Oando Plc has announced a significant boost in its crude oil production, achieving nearly a 50% increase in just three months. This milestone follows the company’s acquisition of the Nigerian Agip Oil Company (NAOC) from the Italian energy giant Eni earlier this year.
The Managing Director of Oando Energy Resources Nigeria Limited Ainojie Irune, revealed this development during a high-level meeting with its Joint Venture partners, Nigerian National Petroleum Corporation Limited (NNPCL), in Abuja. The meeting was attended by NNPCL’s Group Chief Executive Officer, Mele Kyari, alongside other key executives, including Chief Financial Officer, Adedapo Segun, Executive Vice President of Business Services, Danladi Inuwa, and Executive Vice President of Upstream, Udobong Ntia.
In August 2024, Oando completed the acquisition of 100% of Nigerian Agip Oil Company’s stake in a deal valued at $783 million. Dr. Irune shared an update on the rapid integration of the two companies and attributed the 50% production increase to the strong collaboration between Oando and NNPCL. He emphasized the seamless integration of the joint venture (JV), which had previously been split into three parts, into two, thanks to the support from NNPCL.
“We are excited about the future of this partnership. With the support of NNPC, we aim to increase production to over 100,000 barrels of oil per day and 1.3-1.4 billion cubic feet of gas per day within the next three years,” Irune said during the meeting.
In response, NNPCL’s Mele Kyari congratulated Oando on its successful acquisition of NAOC, calling it a positive development for both the industry and the nation. He highlighted the importance of this achievement in enabling indigenous companies to play a more significant role in large-scale energy projects, aligning with national energy aspirations. Kyari expressed confidence in the partnership’s potential, stating, “We believe that you will be able to steer this ship to the delivery line in the short term and the long term.”
Both Irune and Kyari emphasized the need for continued collaboration to tackle the broader challenges facing the oil and gas industry, including security, community relations, and production integrity.
Irune concluded by affirming the commitment of Oando and its partners to overcoming the current adversities and contributing to a sustainable and thriving industry.
