities, delayed exports, and caused heavy losses across the oil and gas sector.
Nigeria’s oil and gas industry is still reeling from last week’s strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN). Despite the suspension, the Nigerian National Petroleum Company Limited (NNPCL) warned that systemic risks still threaten the country’s energy chain.
The three-day action, which started on September 28, disrupted critical operations at multiple sites. It shut down Shell’s Bonga floating production unit, halted work at the Oben gas plant, and delayed cargo at export terminals, including Akpo, Brass, and Egina. The strike also forced deferments at Nigeria LNG, spreading disruptions across the oil, gas, and power supply.
Bayo Ojulari, Group Chief Executive Officer of NNPCL, described the impact as immediate and severe. Within 24 hours, oil losses hit 283,000 barrels per day, and gas losses reached 1.7 billion standard cubic feet. Power generation dropped by over 1,200 megawatts, equaling 16 per cent of oil output, 30 per cent of marketed gas, and 20 per cent of electricity. Ojulari warned that a more prolonged strike could endanger national energy security.
He added that the disruption went far beyond supply interruptions. Missed liftings, reduced gas sales, and stalled projects deepened revenue losses. The strain on cash flow showed how fragile the sector remains, with impacts stretching past the Dangote Refinery.
Although PENGASSAN suspended the strike after government intervention, the union said its grievances are unresolved. At a press briefing in Abuja, union president Festus Osifo stated that no binding deal had been signed with the Dangote Refinery. He stressed that the suspension was an act of goodwill to allow workers to resume duties and support their families.
Osifo firmly rejected claims that workers tried to sabotage the economy. He argued that clearing such accusations was crucial to protecting the jobs of more than 800 dismissed Nigerian staff. Still, he warned that the union would resume action if the Dangote Refinery failed to resolve the issues.
In the end, the strike exposed Nigeria’s fragile energy system. Operations may have resumed, but NNPCL and PENGASSAN admit unresolved problems still threaten the sector.