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PENGASSAN Shuts Down Seplat Operations Nationwide Over Welfare, CBA Dispute


Operations at Seplat Energy Plc have been halted across several locations in Nigeria after the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) directed its members to withdraw services with immediate effect.


The union’s action, which took effect today, affects Seplat facilities in Lagos, Abuja, Port Harcourt, Eket, the Qua Iboe Terminal (QIT), and offshore production assets. The shutdown marks a sharp escalation in an ongoing standoff between workers and the company’s management over unresolved welfare matters and delays in concluding negotiations for the 2026 Collective Bargaining Agreement (CBA).


Union leaders said discussions with management had stretched for over three months without meaningful progress, despite mediation efforts by the Federal Ministry of Labour and Employment and the Nigerian National Petroleum Company Limited. According to PENGASSAN, a scheduled meeting with Seplat officials on April 2 did not hold, further deepening frustrations among workers.


In a notice to members, branch executives accused the company of neglecting key staff welfare concerns, including alleged poor treatment of offshore contract workers, delays in salary payments, questionable staff categorisation, and accommodation challenges at field locations. The union also criticised what it described as an unfair pay harmonisation process and unresolved issues affecting career progression.


PENGASSAN instructed members to cease all operational duties, avoid logging into company systems, and suspend participation in meetings or reports. However, workers were directed to ensure that facilities remain in a safe state, with only essential utilities and safety monitoring maintained to prevent damage to assets.


The directive further includes restrictions on work permits, suspension of contractor activities, and the removal of non-unionised personnel from key operational areas. A Union Command Centre has been set up to coordinate activities and communication during the action.


Industry observers warn that the disruption could impact Nigeria’s crude oil production and exports, especially as Seplat’s recent expansion has increased its contribution to national output. A prolonged shutdown may also affect investor confidence in the country’s oil and gas sector at a time when global energy markets remain sensitive to supply uncertainties.


The union said the industrial action is intended to protect the rights and welfare of its members, adding that no exemptions would be granted while the dispute remains unresolved.