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The Economic and Financial Crimes Commission has uncovered an illegal oil refinery allegedly operated by Chinese nationals in the Ogere area of Ogun State, the latest discovery pointing to the scale of foreign-linked criminal operations in Nigeria's extractive sector.
What did EFCC operatives find in Ogere?
The operation was conducted on Saturday, October 31, 2026, by operatives of the EFCC's Lagos Zonal Directorate 2, following credible intelligence and sustained surveillance on illegal sludge oil refiners. Punch reports that although no operators were found at the facility, operatives discovered waste products from the refining process and underground tanks suspected to have been used for heating and processing sludge oil. Substances suspected to be diesel were also found at the site.
Where did the crude feedstock come from?
Preliminary investigations revealed that the operators sourced sludge oil, also known as black sludge, from Warri in Delta State and Port Harcourt in Rivers State, then transported it to the illegal facility in Ogere for processing. EFCC spokesman Dele Oyewale said the operators subjected the sludge oil to intense heat, allowing lighter petroleum components to pass through chambers and filters, a process believed to be aimed at producing diesel for sale in the Nigerian market.
Why were no operators arrested on site?
Workers found at the facility told EFCC operatives that the Chinese operators never disclosed their identities or the name of the company behind the business, which is why no arrests were made on the day. Oyewale said operatives of the Lagos Zonal Directorate 2 have since taken over the premises as investigations continue to establish the identities of the operators, the ownership of the facility and the full extent of the suspected illegal activities and economic sabotage.
Is this linked to earlier Ogere raids?
The discovery comes barely two weeks after the EFCC arrested 15 people, 14 Chinese nationals and one Nigerian, on October 23, 2026, over alleged illegal lithium processing operations at four plants in Ogere. Channels Television notes that the pattern shows Chinese nationals involved in a range of illegal extraction and processing activities in Ogun State, from lithium to petroleum products. The commission described the latest find as part of its ongoing efforts to combat economic and environmental crimes.
What is the environmental risk?
Illegal sludge refining is one of the most polluting activities in the oil black market. Unprocessed sludge oil is a toxic residue of petroleum refining, and heating it in improvised underground tanks releases contaminants into soil and groundwater while producing diesel of uncertain quality for unsuspecting buyers. Communities around Ogere now face the double question of remediation of the site and enforcement against whoever financed it.
What happens next?
The EFCC says the premises remain under its control while investigators work to identify the operators and the company behind the facility. Any arrests would add to a growing docket of foreign-linked economic sabotage cases, and the commission has repeatedly warned investors in illegal refining that equipment and proceeds are forfeitable once prosecution succeeds.
Frequently Asked Questions
Where was the illegal refinery found?
In the Ogere area of Ogun State, in an operation conducted on Saturday, October 31, 2026, by the EFCC's Lagos Zonal Directorate 2.
What was being processed at the site?
Sludge oil, also called black sludge, sourced from Warri in Delta State and Port Harcourt in Rivers State, was being heated and filtered to produce suspected diesel.
Were any arrests made?
No. No operators were found on site, and workers could not identify the Chinese nationals or the company behind the facility.
Sources: Premium Times (Abubakar Abdulrasheed), Punch (Solomon Odeniyi), Channels Television (Donatus Anichukwueze), Daily Post Nigeria.
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