…Valuation hits $4bn
Oando has attained status as Nigeria’s first IOC with $4bn valuation, expanding operations to the Sao Tome and Principe Exclusive Economic Zone, (EEZ).
Oando Plc, with operations outside the shores of Nigeria, around the Sao Tome and Principe EEZ, has now attained the status of Nigeria’s first indigenous International Oil Company, (IOC).
Its asset base covers exploration, development, and production for both oil and gas and holds interests in over 16 licenses for the exploration, development, and production of oil and gas assets located onshore, swamp, and offshore.
Oando also has a Certified Professional Reserves Report (CPR) from D&M, the second largest in the world, which has also been auditing ENI/NAOC, Chevron, Shell and other oil Majors for decades.
With the CPR indicating Gross Recoverable 2p reserves on original 20 per cent Certificate of Proficiency (CoP) stake and new NAOC 20% stake Net Present Value (NPV), (10% is $2 billion respectively), total value of the company has now hit $4 billion, that is, before deduction of acquisition debt of the newly acquired company plus legacy debt.
With over 200 wells in production, 9 flow stations and its own export terminal, Brass, Oando has now emerged the first indigenous company to elevate to the status of a major IOC.
This, no doubt, attests to the enormous hard work put in by the forward-looking team at the company led by its Chief Executive Officer, Wale Tinubu, who decades ago, seized the gauntlet and dived into the oil and gas business in Nigeria.
The Nigerian company with two power plants of 500MW, that is, Kwale 1 and 2, comprising three large gas plants, now has dedicated gas line to Eleme Petrochemicals emerging as main supplier there as well as the ownership of a dedicated gas pipeline to LNG. Today, Oando is the largest supplier of gas to the Eleme Petrochemicals.
In a nutshell, Oando has for years, delivered sustainable value to its stakeholders as it continually grows its reserves by harnessing the optimum potential from its existing range of oil and gas resources, while also acquiring near-term producing assets from IOCs.
This rally strengthened after the company announced that the federal government approved its 100% acquisition of NAOC, pushing the share price to a five-year high of N47.85 and a year-to-date gain of 371.5%; ranking it as the second-best performing stock on the NGX at the time.
Now set to be a clear leader in Nigeria’s oil and gas industry, Wale Tinubu has also assured of the company’s focus on optimising these new assets, advancing production and pursuing strategic diversification in areas such as clean energy and energy infrastructure.
