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Oando, one of Africa’s leading energy solutions providers has acquired Agip for USD 783m, strengthening its participating interests in four key oil mining leases from 20% to 40%. In a landmark transaction poised to reshape Nigeria’s oil and gas landscape, Oando PLC has successfully acquired 100% of the shareholding interest in Nigerian Agip Oil Company (NAOC) from Italian energy giant Eni.
The deal, valued at USD783 million, marks a significant expansion of Oando’s upstream operations, effectively doubling the company’s reserves and increasing its participating interests in several key oil fields. The acquisition, which includes a 100% shareholding interest in NAOC, is a landmark achievement for Oando as it strengthens its participating interests in four key oil mining leases (OMLs 60, 61, 62, and 63) from 20% to 40%. This expansion solidifies Oando’s ownership in all NEPL/NAOC/OOL Joint Venture assets, encompassing 40 discovered oil and gas fields, 24 of which are currently producing, along with a vast network of infrastructure including 1,490 kilometres of pipelines and three gas processing plants.
This acquisition is not only a win for Oando, but for every indigenous energy player to take destiny into its own hands and play a pivotal role in the next phase of the nation’s upstream evolution, stated Wale Tinubu, Group Chief Executive of Oando PLC. Commenting on the completion of the transaction, he described it as the culmination of a decade-long strategic effort.
The transaction also marks a significant increase in Oando’s reserves, adding 493.6 million barrels of oil equivalent (MMboe) to bring the company’s total reserves to one billion barrels. This development is expected to be immediately cash-generative, contributing significantly to the company’s cash flows and future financial performance.
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As Oando assumes the role of operator for these assets, the company is also looking to the future with plans to diversify within the broader energy sector, as Tinubu highlighted Oando’s intention to explore opportunities in clean energy, agri-feedstock, energy infrastructure, and mining, reflecting the company’s commitment to long-term growth and value creation for its stakeholders.
Oando PLC is one of Africa’s leading energy solutions providers with a proud heritage. It has a primary listing on the Nigeria Stock Exchange and a secondary listing on the Johannesburg Stock Exchange.
