PENGASSAN Strike Cuts Nigeria’s Oil Output by 16%, Gas by 30%, Power by 20% – NNPCL

PENGASSAN Strike Cuts Nigeria’s Oil Output by 16%, Gas by 30%, Power by 20% – NNPCL

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) strike, which lasted from September 28 to October 1, 2025, caused significant disruptions in Nigeria's energy sector, plunging oil output by 16%, gas production by 30%, and power generation by 20%, according to the Nigerian National Petroleum Company Limited (NNPCL).

The strike, triggered by a dispute between PENGASSAN and Dangote Refinery that led to the dismissal of over 800 unionized workers, forced the shutdown of critical facilities including Shell’s Bonga floating production unit, the Oben gas plant, and delayed operations at Nigerian LNG and various export terminals such as Akpo, Brass, and Egina.

NNPCL Group CEO Bayo Ojulari disclosed that within the first 24 hours, crude oil losses reached 283,000 barrels per day, gas output fell by 1.7 billion standard cubic feet, and power generation dropped by over 1,200 megawatts. These losses represent roughly 16 percent of Nigeria’s oil production, 30 percent of its marketed gas, and 20 percent of electricity supply.

The industrial action not only disrupted production but also caused delays in scheduled maintenance and project deadlines, raising concerns about national energy security. Although the strike was suspended following government-mediated talks that included assurances about worker reinstatements, NNPCL warned that vulnerabilities persist in the system.

This strike has highlighted the fragility of Nigeria’s energy infrastructure and the critical need for harmonious industrial relations to safeguard the nation’s economic lifeline.

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