Oando PLC, Africa’s leading integrated energy company, has posted robust Audited Full Year (FY) 2024 financial results with a 44% increase in revenue to N4.1 trillion compared to N2.9 trillion in FY 2023.
The company’s profit-after-tax also witnessed a significant increase of 267% to N220 billion.
Oando’s upstream performance was marked by a 3% increase in production to 23,727 Barrels of Oil Equivalent per day (BOE/day), driven by a 27% increase in crude oil production to 7,558 BOE/day.
The company’s Proved + Probable (2P) reserves grew 95% year-on-year to 983 Million Barrels of Oil Equivalent (MMboe), representing a 188% reserves replacement ratio.
The company also reported a sustained operational uptime of 86%, supporting off-take reliability and reducing deferred production.
In the downstream segment, Oando’s trading subsidiary reported a 37% decline in crude oil sales to 20.7 million barrels in 2024 due to structural changes in the Nigerian oil market.
Refined product volumes also declined by 64% to just over 599 Kilometric Tons (kMT), driven by weakened domestic demand.
The company continued to advance its clean energy agenda, recording measurable progress across multiple verticals.
The electric mass transit program covered 121,145 km, transported over 205,000 passengers, and displaced 163,546 kg of CO₂ emissions.
Oando also signed MoUs for wind projects with Cross River and Edo State and launched a geothermal feasibility study in collaboration with the Nigerian National Petroleum Corporation (NNPC).
Looking ahead, Oando has set a production guidance of 30,000-40,000 BOE/day in its 2025 outlook.
The company aims to ramp up production towards achieving its target of 100,000 BOE/day and 1.5 Trillion Cubic Feet (TCF) of gas by 2029.
Oando’s Group Chief Executive, Wale Tinubu, remarked that 2025 will be a year of execution, with key priorities including unlocking synergies from the acquisition, addressing security risks, cost optimization, and enhancing operational efficiency.
The Nigerian energy sector is expected to benefit from the recent wave of International Oil Company divestments, with local players like Oando, Seplat, and Aradel reporting significant revenue growth.
These indigenous companies possess unique insights and contextual experience that enable them to more effectively manage onshore and shallow water assets.
This shift is expected to generate a ripple effect across the economy by increasing local employment, enhancing capacity development, and improving government revenue.
Oando’s robust FY2024 results demonstrate the company’s strong performance and growth potential.
With its strategic acquisition of NAOC and plans to ramp up production, Oando is well-positioned to drive the future of the Nigerian energy sector.
The company’s commitment to delivering enhanced shareholder returns, shared prosperity, and maintaining its position as a leading player in Africa’s evolving energy landscape is evident in its clear ambition and strong momentum going into 2025.
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