Oando Plc reported a 267% increase in Profit After Tax (PAT) to ₦220 billion for the financial year ended December 31, 2024, following the $754 million acquisition of Nigerian Agip Oil Company Limited (NAOC).
The deal enhanced upstream production capacity, expanded 2P reserves, and contributed to significant gains in operational efficiency.
Upstream Operations Strengthened by NAOC Integration
Average daily production rose 3% year-on-year to 23,727 boepd, supported by NAOC assets and stabilisation of legacy operations. Crude oil output increased by 22% to 7,558 barrels per day while gas production declined by 5% to 16,013 boepd. NGL production dropped 35% to 156 barrels per day.
2P reserves grew by 95% to 983 million barrels of oil equivalent (MMboe), up from 505 MMboe in 2023. Exit production for the year was 36,000 boepd.
Operational uptime remained steady at 86% while the company recorded 7.35 million Lost Time Injury (LTI)-free hours, with an LTIF of 0.05, indicating sustained focus on operational safety.
Oando confirmed that its Zero Routine Flaring Programme is progressing as scheduled for 2027, achieving a 92% reduction to date, in line with national and joint venture commitments.
Trading Declines Amid Domestic Policy Shifts
Crude oil trading volumes declined by 37% to 20.7 million barrels, reflecting market realignments and volatility. Refined product volumes dropped 64% to 599,000 metric tons due to changes in Nigeria’s domestic supply structure.
However, Oando made a $550 million crude prepayment contribution to NNPC’s Project Gazelle, strengthening crude volume security and improving short-term liquidity.
Clean Energy Initiatives Record Milestones
Oando’s clean energy investments advanced in 2024, particularly in mass transit and renewable energy. Its electric mass transit programme covered 121,145 km, transported 205,152 passengers and avoided over 163,500 kg of CO₂ emissions.
The company secured monthly offtake agreements for 5,100 tons of PET for its recycling operations and signed MoUs for 275MW wind energy projects in Edo and Cross River States. A 1.2GW solar module assembly plant also progressed to advanced OEM engagement.
Oando further commenced geothermal feasibility studies with NNPC to explore conversion of mature wells into renewable power assets.
Mining and Infrastructure Expansion
Fieldwork was completed across prospective sites for lithium, gemstones, and limestone. The Environmental and Social Impact Assessment (ESIA) for Nigeria’s first commercial-scale bitumen mine was concluded with feasibility studies planned for 2025.
2025 Outlook Focused on Value Extraction and Energy Transition
Oando plans to optimise post-acquisition asset value and enhance capital structure. Production guidance is set between 30,000 and 40,000 boepd.
Crude oil trading is projected at 25–35 million barrels with refined products expected between 750,000 and 1 million metric tons.
Fifty new electric buses are scheduled for launch in support of Nigeria’s clean mobility goals. The company also aims to implement a capital restructuring and liquidity optimisation programme to drive shareholder value and ensure long-term resilience.
Corporate Positioning
Oando remains one of Africa’s leading indigenous energy companies, listed on both the Nigerian Exchange and Johannesburg Stock Exchange.
The Group operates across the energy value chain with strategic interests in exploration, trading, renewables and mining. Through its subsidiaries—Oando Energy Resources and Oando Trading—the company continues to position itself at the forefront of Africa’s energy transition.
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