The Nigerian Exchange Ltd. (NGX) on Thursday in Lagos confirmed reception of a notification from the management of Oando Plc, on its acquisition of 100 per cent shareholder interest in the Nigerian Agip Oil Company (NAOC) from Eni, an Italian energy company, at 783 million dollars.
The notification signed by its GCEO, Mr Wale Tinubu, disclosed that the total amount of the transaction consisted of the consideration for the asset and reimbursement.
According to Tinubu, “The acquisition is a significant milestone in Oando’s long-term strategy to expand its upstream operations and strengthen its position in the Nigerian oil and gas sector.
“The transaction increases Oando’s current participating interests in OMLs 60, 61,62 and 63 from 20 to 40 per cent and further jerked up the company’s ownership stake in all NEPL/NAOC/OOL Joint Venture assets and infrastructure.
Onado revealed further that the ownership stake to include the 40 discovered oil and gas fields, of which 24 are currently producing, approximately 40 identified prospects and leads as well as 12 production stations, approximately 1,490 km of pipelines.
Other assets in the deal include three gas processing plants – the Brass River Oil Terminal, Kwale-Okpai phases one and two power plants with a total nameplate capacity of 960MW and associated infrastructure.
The company averred that “This announcement is the culmination of ten years of toil, resilience, and an unwavering belief in the realisation of our ambition since the 2014 entry into the Joint Venture via the acquisition of Conoco-Philips Nigerian Portfolio.
“It is a win for Oando and every indigenous energy player, as we take our destiny in our hands and play a pivotal role in this next phase of the nation’s upstream evolution.
“With our assumption of the role of operator, our immediate focus is on optimising the assets’ immense potential, advancing production and contributing to our strategic objectives.
“This, we will do while prioritising responsible practices and sustainable development in ensuring a balanced approach to our host communities.
“Also, we will ensure environmental stewardship as we complement the nation’s plan to boost production output,” Tinubu said.
