The Nigerian National Petroleum Company Limited (NNPC) has disclosed that it recorded huge financial and operational losses following the recent strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), even as the union announced the suspension of its industrial action. The strike, which disrupted oil production and distribution nationwide, had raised concerns over the stability of Nigeria’s energy sector.
According to NNPC, the industrial action significantly affected crude oil output, fuel supply chains, and export commitments, leading to revenue shortfalls for both the company and the federal government. Officials noted that several oil installations and depots were shut down during the strike, paralyzing operations and worsening fuel scarcity in parts of the country.
PENGASSAN had embarked on the strike to protest alleged unfair labour practices, poor welfare conditions, and unresolved disputes with management and government authorities. The union accused stakeholders of failing to honor agreements previously reached and vowed to sustain pressure until its demands were addressed.
However, after a series of emergency negotiations with government representatives and industry stakeholders, PENGASSAN announced a temporary suspension of the strike. The union leadership explained that the decision was taken in good faith to allow room for further dialogue, while warning that members would not hesitate to resume action if agreements were not implemented.
The suspension has been welcomed by industry players who had expressed fears that prolonged disruption could jeopardize Nigeria’s crude oil production targets and worsen foreign exchange shortages. Energy analysts have also cautioned that repeated strikes within the sector undermine investor confidence and hinder the country’s economic recovery efforts.
In response, NNPC pledged to work closely with labour unions to address pending grievances and restore industrial harmony. The company emphasized its commitment to improving staff welfare, ensuring fair treatment, and safeguarding the nation’s energy security.
Despite the suspension of the strike, uncertainty still hangs over the sector as stakeholders await concrete steps from government and management to implement agreed reforms. For now, Nigerians are hopeful that the truce will avert further disruption to fuel supply and the economy at large.
