{"id":9333,"date":"2016-11-01T12:36:30","date_gmt":"2016-11-01T11:36:30","guid":{"rendered":"http:\/\/nationalwire.com.ng\/?p=9333"},"modified":"2016-11-01T12:36:30","modified_gmt":"2016-11-01T11:36:30","slug":"oando-eyes-profitability-posts-increased-revenue-of-n330bn","status":"publish","type":"post","link":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/","title":{"rendered":"Oando Eyes Profitability; Posts Increased Revenue of N330bn"},"content":{"rendered":"

\u00a0<\/strong><\/p>\n

\"Mr.<\/a>
Mr. Wale Tinubu, Group CEO, Oando Plc<\/figcaption><\/figure>\n

Oando Eyes Profitability; Posts Increased Revenue of N330bn<\/strong><\/p>\n

Oando Plc, Nigeria\u2019s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, has announced unaudited results for the nine months period ended 30 September, 2016.<\/p>\n

The company\u2019s turnover increased by 26 per cent to\u00a0N<\/span>330 billion, compared to N<\/span>262 billion in YTD September 2015, while Gross Profit decreased by 52 per cent, N<\/span>28.7 billion compared to N<\/span>60 billion in H1 2015.<\/p>\n

The slump in global oil prices continues to have far-reaching implications on indigenous companies such as Oando. In Nigeria, oil companies are faced with an even more challenging environment including;<\/p>\n

Production disruption by militant activities in the Niger Delta. Oando witnessed a 22.7 per cent decrease in oil production from 53,169 boe\/day in Q3, 2015 to 41,094 boe\/day in Q3, 2016. Seplat Nigeria recorded a N24.1billion loss in Q3, 2016 while Exxon Mobil reported a 38 per cent drop in quarterly profit and a 3 percent fall in production as a result of production disruption by militants in the Niger Delta.<\/p>\n

Investor wariness, and higher local lending terms due to a weakened Naira, resulted in scale backs witnessed by indigenous firms in Joint Ventures with IOCs, this further leading to Asset impairments.<\/p>\n

Devaluation of the Naira by the Central Bank of Nigeria from an average exchange rate of N280.00:$1.00 in Q2 2016 to an average of N316.00:$1.00 in Q3 2016, resulting in unrealized foreign exchange losses.<\/p>

\r\n
Advertisement<\/div>\r\n\t\t\t\t\t\t\t<\/a>\r\n \r\n\t\t\t\t\t\t\t<\/div>\n

Commenting, Mr. Wale Tinubu, Group Chief Executive, Oando PLC said: \u201cThe third quarter witnessed the FGN establish a ceasefire with the militants responsible for production disruptions in the Niger Delta, leading to stabilised daily productions from our assets and expectations of imminent increases to our 2015 production highs of 56kbbls\/day. We have also been proactive in our cost management initiative to ensure maximised value extraction for every barrel of oil produced as the global oil price still lingers below $50\/bbl. We are pleased to have executed a SPA with Helios Investment partners for ~$116 million, representing 49% legal voting rights in the company\u2019s midstream business, of which the proceeds of the divestment will be utilised towards the company\u2019s debt restructuring initiative. Our trading business has grown significantly this year having exported over 11 cargoes of crude with volumes exceeding 11mmbbls and an additional 31 cargoes of other oil based products year to date. Our business model of dollar denominated earnings is taking shape as evidenced from the increased revenue line (95% increase) and future increases from the Upstream business through increased daily production rates and export trading businesses through increased lifting\u2019s, with a focus to return our business to profitability by year end.\u201d<\/p>\n

He said, inspite of these challenges Oando\u2019s loss-after-tax reduced by 32 per cent from N27 billion in H1, 2016 to N8.7 billion in Q3 (July 1 \u2013 September 30) 2016, while it scored other significant operational highlights in the nine months ended September 30, 2016.<\/p>\n

He said in its upstream business, Oando Energy Resources recorded a total production of 12.0 MMboe (average 43,617 boe\/day) and substantially reduced its debt burden from $900 million post acquisition in 2014 to $407 million today, signifying a total pay down of over 50 per cent in 2 years.<\/p>\n

\u201cSignificant progress has been made in growing Oando\u2019s trading business, through the exportation of Nigerian Crude oil and Petroleum Products. The company posted revenues of N64.9bn in Q3 from lifting volumes exceeding 3mmbbls of crude and an additional 300,000MT of refined petroleum products.<\/p>\n

\u201cFurthermore, in its midstream business, Oando Gas and Power, signed a definite agreement to divest 49 per cent voting rights in Oando Gas & Power (OGP) to Helios Investment Partners for $115.8 million reinforcing Oando\u2019s position as a partner of choice.<\/p>\n

\u201cIts midstream company renowned for pioneering captive power solutions reached 59 per cent completion of the Central Horizon Gas Company 8.5km pipeline expansion and is set to increase the throughput capacity by 400 per cent. This will provide increased supply of gas in the South-East region of Nigeria further expanding the company\u2019s footprint nationwide. In addition the company achieved a 93 per cent completion of its Greater Lagos 4 Project. Oando PLC is on a positive trajectory to enhance operations and financial position as the company works to return to profitability\u201d, added.<\/p>\n","protected":false},"excerpt":{"rendered":"

\u00a0 Oando Eyes Profitability; Posts Increased Revenue of N330bn Oando Plc, Nigeria\u2019s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, has announced unaudited results for the nine months period ended 30 September, 2016. The company\u2019s turnover increased by 26 per cent to\u00a0N330 billion, compared to N262 billion in YTD September …<\/p>\n","protected":false},"author":11,"featured_media":9334,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[23,17,624],"tags":[36,1202,188,740,652,575],"coauthors":[2392,2393],"class_list":["post-9333","post","type-post","status-publish","format-standard","has-post-thumbnail","","category-business","category-news","category-politics","tag-cbn","tag-dpr","tag-nnpc","tag-nse","tag-oando","tag-sec"],"yoast_head":"\nOando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Oando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire\" \/>\n<meta property=\"og:description\" content=\"\u00a0 Oando Eyes Profitability; Posts Increased Revenue of N330bn Oando Plc, Nigeria\u2019s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, has announced unaudited results for the nine months period ended 30 September, 2016. The company\u2019s turnover increased by 26 per cent to\u00a0N330 billion, compared to N262 billion in YTD September …\" \/>\n<meta property=\"og:url\" content=\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/\" \/>\n<meta property=\"og:site_name\" content=\"National Wire\" \/>\n<meta property=\"article:published_time\" content=\"2016-11-01T11:36:30+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"3072\" \/>\n\t<meta property=\"og:image:height\" content=\"2048\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Dayo Emmanuel\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebSite\",\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/#website\",\"url\":\"https:\/\/nationalwire.com.ng\/sub\/\",\"name\":\"National Wire\",\"description\":\"About Nigerians, Nigerian Business and Other Stories\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/nationalwire.com.ng\/sub\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#primaryimage\",\"url\":\"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg\",\"contentUrl\":\"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg\",\"width\":3072,\"height\":2048,\"caption\":\"Mr. Wale Tinubu, Group CEO, Oando Plc\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#webpage\",\"url\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/\",\"name\":\"Oando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire\",\"isPartOf\":{\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#primaryimage\"},\"datePublished\":\"2016-11-01T11:36:30+00:00\",\"dateModified\":\"2016-11-01T11:36:30+00:00\",\"author\":{\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/#\/schema\/person\/806673c5851717dc3067b1a46a6c060f\"},\"breadcrumb\":{\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/nationalwire.com.ng\/sub\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Oando Eyes Profitability; Posts Increased Revenue of N330bn\"}]},{\"@type\":\"Person\",\"@id\":\"https:\/\/nationalwire.com.ng\/sub\/#\/schema\/person\/806673c5851717dc3067b1a46a6c060f\",\"name\":\"Dayo Emmanuel\",\"url\":\"https:\/\/nationalwire.com.ng\/sub\/author\/dayo\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Oando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/","og_locale":"en_US","og_type":"article","og_title":"Oando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire","og_description":"\u00a0 Oando Eyes Profitability; Posts Increased Revenue of N330bn Oando Plc, Nigeria\u2019s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, has announced unaudited results for the nine months period ended 30 September, 2016. The company\u2019s turnover increased by 26 per cent to\u00a0N330 billion, compared to N262 billion in YTD September …","og_url":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/","og_site_name":"National Wire","article_published_time":"2016-11-01T11:36:30+00:00","og_image":[{"width":3072,"height":2048,"url":"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_misc":{"Written by":"Dayo Emmanuel","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebSite","@id":"https:\/\/nationalwire.com.ng\/sub\/#website","url":"https:\/\/nationalwire.com.ng\/sub\/","name":"National Wire","description":"About Nigerians, Nigerian Business and Other Stories","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/nationalwire.com.ng\/sub\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#primaryimage","url":"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg","contentUrl":"https:\/\/nationalwire.com.ng\/sub\/wp-content\/uploads\/2016\/11\/Wale-Tinubu.jpg","width":3072,"height":2048,"caption":"Mr. Wale Tinubu, Group CEO, Oando Plc"},{"@type":"WebPage","@id":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#webpage","url":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/","name":"Oando Eyes Profitability; Posts Increased Revenue of N330bn - National Wire","isPartOf":{"@id":"https:\/\/nationalwire.com.ng\/sub\/#website"},"primaryImageOfPage":{"@id":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#primaryimage"},"datePublished":"2016-11-01T11:36:30+00:00","dateModified":"2016-11-01T11:36:30+00:00","author":{"@id":"https:\/\/nationalwire.com.ng\/sub\/#\/schema\/person\/806673c5851717dc3067b1a46a6c060f"},"breadcrumb":{"@id":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/nationalwire.com.ng\/sub\/oando-eyes-profitability-posts-increased-revenue-of-n330bn\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/nationalwire.com.ng\/sub\/"},{"@type":"ListItem","position":2,"name":"Oando Eyes Profitability; Posts Increased Revenue of N330bn"}]},{"@type":"Person","@id":"https:\/\/nationalwire.com.ng\/sub\/#\/schema\/person\/806673c5851717dc3067b1a46a6c060f","name":"Dayo Emmanuel","url":"https:\/\/nationalwire.com.ng\/sub\/author\/dayo\/"}]}},"_links":{"self":[{"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/posts\/9333","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/comments?post=9333"}],"version-history":[{"count":1,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/posts\/9333\/revisions"}],"predecessor-version":[{"id":9335,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/posts\/9333\/revisions\/9335"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/media\/9334"}],"wp:attachment":[{"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/media?parent=9333"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/categories?post=9333"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/tags?post=9333"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/nationalwire.com.ng\/sub\/wp-json\/wp\/v2\/coauthors?post=9333"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}