Wrap Text
Full-Year 2025 Audited Results Release
Oando PLC
(Incorporated in Nigeria and registered as an external
company in South Africa)
Registration number: RC 6474
(External company registration number 2005/038824/10)
Share Code on the JSE Limited: OAO
Share Code on the Nigerian Stock Exchange: UNTP
ISIN: NGOANDO00002
("Oando" or the "Company")
Full-Year 2025 Audited Results Release
Lagos, Nigeria | 06 July 2026 - Oando PLC ("Oando" or the "Group"), Africa's leading indigenous energy group
listed on both the Nigerian Exchange Ltd. (NGX) and the Johannesburg Stock Exchange (JSE), today
announces its audited results for the full year ended 31 December 2025.
Operational Excellence and Value Realisation underpin performance and future growth
• A transition year marked by the first full-year contribution from NAOC JV assets and a shift from
acquisition-led growth to operational execution and balance sheet optimisation
• Strong production performance from upstream operations, delivering:
o Average production of 32,482 boepd (+32% YoY)
o Improved uptime and operational reliability across core assets
o Maintained a strong safety performance with zero fatalities, zero lost -time injuries and a Total
Recordable Incident Rate (TRIR) of 0.05
• 2P reserves of 928 MMboe (2024: 950 MMboe), providing long-term production visibility
• Trading volumes of 25.7 MMbbl (+24% YoY), reflecting portfolio repositioning towards higher-margin
opportunities
• Revenue of N3.2 trillion (2024: N4.1 trillion), reflecting trading optimisation and exit from low-margin
PMS activities
• Profit after tax of N204.8 billion, supported by impairment reversals and tax credits
• Cash generated from operations of N258.3 billion, reflecting stronger operational cash conversion and
improved working capital management
• Cash and cash equivalents increased to N422.9 billion, supported by improved cash generation and
disciplined working capital management
• Capex of N135.0 billion in FY 2025, focused on high-impact upstream activity
• Expanded the RBL2 reserve-based lending facility to US$375 million, led by Afrexim Bank,
strengthening liquidity and funding capacity for future upstream growth.
• Advanced capital structure optimisation initiatives to strengthen liquidity and enhance balance sheet
flexibility
• Continued progress on energy transition initiatives, including expansion of electric mobility and
advancement of recycling and gas-to-power opportunities
Commenting on the results, Wale Tinubu CON, Group Chief Executive, Oando PLC, said:
"FY 2025 marked our first full year of operational execution following the acquisition of the NAOC Joint Venture
assets and represents an important milestone in Oando's evolution. Having successfully completed the
integration phase, our focus shifted to operatorship, operational excellence, and value realisation across the
enlarged portfolio.
During the year, we strengthened asset integrity, enhanced security across our operating areas , and improved
uptime, resulting in a 32% year-on-year increase in production to 32,482 boepd net to Oando. This performance
was driven by stronger output across crude oil, gas, and NGLs, improved operational reliability, and the
successful stabilisation of our expanded asset base.
A key highlight of the year was the successful completion and start -up of the Obiafu-44 gas-condensate well,
our first operated development well following the assumption of operatorship. This achievement demonstrates
that indigenous operators can safely, efficiently, and responsibly execute complex development programs at
scale while creating long-term value from strategic national assets. We also continued to advance our broader
development programme and asset optimisation initiatives designed to unlock additional value from our
portfolio.
In our trading business, we responded proactively to evolving market dynamics by deliberately repositioning the
portfolio away from lower-margin gasoline importation and towards higher-margin crude and gas opportunities.
This strategic shift, combined with structured offtake and financing arrangements, strengthened liquidity,
improved cash generation, and enhanced the business's resilience.
Beyond operational delivery, we continued to strengthen the Group's financial position through disciplined
capital allocation, improved working capital management, and targeted balance sheet optimisation initiatives.
These efforts contributed to operating cash flow generation of N258.3 billion during the year and supported a
strong closing cash position of N422.9 billion, enhancing the Group's financial flexibility and capacity to fund
future growth.
With operational control firmly embedded, a strong reserves base, and improving financial flexibility, we are
well-positioned to build on the momentum achieved in 2025 and enter 2026 from a position of strength. Our
focus remains on executing our development programme, growing production, strengthening cash generation,
prudent capital allocation, and delivering sustainable long-term value for our shareholders."
Outlook
• Production guidance of 40,000–50,000 boepd, comprising 12,000–15,000 bopd (oil) and 160–200
MMscfd (gas)
• Development programme: 7 wells in OMLs 60–63
• Planned capex of approximately $90–100 million, focused on high-impact, short-cycle upstream
activities
• Crude trading volumes expected at 30–35 MMbbls, reflecting continued portfolio optimisation
• Expansion of clean energy initiatives, including the deployment of 11 additional electric buses to the
fleet
Responsibility for publication
This announcement has been authorised for publication in accordance with the disclosure requirements of the
NGX and JSE, on behalf of Oando PLC by:
Adeola Ogunsemi,
Group Chief Financial Officer
About Oando PLC
Oando PLC is Africa's leading indigenous energy solutions provider, listed on the Nigerian Exchange (NGX)
and the Johannesburg Stock Exchange (JSE). The Group operates across the energy value chain, with activities
spanning upstream exploration and production, trading, power generation, mining and renewable energy
initiatives.
Through its subsidiaries, Oando Energy Resources, Oando Trading, Oando Clean Energy and Oando Mining,
the Group holds interests in onshore and offshore oil and gas assets across Nigeria and Angola and maintains
a significant presence in global energy trading. Oando is committed to driving Africa's energy future and
delivering reliable, affordable, and increasingly clean energy solutions that meet the continent's unique, growing
energy needs while creating sustainable, long-term value for all stakeholders.
For more information, visit oandoplc.com
Follow Oando on LinkedIn: https://www.linkedin.com/company/oando-plc/
X: https://x.com/Oando_PLC
Enquiries +234 (1) 2704000
Adeola Ogunsemi / Group Chief Financial Officer
Folasade Ibidapo-Obe / Chief Compliance Officer & Company Secretary
Ayeesha Aliyu / Investor Relations Manager
JSE Sponsor to Oando
Questco Corporate Advisory Proprietary Limited
Disclaimer: forward-looking statements
This results release contains forward-looking statements regarding the operations, financial condition, strategy,
and prospects of Oando PLC ("the Group"). These statements are based on current expectations and
assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Such
risks include, but are not limited to, market conditions, regulatory developments, geopolitical events, operational
challenges, and the Group's ability to implement key initiatives, including its capital restructuring, energy
transition, and diversification strategy. Readers are cautioned to carefully consider the foregoing factors and
other uncertainties, and not to place undue reliance on forward-looking statements. Forward-looking statements
apply only as of the date on which they are made, and the Group undertakes no obligation to update or revise
any forward-looking statements, except as required by applicable laws and regulations.
Operational Performance
Reserves and Resources
The Group's total 2P reserves stood at 928 MMboe as of 31 December 2025, representing a 2% decline year-
on-year. The movement reflects normal production depletion during the period, as well as updated technical
assumptions incorporated within the independent Competent Person's Report.
The reserves base remains predominantly gas-weighted and continues to underpin the Group's long-term
production profile, supporting its positioning within Nigeria's energy transition, domestic gas and gas-to-power
markets. At current production levels, the reserves base provides long-term visibility over production and cash
flow generation.
Reserves and Resources Unit YE 2025 YE 2024 %Change
2P Reserves
Crude Oil MMbbl 332 341 (3)%
Gas Bscf 3,413 3,478 (2)%
NGLs MMbbl 27 39 (31)%
Total MMboe 928 950 (2)%
2C Resources
Crude Oil MMbbl 89 87 2%
Gas Bscf 478 454 5%
NGLs MMbbl - - -
Total MMboe 169 163 4%
1.Reserves and Production comprise Oando's 40% working interest (WI) in OMLs 60,61,62,63, 40% WI in Qua
Ibo Marginal Field, and 45% WI in Ebendo Marginal Field.
2.Gas volumes have been converted to barrels of oil equivalent (boe) using a conversion factor of 6.0 Mscf per
boe.
3. Independently evaluated in a Competent Person's Report (CPR) prepared by DeGolyer & MacNaughton
4. YE 2024 reserves and resources have been updated to reflect the results of the independent CPR.
Accordingly, the 2024 comparative differs from previously reported figures
Production Performance
Group production averaged 32,482 boepd in FY 2025, representing a 32% increase year -on-year, driven by
higher output across crude oil, gas and NGLs, as well as the full-year impact of the NAOC JV consolidation.
Production Unit FY 2025 FY 2024 %Change
Crude Oil bopd 11,269 8,301 36%
Gas boepd 19,982 16,085 24%
NGLs bpd 1,231 151 715%
Total boepd 32,482 24,537 32%
Opex $/boe 22.4 20.6 9%
1. Production in 2025 comprises Oando's 40% working interest (WI) in OMLs 60,61,62,63, 40% WI in Qua Ibo
Marginal Field, and 45% WI in Ebendo Marginal Field.
2. Volumes are subject to reconciliation and may differ from liftings within the period.
3. Gas volumes reflect the total quantity of gas produced during the period, inclusive of volumes utilised for
operations or reinjection.
4. Gas volumes have been converted to barrels of oil equivalent using a conversion factor of 6 Mscf per boe
5. Opex/boe reflects full-year operator costs, including logistics, maintenance, regulatory levies, and HSE-
related expenses.
Production growth was driven by improved facility availability, the restoration of previously shut -in wells,
enhanced flow assurance, and targeted infrastructure upgrades across operated assets.
While output was temporarily impacted by gas-related shut-ins during the fourth quarter, all affected operations
were restored within the year, with no impact on underlying production capacity or asset integrity.
Crude oil production benefited from the reactivation of constrained wells, while gas production grew despite the
temporary disruptions. NGL volumes increased significantly following the successful revamp of the processing
plant, which improved recovery efficiency and enhanced value realisation from the gas stream.
Further optimisation initiatives are underway to increase NGL production to approximately 8 kbpd, with a longer -
term target of 10 kbpd. Together with improved operating reliability, these initiatives establish a stronger
production base entering FY 2026 and support future revenue and cash flow growth.
Costs and Operating Efficiency
Production operating expenses averaged $22.4/boe in FY 2025, compared with $20.6/boe in FY 2024,
representing a 9% increase year-on-year. The increase primarily reflects the inclusion of a full year of Joint
Venture operations compared with a partial contribution in the prior period, together with higher personnel,
logistics, security and other operating costs associated with the expanded asset portfolio. The increase also
included certain one-off integration and transition-related costs following the acquisition.
During the year, the Group maintained a strong focus on operating discipline, with contract optimisation
initiatives delivering approximately $17.7 million in savings across key operating inputs. These actions
supported margin resilience and improved alignment of the cost base with operational requirements.
While the current cost profile reflects the enlarged operating footprint, management expects unit costs to benefit
from increased production, the normalisation of integration-related activities, and ongoing efficiency initiatives.
Continued focus on uptime, cost optimisation and operational reliability remains central to supporting margin
recovery over time.
Drilling and Field Optimisation
The Group advanced its upstream optimisation agenda during the year through targeted restoration projects,
rig-less interventions, and surface facility enhancements, supporting improved production stability and asset
reliability across operated fields.
Preparations for the drilling programme progressed during the year; however, timelines were adjusted due to
limited rig availability across the domestic industry. The revised programme included the successful completion
of the Obiafu-44 gas-condensate well, which was brought onstream in October, while additional drilling and
workover activities have been deferred to 2026.
The rephasing of drilling activity is expected to support a more efficient execution profile in 2026 while
maintaining near-term production stability.
Asset-Level Performance
Production performance during the year reflected both the full-year contribution of the NAOC assets and
operational improvements across the Group's producing fields .
OMLs 60–63 (40% WI, Operator)
Production from OMLs 60–63 averaged 29,733 boepd in FY 2025, compared with 21,301 boepd in FY 2024,
representing a 40% year-on-year increase. The improvement was primarily driven by enhanced security across
the operating area, improved delivery line uptime, and sustained production performance from the Ogbainbirin
("OGB") field. Production growth was further supported by the reopening of previously shut -in wells and
increased rich gas supply from OGB and the Ebocha Oil Centre. Combined with the successful operation of
propane compressors and cooling infrastructure, these initiativ es enhanced NGL recovery, improved processing
efficiency, and strengthened overall liquids output across the asset.
Capital expenditure of $36.9 million was allocated to field development, infrastructure enhancements, and
exploration and evaluation activities.
OML 56 – Ebendo (45% WI)
Average daily production declined to 2,379 boepd in FY 2025 (FY 2024: 2,825 boepd), reflecting the temporary
shut-in of the Ebendo North field between February and April 2025 pending regulatory approval for full -field
development.
Capital expenditure of $7.3 million was primarily directed towards operationalising the 4.1 km evacuation
pipeline and supporting related development activities to improve production evacuation and operational
efficiency.
OML 13 – Qua Ibo (40% WI)
Production averaged 370 bopd in FY 2025, compared with 411 bopd in FY 2024, primarily reflecting natural field
decline. Planned drilling of one new development well in December 2025 is scheduled for early 2026, following
adjustments to the drilling programme and rig availability, to support production volumes .
Capital expenditure of approximately $26.0 million was allocated towards appraisal drilling activities aimed at
unlocking incremental production potential and advancing future field development.
Entry into Angola – Block KON 13
In January 2025, Oando Energy Resources was awarded operatorship and a 45% participating interest in Block
KON-13 in Angola's Onshore Kwanza Basin. During the year, the Production Sharing Contract (PSC) was
negotiated with the National Agency of Oil, Gas & Biofuels (ANPG) and approved by the government of Angola.
A Presidential Decree has been published in the public gazette, and execution of the PSC is complete. The
contractor group, led by Oando, will proceed with exploration planning activities . This development represents
a strategic extension of the Group's upstream portfolio, providing longer -term growth optionality beyond the
existing asset base.
Operational Risk and Infrastructure Integrity
The Group recorded isolated pipeline sabotage incidents during the year, which were addressed promptly
through established emergency response protocols. Joint Investigation Visits confirmed third-party interference,
and repairs were completed without prolonged disruption to production. Enhanced surveillance, infrastructure
security, and stakeholder engagement continue to form part of the Group's operational risk management
framework, supporting improved asset integrity and production reliability.
People and integration
The Group's commitment to talent retention and organisational development remains central to sustaining
operational performance across its enlarged asset base. Workforce stability was maintained during the year,
with employee attrition remaining below 5%, reflecting effective organisational integration following the NAOC
acquisition.
Following the integration of the NAOC JV assets, the Group implemented targeted workforce optimisation
initiatives to align its organisational structure with the expanded operating footprint. These actions are expected
to deliver annualised cost savings of approximately N30 billion, supporting improved operating efficiency and a
more sustainable cost base. While the programme impacted short-term earnings, the restructuring is expected
to be value-accretive, with a positive impact on margins and cash flow generation over the medium term. In
parallel, core human capital management processes were successfully integrated and automated,
strengthening governance, improving data integrity, and enhancing operational efficiency. This provides a more
robust organisational platform to support the Group's expanded operations.
Community and Social Performance
The Group continued to support host community development across its operating areas, with aggregate
contributions to the Host Community Development Trust of approximately N11 billion. Community-led initiatives
progressed across multiple host communities, reinforcing the Group's social license to operate and supporting
stable operations across its asset base.
Safety, Security, and HSE Performance
The Group maintained a strong focus on safe and reliable operations during the year. Enhanced security
measures across core operating areas reduced security-related incidents, supporting operational continuity and
mitigating disruption risks. HSE performance remained strong in FY 2025, with zero fatalities and zero lost-time
injuries recorded. The Total Recordable Incident Rate improved to 0.05 from 0.19 in FY 2024, reflecting the
continued strengthening of safety culture and proactive risk management .
FY 2025 FY 2024
Fatalities (FAT) 0 0
Lost Time Injuries (LTI) 0 1
Medical Treatment Cases (MTC) 1 3
TRIR 0.05 0.19
LTIF 0.00 0.05
Near misses 34 34
Hours worked (million) 20.3 20.7
Medical Treatment Cases were reduced to one during the year, while near misses remained stable. Total
hours worked declined marginally, reflecting activity levels during the period.
Sustained HSE performance remains a critical enabler of operational stability and long-term value delivery.
Trading Business Overview
The Trading Division operates as a commercial platform focused on crude oil and gas trading, providing cash
flow resilience across commodity cycles.
In FY 2025, the Division delivered improved execution across its core crude trading activities, against the
backdrop of a shifting domestic downstream landscape.
Traded Volumes Unit FY 2025 FY 2024 %Change
Crude Oil MMbbl 25.7 20.7 24%
Refined Products kMT - 599 nm
A total of 25.7 MMbbl of crude oil cargoes were traded during the year, representing a 24% increase year-on-
year, driven by stronger operational delivery and expanded participation in international crude markets. Trading
activity was supported by participation in NNPC-sponsored pre-export finance (PXF) facilities, enabling efficient
execution and improved trade flow optimisation.
During the period, the Division deliberately paused premium motor spirit (PMS) trading in response to structural
changes in Nigeria's refined product market, including increased domestic refining capacity and evolving supply
dynamics. As a result, the trading portfolio was rebalanced towards higher-margin crude and gas trading
opportunities.
This repositioning in Nigeria improves capital efficiency, reduces exposure to low-margin, high-volume activities,
and aligns the Trading Division more closely with upstream operations, supporting more efficient monetisation
of production and improving the quality and sustainability of earnings.
Strategic developments
During the year, OTD executed a number of strategic initiatives aimed at strengthening supply security,
enhancing trading resilience and supporting long-term growth. The business participated in crude pre-financing
structures to secure medium-term supply, deepen customer relationships and capture additional value across
the trading cycle.
OTD also strengthened partnerships with international oil companies, indigenous producers and state-owned
entities across West Africa, expanding access to crude supply opportunities and reinforcing its position across
the regional value chain.
In parallel, the business advanced its regional diversification strategy and enhanced its financing capacity
through trade finance, structured financing and additional working capital facilities, improving liquidity and
positioning OTD to pursue larger trading opportunities.
Clean Energy Update
Oando Clean Energy Limited ("OCEL") continued to advance its clean energy platform during the year, with
progress across sustainable transport, recycling and renewable energy initiatives.
Within its electric mobility business, OCEL operated two electric buses throughout the year, completing over
4,300 trips, transporting more than 243,000 commuters and avoiding approximately 183 tonnes of carbon
emissions. Building on the successful proof of concept, the Company secured a 10-year operator licence, an
EV assembly licence and placed orders for an initial 11 electric buses to support future expansion.
In the waste-to-value segment, OCEL progressed development of a 2,750 tonnes-per-month PET recycling
facility in Ogun State, secured offtake expressions of interest exceeding 7,100 tonnes per month and advanced
initiatives focused on biodegradable packaging solutions.
The Company also continued to mature its solar, wind and geothermal opportunities through strategic
partnerships, technical studies and project development activities .
Mining Update
Oando Mining continued to advance its portfolio during the year, shifting from broad-based exploration towards
disciplined asset prioritisation and early-stage development planning. Activities focused on lithium, tin, gold and
bitumen opportunities, with an emphasis on identifying assets capable of near-term commercialisation while
progressing larger-scale development opportunities.
The Company strengthened its portfolio through strategic state-backed partnerships, including a Production
Sharing Contract in Kebbi State covering prospective lithium assets. Exploration activities across Kebbi and
Southwest Nigeria confirmed encouraging lithium mineralisation, while reconnaissance campaigns identified
promising tin and gold prospects across multiple locations.
In the bitumen segment, Oando Mining progressed technical studies and engagement with international
partners to evaluate Nigeria's first commercial-scale bitumen mining opportunity.
Capital deployment during the year remained focused on exploration, technical evaluation, regulatory
compliance and project ranking activities, supporting the identification of assets with the strongest potential for
future development and value creation.
2026 Outlook and Guidance
Operational Outlook
The Group's operational outlook for 2026 reflects a disciplined approach to sustaining production, improving
asset reliability, and delivering incremental growth within a capital-efficient framework.
Production is expected to range between 40,000 and 50,000 boepd. This outlook is supported by improved
asset uptime, continued well interventions, and targeted drilling activity across core assets, maintaining a stable
production base while progressively unlocking incremental volumes .
Within the Trading Division, crude trading volumes are expected to be in the range of 30–35 million barrels,
reflecting the continued transition towards higher-margin crude and gas trading opportunities. The Company
will also pursue selective geographic expansion and value chain integration opportunities, with a focus on
improving margin quality, diversifying revenue streams and strengthening resilience across its trading portfolio.
OCEL will focus on scaling its sustainable transport and recycling platforms, including deploying additional
electric buses, rolling out its electric taxi-hailing initiative, and commencing development activities for its PET
recycling facility. The Company will continue to pursue strategic partnerships, secure long-term commercial
arrangements and advance selected renewable energy projects towards investment readiness .
Oando Mining will focus on advancing selected assets from exploration into early -stage development, with
particular emphasis on tin, lithium and gold opportunities identified through its asset prioritisation programme.
The Company will continue to progress strategic partnerships, technical evaluations, and commercial structuring
activities, while advancing the bitumen project towards feasibility -stage development.
Taken together, while maintaining a disciplined approach to capital allocation and project execution, these
actions position the Group to sustain production, enhance margin quality, and progressively improve cash flow
generation.
Development Programme
To support this outlook, the Group will execute a focused development programme across its portfolio, including
drilling two new wells, one sidetrack well, and four workovers in OMLs 60–63.
This programme is designed to sustain base production, enhance reservoir performance, and improve recovery
across existing assets. Planned activities are expected to deliver incremental production of approximately
16,000 boepd.
This incremental production is expected to support improved utilisation of existing infrastructure , fulfill
contractual obligations and contribute to higher revenue generation and operating cash flow as volumes are
progressively brought onstream.
Capital Allocation
Capital expenditure is expected to range between $90 million and $100 million, with allocation prioritised
towards high-impact upstream interventions, production optimisation activities, and short -cycle investments with
near-term cash flow potential.
The planned capital programme is closely aligned with production delivery, with a focus on investments that
support near-term volume growth and cash flow generation.
Power and Gas Monetisation
The Group is advancing a structured gas monetisation strategy, leveraging its upstream gas resource base and
existing generation infrastructure to enhance value realisation across the portfolio.
The Okpai power generation assets, with a combined installed capacity of approximately 930 MW, represent a
central pillar of this strategy. Okpai Phase I remains operational and continues to supply power to the national
grid, while Okpai Phase II has been completed and is positioned for ramp-up, subject to the finalisation of
commercial and supply arrangements.
At full capacity, the Okpai assets constitute a significant share of Nigeria's available grid generation capacity,
underscoring their strategic importance in the domestic power sector.
The deferral of Okpai Phase II generation reflects a deliberate approach to securing sustainable and value -
accretive contract terms, ensuring that incremental capacity is brought onstream under commercially viable
conditions. This positions the Group to optimise long-term revenue generation rather than prioritising near-term
output at suboptimal pricing.
In parallel, the Group is actively high-grading its gas commercial portfolio, with a focus on improving realised
pricing and enhancing the overall quality of revenues. As existing contracts mature, volumes are being
renegotiated on more favourable terms or progressively reallocated towards higher -value markets, including
power generation and other premium end-users. These actions are expected to support improved margin
realisation and strengthen cash flow generation over time.
The Group's integrated position as both a gas producer and a power generator provides a structural advantage
in Nigeria's evolving gas-to-power landscape, enabling more efficient monetisation of gas resources while
supporting domestic energy security.
Taken together, the optimisation of gas contracts and the phased ramp-up of power generation capacity position
the Group to enhance revenue diversification, improve cash flow visibility, and strengthen the overall resilience
and quality of its earnings profile over time.
Cash Flow, Balance Sheet, and Capital Structure
Across the business, management remains focused on improving operating cash flow conversion, optimising
working capital, and advancing debt restructuring initiatives. Execution of the approved capital raise programme
remains a key priority, supporting liquidity and enabling the Group to fund development activities more
sustainably.
The outlook reflects a clear focus on strengthening the balance sheet, improving financial flexibility, and
transitioning towards more consistent, cash-backed performance.
Financial Performance
Unit FY 2025 FY 2024 %Change
Revenue1 N'billion 3,180 4,087 (22)%
Crude proceeds N'billion 312 282 11%
Gas proceeds N'billion 105 85 24%
NGL proceeds N'billion 5 0.4 1150%
Trading operations N'billion 2,728 3,693 (26)%
Gross (Loss)/Profit N'billion (3) 93 nm
Operating Profit N'billion 241 570 (58)%
Income tax credit/ (expense) N'billion 69 (164) nm
Profit-After-Tax N'billion 205 220 (7)%
EPS N 23 18 28%
Cash generated from/ (used in) N'billion 258 (500) nm
operations2
Cash and cash equivalents2 N'billion 423 155 172%
Total Capex3 N'billion 135 21 543%
Crude oil lifting MMbbl 3.95 3.04 30%
Gas sales4 MMscf 44.31 27.90 59%
NGL sales MMbbl 0.45 0.06 650%
Total MMboe 12.04 7.91 52%
Average Realized Oil Price $/bbl 65.23 73.91 (12)%
Average Realized Gas Price $/Mscf 1.73 2.14 (19)%
Average Realized NGL Price $/bbl 6.78 4.31 57%
Exchange rate (average) N/$ 1,505 1,515 (1)%
1. Includes revenue from Independent Power Projects (IPP), pipeline tariffs, and electric vehicle (EV)
initiatives.
2. Represents the balance on 31 December 2025 and 31 December 2024.
3. Total capex does not include asset acquisition costs.
4. Gas sales represent the portion of produced gas that was sold to third parties. Accordingly, sales gas
volumes are lower than total gas production.
5. Gas volumes converted to barrels of oil equivalent using a standard conversion factor of 6 mscf per boe
Revenue
Group revenue declined 22.2% year-on-year to N3.2 trillion in FY 2025 (FY 2024: N4.1 trillion), reflecting lower
trading volumes following a deliberate rebalancing of the Trading Division's portfolio amid structural changes in
the domestic downstream market. This was partly offset by stronger upstream contributions, supported by
higher production volumes following the consolidation of the NAOC JV interests .
Key segment performance highlights include:
• Crude Oil: Lifted volumes totalled 3.95 MMbbl, generating approximately N312.4 billion in revenue at
an average realised price of $65.23/bbl (FY 2024: $73.91). Strong volume growth was partly offset by
lower realised oil prices.
• Natural Gas: Sales volumes increased to 7.39 MMboe (44.31 Bscf), generating approximately N105.3
billion in revenue at an average realised price of $1.73/mscf ($10.35/boe). Volume growth remained
robust, despite continued pricing pressure.
• Natural Gas Liquids (NGLs): NGL volumes rose to 0.45 MMbbl, contributing approximately N5.37
billion in revenue, supported by improved recovery following the NGL processing plant revamp, albeit
at structurally lower realised prices of $6.78/bbl.
• Trading: Revenue declined to N2.7 trillion (FY 2024: N3.7 trillion), reflecting a deliberate reduction in
refined-product trading activity amid structural shifts in the domestic downstream market ; 25.7 MMbbl
of crude oil was traded during the year.
While realised prices moderated across key commodities during the year, the increase in production volumes
underscores the resilience of the Group's upstream assets and reinforces the strategic rationale for rebalancing
the earnings mix toward higher-margin, capital-backed production growth.
Gross Profit
The Group reported a gross loss of N2.8 billion in FY 2025, compared with a gross profit of N93.3 billion in FY
2024, reflecting margin pressure arising from a higher operating cost base associated with the expanded asset
portfolio and transition to operatorship.
Although cost of sales declined during the period, broadly in line with lower trading activity and associated input
costs, gross margins were impacted by increases in staff costs, logistics, security expenses, regulatory levies,
depreciation, and inventory valuation adjustments.
Following the audit process, certain operating and logistics -related costs were reclassified to cost of sales to
better align directly attributable costs with production and trading activities .
Depreciation and inventory valuation adjustments of N95.3 billion are included within cost of sales; however,
these are non-cash in nature and therefore do not directly impact operating cash flow. The reclassification had
no impact on profit after tax.
Administrative Expenses
Administrative expenses reduced by 27.2% year-on-year to N399.3 billion in FY 2025 (FY 2024: N548.3 billion).
The improvement was largely attributable to a significant reduction in foreign exchange losses from the
revaluation of foreign currency-denominated liabilities compared with the prior year, as well as the reversal of
legal provisions that were no longer required following the resolution of legacy matters .
Depreciation and amortisation increased by 38.8% year-on-year to N98.8 billion (FY 2024: N71.2 billion),
reflecting higher production volumes.
Impairment of assets
The Group recognised a net impairment reversal of N441.5 billion on financial assets in FY 2025, compared
with an impairment charge of N76.2 billion in FY 2024. This represents a material positive swing year -on-year,
driven primarily by the resolution and restructuring of previously impaired receivables and legacy balances
following settlement arrangements concluded during the period.
Operating Profit
The Group recorded an operating profit of N240.9 billion in FY 2025 (FY 2024: N569.7 billion), representing a
decline of 57.7%; which reflects normalised operating performance, following the N784.8 billion non-recurring
gain on bargain purchase recognised in FY 2024 on the NAOC acquisition. Excluding this one-off, underlying
operating performance improved materially year-on-year.
Net Finance Costs
Net finance cost reduced 43.4% year-on-year to N106.7 billion in FY 2025 (FY 2024: N188.6 billion). The
improvement reflects the impact of higher interest income on bank deposits & finance leases , the reversal of
prior default interest, and the resolution of long-outstanding financing items, consistent with management's
focus on balance sheet optimisation and funding efficiency.
Taxation
The Group recognised a tax credit of N69.0 billion in FY 2025 (FY 2024: tax expense of N163.7 billion). This
was driven by the reversal of previously recognised tax provisions and the recognition of deferred tax credits,
following reassessments of historic tax positions.
Profit After Tax
Profit after tax decreased 7.0% year-on-year to N204.8 billion in FY 2025 (FY 2024: N220.1 billion). Earnings
per share increased 27.8% year-on-year to N23 per share (FY 2024: N18 per share).
Liquidity and Balance Sheet
During the year, the Group strengthened its liquidity position through disciplined working capital management,
structured bank financing, and targeted balance sheet actions. Funding was secured from a mix of local and
international financial institutions to support upstream operations and crude marketing activities. The recovery
of outstanding receivables contributed to the reduction and restructuring of corporate facilities and other
obligations, while legacy facilities were settled or refinanced. These actions improved the Group's funding
profile, reduced near-term liquidity pressure, and enhanced financial flexibility to support ongoing operational
and capital requirements.
Cash Flow Performance
The Group delivered a material year-on-year improvement in cash flow performance in FY 2025, reflecting a
return to positive operating cash flow generation, disciplined capital deployment, and the normalisation of
acquisition-related cash flows following the completion of the NAOC transaction in the prior year.
Net cash from operating activities stood at N32.3 billion in FY 2025, a marked turnaround from the N535.3 billion
outflow recorded in FY 2024. The improvement was driven primarily by stronger cash conversion from
operations, which generated N258.3 billion compared to an outflow of N500.3 billion in the prior year, reflecting
higher production volumes, reduced operational disruptions, improved receivables recovery, and tighter working
capital management. These operating gains were partially absorbed by gratuity benefits, interest and tax
payments during the year, which amounted to N226.0 billion.
Net cash generated from investing activities amounted to N97.6 billion in FY 2025, compared with N869.3 billion
used in FY 2024, which was largely driven by the NAOC asset acquisition. The increased capital expenditure
of N135.0 billion (FY 2024: N20.8 billion), was primarily directed toward upstream development, facility integrity
and infrastructure investments. This was more than offset by N224.4 billion in interest received and N25.1 billion
in cash received from finance leases.
Net cash generated from financing activities was N165.7 billion in FY 2025, compared with N1.43 trillion in FY
2024. Financing inflows during the year were driven by N1.0 trillion in new borrowings to support upstream
development and working capital requirements, partly offset by N863.1 billion in debt repayments as the Group
continued to rebalance its funding profile and reduce legacy exposures.
As a result of these movements, the Group recorded a net increase in cash and cash equivalents of N295.7
billion during the year, closing FY 2025 with a balance of N422.9 billion, compared with N155.3 billion at the
start of the period.
Capital Structure and Funding Strategy
The Group continues to actively optimise its capital structure following the acquisition of the NAOC Joint Venture
assets, balancing near-term liquidity management with longer-term balance sheet strengthening initiatives.
Total borrowings stood at N2.7 trillion as of 31 December 2025 (FY 2024: N2.8 trillion), reflecting the enlarged
operating base and acquisition-related financing associated with the NAOC transaction, drawdowns to support
operations and capital investment, as well as the impact of foreign exchange movements on foreign-currency-
denominated obligations.
N billion 31/12/2025 31/12/2024
Gross Debt 2,695 2,772
Cash 423 155
Net Debt 2,272 2,617
During the year, the Group completed the restructuring of longstanding facilities, including the settlement of N27
billion under the MTL and $98 million under the Corporate Facility. These actions followed shareholder approvals
obtained at the 46th Annual General Meeting and Extraordinary General Meeting and form part of the Group's
broader capital restructuring programme. The measures have extended repayment profiles, improved liquidity
headroom, and strengthened financial flexibility.
Debt Structure and Cost of Funding
The Group's debt portfolio comprises a mix of reserve-based lending (RBL) facilities, term loans, project finance,
and working capital lines, with maturities extending through to 2037. This is supported by a materially expanded
production base, long-life reserves, and increasing exposure to gas monetisation and power generation, which
are expected to support improved cash flow visibility over time.
Facility Type Amount (N'000) % of Total Avg Rate Maturity
RBL Facilities 735,805,733 27.30% c.13.0% 2031
Corporate Facility 352,629,834 13.08% c.13.5% 2026–2037
Term Loans 989,144,267 36.70% c.12.6% 2027–2030
Project Finance 427,706,001 15.87% c.11.8% 2029
Working Capital 133,510,543 4.95% c.14.5% 2025–2034
Trade Finance 56,573,720 2.10% 19.50% 2028
The portfolio is predominantly floating rate, referenced to SOFR, with margins reflecting the Group's current
credit profile and market conditions. Blended cost of debt remains elevated, driven by legacy facilities and
higher-cost short-tenor borrowings. During the year, management advanced a number of refinancing and
restructuring initiatives aimed at extending debt maturities, improving funding flexibility, and progressively
reducing the Group's cost of capital. These initiatives form part of a broader capital structure optimisation
programme, including the approved capital raise and debt restructuring initiatives currently being progressed.
Near-term maturities are concentrated in 2027, with the Group actively progressing refinancing and restructuring
initiatives to extend tenor, reduce cost of funding, and improve overall capital structure efficiency.
Management remains focused on improving cash flow conversion, reducing short -term liquidity pressure, and
positioning the business for gradual deleveraging as operational performance and monetisation initiatives
continue to scale.
$375 Million Refinancing to Support Upstream Development
In June 2025, Oando Oil Limited (OOL), an upstream subsidiary of Oando PLC and a 20% participant in the
OMLs 60–63 Joint Venture, successfully upsized its reserve-based lending facility ("RBL2") to $375 million.
Originally secured at $525 million in 2019 and reduced to $100 million by December 2024, the refinancing, led
by Afreximbank with support from Mercuria, enhances the Group's financial flexibility and supports its medium-
term production growth objectives. The facility will fund the efficient development and monetisation of the
Group's upstream asset base.
Hedging
To manage oil price volatility and support revenue stability, the Group implemented a hedging programme
covering 3,000 barrels per day using purchased put options with a strike price of $59/bbl. These instruments
provide downside protection while preserving upside exposure.
Corporate and Governance Updates
• During the year, the Group executed the first tranche of its approved 1.28 billion share distribution
programme, delivering one fully paid share for every twelve shares held following the receipt of requisite
approvals in August 2025. The second tranche was subsequently completed in April 2026, reflecting
the Group's commitment to delivering tangible value to shareholders and fulfilling previously approved
capital return initiatives.
• The Group further strengthened its executive leadership with the appointment of Ms Ayotola Jagun as
Executive Director and Mrs Folasade Ibidapo-Obe as Chief Compliance Officer and Company
Secretary, reinforcing the depth and capability of the Management team.
• In November 2025, the Company was inducted into the Society for Corporate Governance Nigeria
(SCGN), reflecting its continued commitment to strengthening governance standards, Board oversight,
transparency and regulatory compliance as the Group evolves.
• The Group continued to embed stronger governance, risk management and internal control practices
across the organisation, supporting disciplined execution, enhanced accountability and effective
oversight of its expanded operating portfolio.
Date: 06-07-2026 02:31:00
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