WorldStage Newsonline– Oando PLC, Nigeria’s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange has announced its unaudited results for the 12 months period ended December 31, 2023 with a return to profit-after-tax of N74.7 billion from a loss-after-tax of N81.2 billion in 2022..
Highlights of the results include 71% Turnover increase. N3.4trillion FYE 2023 vs N1.9trillion (FYE 2022); 23% reduction in Upstream borrowings at $488.9million (FYE 2023) vs. US$635.6million (FYE 2022); 1% increase in production at 20,837 boepd FYE 2023 vs 20,703 boepd FYE 2022; Oil production of 6,024bbls/day (vs 4,939bbls/day in FYE 2022); Natural Gas production of 14,572boe/day (vs 15,292boe/day in FYE 2022); NGL production of 241bbls/day (vs 472bbls/day in FYE 2022); 50% increase in traded crude oil volumes 32.8 million bbls FYE 2023 vs 21.8 million bbls FYE 2022; 15% decrease in traded refined petroleum products (1,645,535 MT in 2023 vs 1,937,833 MT in FYE 2022).
Commenting on the results Wale Tinubu, Group Chief Executive, Oando PLC said: “Despite the persistent pipeline vandalism across the Niger Delta, which continues to dampen crude production, we achieved a profit after tax of N 74.7 billion in 2023 largely driven by increased trading volumes due to our strategic global partnerships and net foreign exchange gains on the group’s foreign currency denominated assets as against losses on our foreign currency denominated liabilities. Furthermore, our milestone signing of the Sale and Purchase Agreement with Eni towards the acquisition of 100% of the shares of NAOC Ltd, marked a pivotal moment for our organization and is poised to unlock substantial synergies in the near future.
“Our focus is now on completing the acquisition and seamlessly integrating operations to deliver exceptional value to our shareholders.
“During the twelve months ended December 31, 2023, average production was 20,837bbl/day, compared to 20,703bbl/day in 2022. In 2023, production consisted of 6,024bbls/day of crude oil, 241bbl/day of NGLs and 14,572 boe/day of natural gas. Marginal Production increase was a result of repairs of shut in wells offset by persistent sabotage activities.
“During the twelve months to December 31, 2023, the Group incurred $52.9 million on capital expenditures related to the development of oil and gas assets and exploration and evaluation activities, compared to $101.9 million in the twelve months to December 31, 2022.
“Capital Expenditures in 2023 consisted of $50.6 million at OMLs 60 to 63 incurred on oil and gas properties, $2.2 million at OML 56, and $0.1 million at OML 13.
“Revenue for the period increased by 71%, positively impacted by significant increase in our trading activity and exchange rate translations, despite lower oil, gas and NGL production volumes and realized prices.”
