The Economic and Financial Crimes Commission (EFCC) has uncovered an illegal oil refinery allegedly operated by Chinese nationals in the Ogere area of Ogun State.
The discovery followed an intelligence-led operation conducted on Saturday, October 31, 2026, by operatives of the commission’s Lagos Zonal Directorate 2, after weeks of surveillance on the activities of suspected illegal sludge oil refiners.
The refinery was deserted when the operatives stormed the premises, following an earlier crackdown by the commission on four illegal lithium processing plants in the area.
Although no operator was found at the facility, the operatives discovered waste products from the refining process, as well as underground tanks believed to have been used for heating and processing sludge oil.
Two of the tanks inspected contained substances suspected to be Automotive Gas Oil (AGO), commonly known as diesel.
Preliminary investigations revealed that the operators sourced sludge oil, also called black sludge, from Warri, Delta State, and Port Harcourt, Rivers State, before transporting it to the facility in Ogere for processing.
Further findings indicated that the operators subjected the sludge oil to intense heat, allowing lighter petroleum components to pass through a series of chambers and filters in a process believed to produce AGO for sale in the Nigerian market.
Security personnel at the facility reportedly told EFCC operatives that the Chinese nationals operating the refinery never disclosed their identities or the name of the company behind the business.
The commission has since taken over the premises as investigations continue to uncover the identities of the operators, establish ownership of the facility and determine the full extent of the suspected illegal activities.
The EFCC said the investigation would also establish the extent of the alleged economic sabotage arising from the operation.
