Dangote Group says it has started conciliatory talks following President Bola Tinubu’s intervention for out of court settlement of a N100 billion suit instituted by Dangote Refineries against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for granting import licences to some Nigerian companies.

Political Economist NG reports that Dangote had sued the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for granting import licences to the Nigerian National Petroleum Company Limited (NNPCL), Matrix Petroleum Services Limited, AA Rano Limited, and four other companies despite local production of petroleum products.

The Dangote Group, in a statement on Monday, said the suit filed at the Federal High Court in Abuja on September 6, 2024, was “an old issue” and that events have overtaken the suit.

Mr. Anthony Chiejina, spokesman for Dangote Group, said the parties involved in the suit have commenced conciliatory talks on the intervention of President Bola Tinubu. He stressed that the refinery does not have any intention of proceeding with the suit.

“We have agreed to put a halt to the proceedings.

“It is important to stress that no orders have been made and there are no adverse effects on any party.

“We understand that once the matter comes up in January 2025, 23 would be in a position to formally withdraw the matter in court,” Chiejina said.

In its originating summons, Dangote Refinery argued that the NMDPRA violated sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing import licences under circumstances where no product shortfall exists.

Dangote Refinery argued that such licences should only be granted when there is a demonstrated need for imported products, according to the PIA.

The group had stated that the import licences issued to other companies are detrimental to its business, which has invested billions of dollars into production. The company had claimed that these actions have resulted in a lack of patronage for Dangote’s products.

It had sought an injunction to prevent the NMDPRA from issuing or renewing import licences for the defendants.

The presiding judge, Justice Inyang Ekwo, on Monday, adjourned the case to January 20, 2025, for the report.