Import Licence: NNPCL asks court to strike out Dangote Refinery’s suit

The Nigeria National Petroleum Corporation Limited (NNPCL) has asked the Abuja Division of the Federal High Court to strike out a suit filed by Dangote Petroleum Refinery and Petrochemicals FZE, describing it as “incompetent.”

The NNPCL, in a notice of preliminary objection filed by its team of lawyers led by Kehinde Ogunwumiju (SAN) before Justice Inyang Ekwo, argued that the suit was premature.

The application, marked: FHC/ABJ/CS/1324/2024, dated and filed on November 15, was sighted on Wednesday.

NNPCL seeks two orders, which include an order of the court striking out the suit for lack of jurisdiction and, alternatively, an order striking out the name of the second defendant (NNPCL) from the suit.

Giving a six-ground argument, the corporation argued that Dangote Refinery lacked locus standi to institute the suit.

“The plaintiff’s suit is premature. The plaintiff’s suit discloses no cause of action. The second defendant is not a competent party. The plaintiff’s suit is incompetent. This honourable court lacks the jurisdiction to hear this suit,” the NNPCL said.

In the affidavit in support of the application deposed to by Isiaka Popoola, a clerk in the law firm of Afe Babalola & Co, counsel to the NNPCL, he said one of their lawyers, Esther Longe, who perused Dangote’s originating summons, affidavit and written address told him that an examination of the processes showed that NNPC sued by the refinery was a non-existent entity.

Mr Popoola averred that the court lacked jurisdiction over the second defendant, who was sued as NNPC.

“This second defendant in this suit as consistently seen on the face of the plaintiff’s originating summons, the affidavit in support and the written address as “Nigeria National Petroleum Corporation Limited (NNPC).”

“A simple search on the CAC website shows that there is no entity called Nigeria National Petroleum Corporation Limited (NNPC). The printout of the said search is hereby attached and marked as Exhibit A,” he said.

According to Mr Popoola, the second defendant is not the same as the second defendant sued by the plaintiff.

“The registered name of the second defendant/objector is Nigerian National Petroleum Company Limited, and this is the only name it can be sued by,” he added.

He said the NNPCL, as sued by the refinery in the instant suit, is not a competent party or a juristic person.

Mr Popoola averred that the suit was incompetent and ought to be struck out and prayed the court to grant their application in the interest of justice.

Three oil marketers had also prayed the court to dismiss the suit.

The oil marketers, in a joint counter-affidavit marked FHC/ABJ/CS/1324/2024 filed on November 5 in response to Dangote Refinery’s originating summons, told Justice Ekwo that granting that application would spell doom for the country’s oil sector.

According to them, the plan to monopolise the oil sector is a recipe for disaster in the country.

In their response, the three marketers, AYM Shafa Limited, A. A. Rano Limited, and Matrix Petroleum Services Limited, said the plaintiff did not produce adequate petroleum products for the daily consumption of Nigerians.

Besides, they argued that there was nothing placed before the court to prove the contrary.

Dangote Refinery had sued Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Nigeria National Petroleum Corporation Limited (NNPCL) as first and second defendants.

Also listed as third to seventh defendants, respectively, in the originating summons dated September 6, are AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.

It prayed the court to nullify import licences issued by NMDPRA to the NNPCL and five other companies for the purpose of importing refined petroleum products.

The company also prayed the court to declare that NMDPRA violated sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing licenses for the importation of petroleum products.

It stated that such licences should only be issued when a petroleum product shortfall occurs.

It also urged the court to declare that NMDPRA violates its statutory responsibilities under the PIA for not encouraging local refineries such as the company.

The company equally sought N100 billion in damages against NMDPRA for allegedly continuing to issue import licences to NNPCL and the five companies for importing petroleum products.

It said these are Automotive Gas Oil (AGO) and Jet Fuel (aviation turbine fuel) into Nigeria “despite the production of AGO and Jet-A1 that exceeds the current daily consumption of petroleum products in Nigeria by the Dangote Refinery.”

Justice Ekwo had fixed January 20, 2025, for a report of settlement or service.

(NAN)