Oando Acquires 100% Ownership of Italian-Owned NAOC

Oando Plc, an energy company, has successfully reached an agreement with the Italian firm, Eni, to acquire full ownership, representing 100% of the shares, of the Nigerian Agip Oil Company Limited (NAOC).

In an official statement released by the Company Secretary, Ayotola Jagun, on Monday, it was disclosed that the finalization of this acquisition is contingent upon receiving ministerial consent and obtaining all necessary regulatory approvals.

This strategic move will see Oando increase its existing participating interests in Oil Mining Leases (OMLs) 60, 61, 62, and 63 from 20% to a significant 40%.

Furthermore, Oando’s ownership stake will encompass all assets and infrastructure within the NEPL/NAOC/OOL Joint Venture, which includes a portfolio of forty identified oil and gas fields, with 24 presently in production. Additionally, the assets include around forty identified prospects and leads, twelve production stations, approximately 1,490 kilometers of pipelines, three gas processing plants, the Brass River Oil Terminal, and the Kwale-Okpai phases 1 & 2 power plants, boasting a combined total nameplate capacity of 960MW, along with their associated infrastructure.

Commenting on this strategic transaction, Wale Tinubu, the Group Chief Executive of Oando, stated, “The synergies created by this acquisition will unlock unparalleled opportunities for us to re-align expectations, enhance efficiency, optimize resource allocation, and significantly increase production.”

He further emphasized the alignment of this move with Oando’s overarching strategy of acquiring, enhancing, evaluating, and efficiently developing reserves. Tinubu also underscored the pivotal role that indigenous players will play in shaping the future of Nigeria’s upstream sector.

He concluded by expressing optimism for the future, saying, “Having achieved this significant milestone, we look forward to closing the transaction and harnessing the full potential of the enhanced platform to accrue value for our local communities, stakeholders, and shareholders.”