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 facility was discovered on Saturday, October 31, 2026, by operatives of the Lagos Zonal Directorate 2 following credible intelligence and surveillance on illegal sludge oil refiners.

The commission disclosed this in a statement on Tuesday by its Head of Media and Publicity, Dele Oyewale.

Oyewale said the refinery was deserted when operatives stormed the premises, shortly after the commission’s earlier clampdown on four illegal lithium processing plants in the same area.

However, operatives found waste products from the refining process and underground tanks believed to have been used for heating and processing sludge oil.

“Two of the underground tanks inspected contained substances suspected to be Automotive Gas Oil (AGO), otherwise known as diesel,” the statement said.

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, and transported it to Ogere for processing. aedc

The commission said the operators subjected the sludge oil to intense heat, allowing lighter petroleum components to pass through chambers and filters in a process believed to produce diesel for sale in the Nigerian market.

Security personnel at the facility told EFCC operatives that the Chinese operators never disclosed their identities nor the name of the company behind the facility. aedc

The EFCC said its Lagos Zonal Directorate 2 has taken over the premises as investigations continue to establish the identities of the operators, ownership of the facility and the full extent of suspected economic sabotage.

The discovery comes days after the commission arrested 14 Chinese nationals and one Nigerian over alleged illegal lithium processing at four facilities in Ogere.