Oando Soar High Again, Records Massive Turnover of N315.4Billion and Profit of N7.2Billion in Six Month

Leading Oil and Gas company, Oando Plc, has recorded a revenue of N315.4 billion for the half year ended June 30, 2019, showing an increase of six per cent from N297.3 billion in the corresponding period of 2018.  The company ended the period with a profit-after-tax of N7.168 billion, down from N8.5 billion in 2018.

The company has also continued to reduce its total borrowings after its acquisition of ConocoPhillips Nigeria in 2014, following a proactive drive to significantly reduce its debt and liabilities.

The group reduced its total borrowings for the period by five per cent to N200.7 billion at the end of June 30, 2019, from N210.9 billion at the end of 2018, indicating a 58 per cent reduction in debt since 2014 from N473.3 billion.

Commenting on the results, Group Chief Executive of Oando Plc, Adewale Tinubu said: “Half year 2019 was a positive period for us as we achieved strong top and bottom line earnings despite our overall performance being tempered by a one-off N14 billion charge. Our crude oil and natural gas production grew by 15 per cent and eight respectively compared to the similar period last year while we also achieved a significant reduction in our Reserve Based Lending (RBL) facility to approximately $0.4 million from $450 million at inception- a 99 per cent reduction.”

The company said though the country witnessed no movement in its oil production compared with same period of 2018, Oando witnessed an increase in its oil production, which was attributed to the ingenious measures put in place by the company’s management and its partners to ramp up production.

“During the six month period ended June 30, 2019, production by the upstream subsidiary, Oando Energy Resources (OER), increased by eight per cent at 40,873boe/day, compared with 37,814boe/day in the same period of 2018. Oil production increased by 15 per cent from 14,675bbls/day in H1 2018 to 16,876bbls/day in H1 2019, and natural gas production increased by eight per cent from 118,866mcf/day in H1 2018 to 128,533 mcf/day in H1 2019,” the company added.