Oando Plc says it has increased its crude oil production output by almost 50 per cent in three months.
It said the achievement followed the acquisition of Nigerian Agip Oil Company from Eni, earlier this year.
The Managing Director of Oando Energy Resources Nigeria Limited, Dr. Ainojie Irune, disclosed this during a recent meeting with its Joint Venture partners, Nigerian National Petroleum Corporation Limited in Abuja, according to a statement issued by the company on Sunday.
This high-level meeting was led by the Group Chief Executive Officer, NNPC Limited, Mele Kyari, including executives such as Chief Financial Officer, Adedapo Segun; Executive Vice President, Business Services Danladi Inuwa, and Executive Vice President, Upstream, Udobong Ntia.
In August, the company announced a 100 per cent stake in the Nigerian Agip Oil Company from Italian energy firm Eni in a deal valued at $783m.
Speaking at the meeting, the Oando managing director expressed his gratitude for NNPCL’s support and used the opportunity to provide critical updates on the developments since Oando’s acquisition in August 2024.
He said, “Just by way of an update, in less than 100 days, since acquisition, we have been able to increase our production outputs by almost 50 per cent. This could not have been achieved without your support. We’ve been able to improve the integration of both legacy companies, again led by not just Oando, but NNPC, bringing the JV that used to exist in three parts into two, seamlessly.”
He emphasised the company’s commitment to increasing production and improving operational efficiency.
“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 added.
Responding, the NNPCL GCEO congratulated Oando on its recent acquisition of Nigerian Agip Oil Company from Eni.
“We believe that taking over the interests from Eni in this joint venture is a positive development for our industry and country. It signifies Indigenous companies’ ability to play a bigger role in big assets and align with the national aspiration in the energy industry.
“We see this development as a massive step on the path to realising that national goal. We will work with Oando intently to ensure that we do two things, as you have highlighted: increase oil production and also increase gas production,” Kyari remarked.
He also echoed Irune’s sentiments, emphasising the importance of the partnership and the potential for further growth.
He further expressed confidence in Oando’s ability to drive the JV town to new heights, stating, “We believe that you will be able to steer this ship to the delivery line in the short term and the long term.”
Irune also stressed the need for collaboration to successfully tackle the issues surrounding the industry’s current reality, which extend beyond financial, security, community, or production integrity issues.
“The challenges we have seen are not insurmountable. Rather, with the commitment and collaboration of all parties, we will overcome the current adversity to build a sustainable industry and economy,” the statement concluded.
