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Wale Tinubu’s Oando acquires 100% shares of Nigeria Agip Oil Company from ENI

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Mr. Wale Tinubu


Serial  entrepreneur and Group Chief Executive Oando Group, Jubril Adewale Tinubu, has no doubt earned a name for himself through his visionary contributions to Africa’s economy.

It is not for mean achievement that the man is rated among Nigeria’s high- flying tycoons. The billionaire is unarguably a visionary whose contributions to the nation’s economy would forever be cherished. His record of incisive investment and vision to reshape Nigeria’s business climate remains unequal.

For Tinubu, a major player in the oil sector whose intimidating profile dwarfed many of his contemporaries, cutting deals comes as easy as a hot knife slices through butter. 

Multiple times, he has proved to the world that he is indeed a genius and a cognoscenti when it comes to investment and the art of making money.

His company Oando Plc a leading indigenous energy solutions provider has entered an agreement with ENI for the acquisition of 100% of the shares of Nigerian Agip Oil Company Limited (NAOC Ltd).

The completion of the acquisition is subject to Ministerial Consent and other required regulatory approvals.

The firm announced this in a statement today on its website.  

  • The statement reads, “Eni announces the signing of an agreement with Oando PLC – Nigeria’s leading indigenous energy solutions provider listed on both the Nigerian and Johannesburg Stock Exchange – for the sale of Nigerian Agip Oil Company Ltd (NAOC Ltd), the wholly Eni-owned subsidiary focusing on onshore oil & gas exploration and production in Nigeria, as well as power generation.
  • “NAOC Ltd is present with interests in Nigeria across 4 onshore blocks (OML 60, 61, 62, 63), which it operates on behalf of NAOC JV (operator NAOC Ltd 20%, Oando 20%, NNPC E&P Limited 60%), in the Okpai 1 and 2 power plants (with a total nameplate capacity of 960MW), and in two onshore exploration leases (OPL 282 and OPL 135, respectively 90% and 48%) for which it also holds operatorship.” 

The company is however not selling its 5% stake in the SPDC JV operated by Shell.  

Eni to still maintain a presence in Nigeria 

However, the company noted that it will still maintain its presence in Nigeria through the Nigeria Agip Exploration (NAE) and Agip Energy. It also said the transaction is in line with the company’s 2023-2026 plan 

  • It said, “Eni continues to operate in the country focusing on operated offshore activities. Participation in operated-by-others assets, both onshore and offshore, and Nigeria LNG will remain in Eni portfolio too.”
  • “The transaction is consistent with the Eni 2023-2026 Plan.
  • “The Upstream will supplement the core organically led growth with inorganic high-grading activity, adding resources with incremental value while divesting resources that can offer greater value and opportunities to new owners.” 
  • “The closing of this transaction is subject to, inter alia, the authorization of all relevant local and regulatory authorities.” 

However, finalising the sale is subject to approval of all relevant local and regulatory authorities, it said.  

Details of the deal 

In a press release signed by Company Secretary, Ayotola Jagun, the acquisition would see Oando’s interests in OMLs 60, 61, 62, and 63 increase from 20% to 40%. Here’s an excerpt from the press statement… 

  • The transaction increases Oando’s current participating interests in OMLs 60, 61, 62, and 63 from 20% to 40%. 
  • It increases Oando’s ownership stake in all NEPL/NAOC/OOL Joint Venture assets and infrastructure which include forty discovered oil and gas fields, of which twenty-four are currently producing, approximately forty identified prospects and leads, twelve production stations, approximately 1,490 km of pipelines, three gas processing plants, the Brass River Oil Terminal, the Kwale-Okpai phases 1 & 2 power plants (with a total nameplate capacity of 960MW), and associated infrastructure. 
  • Based on 2021 reserves estimates, Oando’s total reserves stand at 503.3MMboe and the transaction will deliver a 98% increase. 
  • The transaction also grows Oando’s exploration asset portfolio through the acquisition of a 90% interest in OPL 282 and 48% interest in OPL 135.  
  • NAOC Ltd participating interest in SPDC JV (Shell Production Development Company Joint Venture – operator Shell 30%, TotalEnergies 10%, NAOC 5%, 2 NNPC 55%) is not included in the perimeter of the transaction and will be retained in Eni’s portfolio.

More Opportunities for Oando 

Commenting on the acquisition, the Group CEO of Oando Plc, Wale Tinubu CON said the deal would help unlock more opportunities for the energy company. 

Wale Tinubu also indicated that the acquisition highlights the important role indigenous companies will play in the future of the Nigerian upstream sector. He said: 

  • “The synergies created by this acquisition will unlock unparalleled opportunities for us to re-align expectations, enhance efficiency, optimize resource allocation, and significantly increase production. 
  • Furthermore, it is in alignment with our strategy of acquiring, enhancing, appraising, and efficiently developing reserves. Today’s announcement is not just an important milestone for the future of Oando; it brings to bear the important role indigenous actors will play in the future of the Nigerian upstream sector.  
  • Having achieved this significant milestone, we look forward to closing the transaction and harnessing the full potential of the enhanced platform to accrue value for our local communities, stakeholders and shareholders.” 

What You Should Know 

Nigerian Agip Oil Company (NAOC) is Eni’s subsidiary operating in the land and swamp areas of the Niger Delta. It operates under a joint venture agreement, popularly referred to as the NAOC JV. 

The NAOC JV includes the Nigerian Government, represented by the Nigerian Petroleum Development Company (NPDC), with 60% interest. The other JV partners are NAOC (20%), and Oando (20%).  

More insights

In the year 2022, these four OMLs collectively contributed 24,000 barrels of oil equivalent per day to Eni’s net production. The extracted resources are directed towards the Obiafu-Obrikom facility and the Brass terminal. 

Eni further exports a significant portion of the gas produced from these licenses to the Nigeria LNG (NLNG) plant, where the company maintains a 10.4% interest.

Additionally, a portion of the gas supply is directed to the Okpai plant, and another open cycle facility located in Rivers State.

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Lagos Assembly Charges Security Agencies To Redouble Efforts In Combating Extortion By Miscreants

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Lagos Assembly Land Bureau Summon

Acknowledging that the scourge of brazen extortion by miscreants on Lagos streets was on the increase, the Lagos State House of Assembly has called on the Commissioner of Police, CP Olohunda Moshood Jimoh, and heads of other security agencies to intensify intelligence gathering with the latest security apparatuses, increase surveillance on black spots across the metropolis, and, where necessary, arrest such miscreants, and have the state rehabilitate them.

Hon. Sanni Okanlawon (representing Kosofe Constituency 1) raised the alarm at plenary Tuesday, May 6, under ‘Matter of Urgent Public Importance’ stating; “The unlawful extortion of stranded and innocent motorists by miscreants remains a growing concern that demands urgent attention. Nobody on the streets of Lagos is immune to their activities. If left unchecked, they could render the state unsafe.” He painted different unsavoury scenarios of how the street urchins operate brazenly, which he described as unacceptable, and called for urgent intervention to protect road users.
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Supporting the motion, Hon. Kehinde Joseph (Alimosho Constituency II) noted that this particular trend threatens the safety and sanity of road transportation in the state. Hon. Desmond Elliot (Surulere Constituency 1) corroborated this and emphasised the need for active surveillance by security agencies. He also suggested the involvement of the National Drug Law Enforcement Agency (NDLEA), noting that many of the offenders act under the influence of illegal substances.

Similarly, Hon. Aro Moshood (Ikorodu Constituency II) urged the Commissioner of Police to set up a tactical team dedicated mainly to road monitoring because “It is high time the government took the bull by the horns.” Commending Hon. Okanlawon for moving the motion, Hon. Adebola Shabi (Lagos Mainland Constituency 2) said local government chairmen have a huge role in combating this menace. Effective strategies, she added, have to be devised while recommending the installation of CCTV cameras at identified black spots.

However, Hon. Obafemi Saheed (Kosofe Constituency 2) disclosed that the government has invested heavily in security through the Lagos State Security Trust Fund, LSSTF, and, therefore, should not sit back and watch miscreants take over the city.

Speaker of the Assembly, Rt. Hon. (Dr.) Mudashiru Obasa commended Hon. Okanlawon and the lawmakers who contributed robustly to the debate. He said that the police and other security agencies, including the Lagos Neighbourhood Safety Corps (LNSC), must collaborate to ensure that Lagos remains safe for residents, commuters, and visitors alike.


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EFCC arrests suspected internet fraudster over bank account scheme

The EFCC has apprehended Olawole Sunday, suspected of buying bank account details for online fraud, following a £2 million forex scam.

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internet fraudster arrested Nigeria

The EFCC has apprehended Olawole Sunday, suspected of buying bank account details for online fraud, following a £2 million forex scam

 

Operatives of Nigeria’s Economic and Financial Crimes Commission (EFCC) have apprehended one Olawole Sunday, a suspected internet fraudster accused of orchestrating a scheme involving the purchase of bank account details from individuals for the purpose of perpetrating financial crimes.

Also read:EFCC Charges Students to Steer Clear of Cyber Crimes

In a statement released on Monday by the EFCC’s head of Media and Publicity, Dele Oyewale, it was revealed that Sunday’s alleged fraudulent operation involved the recruitment of young individuals to open multiple bank accounts.

Oyewale stated that Sunday purportedly paid these individuals sums ranging between N25,000 and N50,000 for each bank account they opened, subsequently collecting their complete banking details, including their Automated Teller Machine (ATM) cards.

The EFCC detailed how the investigation began when Sunday allegedly utilised the account details of one Uyi Eghosa to defraud an unsuspecting victim of N2 million under the false pretence of engaging in lucrative forex trading.

Following the fraudulent transaction, Eghosa was arrested by EFCC operatives. During the course of interrogation, Eghosa claimed complete ignorance of the illicit use of his bank account.

He informed investigators that he had handed over his account details and ATM card to Sunday in exchange for a payment of N25,000.

Oyewale elaborated on the operation leading to Sunday’s arrest, stating, “Operatives of the Benin Zonal Directorate of the Economic and Financial Crimes Commission, EFCC, have arrested one Olawole Sunday, a suspected fraudster who specialised in buying bank accounts’ details from individuals with which he defrauds unsuspecting members of the public.

Sunday’s modus operandi involved encouraging young people to open multiple bank accounts, pay them either N25,000 or N50,000 for each account and collect their bank details, including Automated Teller Machine cards.”

The EFCC spokesperson further explained, “Sunday allegedly employed the account details of one Uyi Eghosa to defraud a petitioner of the sum of N2 million under the guise of trading in forex.

The account owner, Eghosa, was arrested, and his disclosure that he was unaware that his account was used in defrauding members of the public led to Sunday’s arrest.”

Oyewale confirmed that upon his arrest, Sunday confessed to the alleged crime. He added that the suspect would be formally charged in court as soon as the ongoing investigations are concluded.

 


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Epe LG chairman, Hon. Surah Animashaun, celebrates Aare Emmanuel-King at 50

Tributes pour in for Adron Group CEO, Aare Adetola Olaniyi Emmanuel-King, on his 50th birthday, celebrating his dedication to affordable housing and community development.

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Tributes pour in for Adron Group CEO, Aare Adetola Olaniyi Emmanuel-King, on his 50th birthday, celebrating his dedication to affordable housing and community development.

Epe Local Government Executive Chairman, Hon. (Princess) Surah O. Animashaun FHTI, has extended warm congratulations to Aare Adetola Olaniyi Emmanuel-King, Chairman and CEO of Adron Group, on his 50th birthday, praising his significant contributions to affordable housing in Nigeria.

The milestone birthday celebrates Emmanuel-King’s remarkable journey as an entrepreneur and philanthropist, whose dedication has positively impacted numerous Nigerian families.

“Your steadfastness in pursuing your vision, despite challenges, is a shining example of your perseverance and passion.”

Animashaun highlighted his “innovative approach” and “steadfastness in pursuing his vision,” despite facing challenges.

Emmanuel-King’s commitment to making affordable housing accessible has earned him widespread recognition, with his work inspiring others to strive for excellence and community development.

Animashaun concluded her tribute by wishing him “continued good health, wisdom, and success,” as he embarks on a new chapter of life.


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