Oando acquires Agip Nigeria, assumes ownership of 40 oilfields
Oando PLC has acquired 100 per cent of the shares of Nigerian Agip Oil Company Limited (NAOC Ltd).
Ayotola Jagun, Oando’s Company Secretary, made this known in a statement on Monday.
With the acquisition of Agip, Oando will assume ownership of forty discovered oil and gas fields, approximately 1,490 km of pipelines, three gas processing plants, the Brass River Oil Terminal, the Kwale-Okpai phases 1 & 2 power plants (with a total nameplate capacity of 960MW), and associated infrastructure.
To completion of the transaction with ENI, an Italian multinational oil and gas company, is subject to Ministerial Consent and other required regulatory approvals, the statement however stated.
The statement confirmed that the transaction highlights include the transaction increases in Oando’s current participating interests in OMLs 60, 61, 62, and 63 from 20 per cent to 40 per cent.
It has also increased Oando’s ownership stake in all NEPL/NAOC/OOL Joint Venture assets and infrastructure which include forty discovered oil and gas fields, of which twenty-four are currently producing, approximately forty identified prospects and leads, twelve production stations, approximately 1,490 km of pipelines, three gas processing plants, the Brass River Oil Terminal, the Kwale-Okpai phases 1 & 2 power plants (with a total nameplate capacity of 960MW), and associated infrastructure.
The transaction has also grown Oando’s exploration asset portfolio through the acquisition of a 90 per cent interest in OPL 282 and a 48 per cent interest in OPL 135.
NAOC Ltd’s participating interest in SPDC JV (Shell Production Development Company Joint Venture – operator Shell 30 per cent, TotalEnergies 10 per cent, NAOC 5 per cent, NNPC 55 per cent) is not included in the perimeter of the transaction and will be retained in Eni’s portfolio.
Meanwhile, following the completion of the transaction, Eni is due to retain the unit’s 5 per cent stake in the Shell Production Development Company (SPDC) joint venture operated by Shell, it said.
Commenting Wale Tinubu, Group Chief Executive, Oando PLC said, “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.
“Furthermore, it is in alignment with our strategy of acquiring, enhancing, appraising, and efficiently developing reserves.”
Tinubu emphasised that the latest announcement was not just an important milestone for the future of Oando; it brings to bear the important role indigenous actors will play in the future of the Nigerian upstream sector.
He said, “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.”
