The Nigerian National Petroleum Company Limited (NNPCL) in an application is praying a Federal High Court in Abuja to dismiss a lawsuit filed by Dangote Refinery and Petrochemicals labeling it as being “incompetent”
This move is coming after the Dangote Refinery instituted a civil suit in the Federal High Court in Abuja with suit no: FHC/ABJ/CS/1324/2024 to nullify the import licenses granted to the NNPCL, A. A. Rano Limited, Matrix Petroleum Services Limited and four other companies for the importation of refined petroleum products.
The said suit is seeking a N100 billion in damages and an order to restrain the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) from further issuing of licenses.
On the face of the suit dated 6th of September 2024, the plaintiff (Dangote Petroleum Refinery and Petrochemicals) prayed the Honorable Court for an order to declare that NMDPRA is in violation of Sections 317(8) and (9) of the Petroleum Industry Act by issuing licenses for the importation of petroleum products.
Import licenses according to Dangote Refinery for petroleum products should only be granted when there is actually a proven shortage in domestic production.
This position stated is based on Sections 317(8) and (9) of the Petroleum Industry Act (PIA), which restricts the issuance of import licenses to situations where local production can’t meet demand.
Bsgistnews.com reporter gathered that, in a response to the suit, NNPCL who was sued as the 2nd Defendant filed a preliminary objection challenging the suit while praying the court for an order to strike out the suit for lack of jurisdiction and also for an order striking out the name of the 2nd defendant, NNPCL, from the suit.
The second order was based on the fact that the plaintiff lacked the locus standi to seek such relief against it as well as the fact that the suit does not disclose any cause of action against it .
In the affidavit in support of the preliminary objection deposed to by one Isiaka Popoola, a clerk in the law firm of Afe Babalola & Co., counsel for the NNPCL, it stated that one of the lawyers in the firm, Esther Longe who scrutinized the Dangote Refinery’s originating processes noted that an examination of the said processes showed that the NNPC sued by the Danogote Refinery was a non-existent entity.
The reason for the fact was due to the fact that on the face of Dangote Refinery’s originating processes, the 2nd defendant was seen as the “Nigeria National Petroleum Corporation Limited(NNPC) and as such, a search on the Corporate Affairs Commission(CAC) website showed that such an entity as “Nigeria National Petroleum Corporation Limited”(NNPC) is non-existent.
Justice Inyang Ekwo therefore adjourned the case to the 20th day of January 2025, to allow the parties for have an out-of-court settlement discussions and for a report of settlement.
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