Lagos: Oando PLC, Africa’s leading indigenous energy solutions provider listed on both the Nigerian Exchange Ltd. and Johannesburg Stock Exchange, has announced its unaudited results for the six months ended 30 June 2026. The Group reported a 20% increase in revenue to ?2.1 trillion, driven by cost-optimization initiatives and higher production levels. This earnings boost is reflected in an 8% rise in profit after tax to ?68.6 billion and a substantial 331% increase in gross profit to ?101 billion.
According to African Press Organization, Oando’s upstream subsidiary achieved a 92% facility uptime compared to 85% in 2025, leading to a 16% increase in average production to 42,789 barrels of oil equivalent per day (boepd) from 36,836 boepd in H1 2025. This production increase includes a 19% rise in crude oil production to 12,358 barrels of oil per day (bopd), a 14% increase in gas volumes to 28,497 boepd, and a 16% rise in natural gas liquids (NGL) production to 1,935 boepd. The company attributed these results to successful drilling of new wells, restoration of 12 previously shut-in wells, and sustained improvements in facility uptime across Oil Mining Leases (OMLs) 60-63.
In its trading arm, the Group experienced a 2.1% increase in trading volumes to 13.15 million barrels (MMbbl). The company credits this to its crude oil marketing and offtake programs and increased sourcing from marginal field producers. It plans to further expand its crude oil marketing and trading portfolio in the latter half of the year.
Group Chief Executive Wale Tinubu CON commented on the half-year 2026 results, noting the company’s significant progress. Over the past two years, Oando has successfully integrated a major upstream acquisition and is now delivering expected operational and financial outcomes. Tinubu emphasized the role of operational efficiency, strengthened asset integrity, improved facility reliability, and reinforced security in achieving an average facility uptime of 92%, while reducing production operating costs by 18% to US$16.83 per barrel of oil equivalent (boe).
Oando’s development program has also gained momentum, with successful drilling and completion of two land development wells, another well currently being drilled, and mobilization of a second drilling rig. These activities, along with rig-less well interventions, have resulted in increased average production levels. This has translated into a stronger financial performance, with revenue increasing by 20% to ?2.1 trillion and operating cash generation of ?179.5 billion, improving liquidity.
Similarly, Seplat Energy Plc and Aradel Holdings Plc reported production increases in H1 2026, with Seplat’s production rising by 4% to 139,509 boepd and Aradel’s by 523% to 139.5 thousand boepd.
In 2026, Oando embarked on an extensive drilling program across both operated and non-operated portfolios, yielding results in H1 within OMLs 60-63. The company plans to complete its seven-well program with drilling across assets in Idu T, Samabri A, and Ogbanbiri, complemented by approximately 100 planned well intervention activities. These efforts aim to sustain plateau production and offset natural field decline.
Looking ahead, Oando aims to complete its seven-well drilling program and portfolio-wide well intervention campaign in 2026, targeting production of around 50,000 boepd. Beyond 2026, the company has identified 62 development wells and 55 planned well interventions, providing a pathway toward its medium-term production ambition of approximately 100,000 boepd.
The company is also focused on an intensive fundraising and balance sheet restructuring program to optimize its capital structure, improve financial flexibility, and maximize long-term shareholder value. Oando reaffirms its full-year production guidance of 40,000-50,000 boepd, supported by the drilling program across OMLs 60-63, and continues to advance its Rights Issue and US$1.5 billion multi-instrument issuance program, as well as expansion of its clean energy initiatives.