The Economic and Financial Crimes Commission (EFCC) has uncovered a suspected illegal oil refinery allegedly operated by Chinese nationals in the Ogere area of Ogun State, where black sludge oil was reportedly processed into diesel for sale in Nigeria.
The operation was conducted on Saturday, October 31, 2026, by operatives of the EFCC’s Lagos Zonal Directorate 2 following intelligence gathering and surveillance on suspected illegal oil refining activities.
According to the commission, the facility was deserted when its operatives arrived. However, investigators reportedly discovered waste materials believed to be products of the refining process, as well as underground tanks suspected to have been used for heating and processing the oil.
Two of the underground tanks reportedly contained substances suspected to be Automotive Gas Oil (AGO), commonly known as diesel.
Preliminary investigations indicated that the operators allegedly transported black sludge from Warri in Delta State and Port Harcourt in Rivers State to the facility in Ogere, where it was subjected to intense heat and passed through processing chambers and filtration systems to produce lighter petroleum products.
Security personnel at the premises reportedly told investigators that the Chinese nationals allegedly operating the facility had not disclosed their identities or the name of the company behind the activities.
The EFCC has taken over the facility as investigations continue to establish its ownership, identify those allegedly involved and determine the full extent of the suspected illegal refining operation.
The development highlights ongoing concerns about illegal petroleum processing and its potential implications for environmental safety, public health and the country’s oil and gas sector.
Written by Enitan Mudashiru
