Business

FG Brokers Peace in Dangote–PENGASSAN Face-Off After 48-Hour Standoff

IDNN Business/Energy Desk

Abuja’s Midnight Breakthrough

Nigeria’s most bitter labour clash in years has found a truce. After two marathon sessions stretching deep into the night, the Federal Government announced a peace deal between the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) and the Dangote Petroleum Refinery.

Minister of Labour Mohammed Maigari Dingyadi revealed the deal in the early hours of Wednesday:

  • Workers’ right to unionise acknowledged as sacrosanct.
  • Sacked/refused staff to be redeployed across Dangote Group firms with no loss of pay.
  • A pledge that no worker will face victimisation over their role in the strike.
  • PENGASSAN to begin the process of calling off the nationwide shutdown.
FG Brokers Peace in Dangote
FG delegation led by Labour Minister Dingyadi brokers peace between Dangote Refinery and PENGASSAN after two-day standoff

The High-Stakes Mediation Table

The conciliation was heavyweight. Around the table sat:

  • National Security Adviser Nuhu Ribadu
  • Finance Minister Wale Edun
  • Budget & Planning Minister Atiku Bagudu
  • DG DSS Adeola Ajayi
  • DG NIA Amb. Mohammed Mohammed

Their mission: prevent the strike from escalating into a full energy shutdown that had already cut power output to 2,700MW and blocked crude exports worth $110m daily.



Government: “Unionisation is a right. No worker will be punished. Stability has been restored,” Dingyadi .


Union: PENGASSAN conceded only after securing guarantees, signalling it will maintain vigilance.


Dangote Group: Silent but visibly relieved — the refinery avoided prolonged paralysis at a time it’s central to Nigeria’s fuel independence strategy.

Oil Workers Warn FG’s JV Stake Sale Could Bankrupt NNPC Ltd
PENGASSAN conceded only after securing guarantees, signalling it will maintain vigilance

Ripple: From Economic Blackout to Fragile Truce

The deal averts immediate disaster, but deeper questions linger:

  • Foreign Labour Fears: PENGASSAN accused Dangote of replacing Nigerians with expatriates. Dangote denies it.
  • Union Muscle vs Private Capital: The clash highlights unresolved tensions in Nigeria’s post-subsidy energy era.
  • Government Leverage: FG stepped in only after investor panic mounted and power outages threatened stability.

Otedola Urges Depot Owners to Restructure Amid Dangote Refinery Dispute
The clash highlights unresolved tensions in Nigeria’s post-subsidy energy era.

Voices from the Battlefield

  • Government: “Unionisation is a right. No worker will be punished. Stability has been restored,” Dingyadi said.
  • Union: PENGASSAN conceded only after securing guarantees, signalling it will maintain vigilance.
  • Dangote Group: Silent but visibly relieved — the refinery avoided prolonged paralysis at a time it’s central to Nigeria’s fuel independence strategy.

The Road Ahead

Analysts warn this is a truce, not a settlement. PENGASSAN has not dropped its larger campaign against perceived “union-busting” across the Dangote empire. And investors remain wary of labour power overwhelming private capital in strategic sectors.

With 2027 elections looming, Tinubu’s government will be judged on whether such peace deals stick or unravel.

Dangote denies refinery shutdown after Reuters report
This is a truce, not a settlement. PENGASSAN has not dropped its larger campaign against perceived “union-busting”

Impact Snapshot

  • Workers: Jobs saved via redeployment — a moral win for union.
  • Refinery: Operations resume, but under closer government and union scrutiny.
  • Economy: Avoided deeper losses, but scars remain on investor confidence.

This is IDNN. Independent. Digital. Uncompromising.

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