The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Economic and Financial Crimes Commission (EFCC) have uncovered and sealed an illegal refinery in Ogere-Remo, Ikenne Local Government Area of Ogun State.
The facility, which occupies more than three hectares of land, reportedly contains underground storage tanks, heating systems and locally fabricated equipment used to process sludge oil and other petroleum products.
The discovery follows a whistleblowing report and intelligence gathering that led investigators to the facility.
During a joint inspection, officials discovered underground tanks believed to have been used for heating and processing sludge oil, refinery waste and substances suspected to be Automotive Gas Oil (AGO), commonly known as diesel.
Speaking during the inspection, the Ogun State Coordinator of NMDPRA, Dr Atilola Akinyemi, described the facility as illegal, saying it operated without authorisation from any regulatory agency.
“This facility you see here is very crude and completely illegal. This is not a refinery by any standard. It does not have a permit from any regulatory authority, and its operations are unknown to the relevant authorities,” he said.
Akinyemi disclosed that the underground storage facility had an estimated capacity of more than 90,000 litres, alongside underground heating systems, cooling hydrants and locally fabricated tanks and silos.
He warned that the products could pose serious risks to vehicles and engines if they entered the market without proper testing.
“They appear to be technically skilled people who have deliberately designed this facility to circumvent government regulations,” he said.
He added that products suspected to be diesel could not be certified without laboratory tests, confirming that all recovered products had been confiscated by the Federal Government.
Meanwhile, the EFCC Zonal Director, Lagos Zonal Directorate 2, Bawa Usman Kaltungo, said the facility was uncovered through whistleblowing.
“What we have seen here is an illegal refinery with a complete setup, featuring all the processes through which sludge passes before being converted into what is commonly referred to as diesel,” Kaltungo said.
He added that the nature of the equipment suggested that the facility had been operating for years.
Kaltungo also identified the Ogere axis as an area where foreign nationals had allegedly engaged in illegal activities.
He recalled that the commission arrested 14 Chinese nationals a week earlier over alleged illegal lithium processing in the same area.
According to him, some of the arrested individuals had no passports, while others had expired visas.
He vowed that the ultimate owners of the illegal refinery, who are based in China, would be brought to Nigeria to answer for their activities.
Also speaking, the EFCC Director of Proceeds of Crime Management, Gbolahan Latona, urged Nigerians to support efforts to tackle economic sabotage and protect legitimate investments.
“Imagine allowing saboteurs like these to operate freely and undermine the efforts of legitimate investors like Dangote Refinery. Ultimately, it is Nigerians who will suffer,” Latona said.
He assured that suspects would face prosecution after investigations and that any proceeds of crime recovered would be forfeited to the government if convictions were secured.
“Once investigation has been concluded and sufficient evidence gathered, they will have their day in court,” he added.
