The Economic and Financial Crimes Commission (EFCC) successfully uncovered an illicit oil refinery situated in Ogere, Ogun State, which was allegedly operated by Chinese nationals to process sludge oil into diesel for distribution within the Nigerian market.

According to a statement released by the anti-graft agency’s Head of Media and Publicity, Dele Oyewale, this major discovery was the result of a strategic raid conducted on Saturday, October 31, by operatives from the commission’s Lagos Zonal Directorate 2. The operation followed comprehensive intelligence gathering and sustained surveillance linking the location to suspicious illegal petroleum processing activities, trailing an earlier clampdown on four illegal lithium processing plants in the same neighborhood.

Although the facility was found deserted when operatives stormed the premises, a thorough inspection revealed clear evidence of illicit refining processes. Investigators discovered waste byproducts from the refining operations alongside underground storage tanks specifically utilized for heating and treating sludge oil. Furthermore, two of the inspected underground tanks contained substantial quantities of substances confirmed to be Automotive Gas Oil (AGO), widely known as diesel.

Preliminary findings by the EFCC indicate that the masterminds behind the operation routinely procured black sludge, or sludge oil, from southern hubs like Warri in Delta State and Port Harcourt in Rivers State, subsequently transporting it to Ogere for processing. At the site, the sludge oil was subjected to extreme heat, passing through a network of chambers and filtration systems designed to extract lighter petroleum fractions to manufacture marketable diesel.

Local security personnel stationed at the premises informed EFCC operatives that the Chinese managers maintained strict anonymity, never disclosing their real identities or the corporate name of the operating company.