Wrap Text
H1 2026 Unaudited 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")
H1 2026 Unaudited Results Release
Lagos, Nigeria | 4 August 2026 – Oando PLC ("Oando" or the "Group"), Nigeria's leading
indigenous energy group listed on both the Nigerian Exchange Ltd. and Johannesburg Stock
Exchange, today announces its unaudited results for the six months ended 30 June 2026.
Operational delivery and value realisation drive earnings and cash growth
Group Highlights
• Delivered average production of 42,789 boepd (+16% YoY), within guidance,
supported by new wells drilled, the restoration of previously shut-in wells and improved
uptime
• Production opex reduced 18% to $16.83/boe (H1 2025: $20.62/boe), reflecting delivery
of the Group's cost optimisation initiatives across the enlarged asset base
• Facility uptime of 92% (H1 2025: c.85%) and zero lost-time injuries recorded during
the period
• Trading volumes of 13.15 MMbbl (H1 2025: 12.88 MMbbl), supported by increased
sourcing from marginal field producers
• Revenue up 20% year-on-year to N2.1 trillion (H1 2025: N1.7 trillion), led by growth in
the E&P segment and higher product prices
• Profit after tax up 8% to N68.6 billion (H1 2025: N63.3 billion), supported by improved
operating profits and tax credits
• Cash generated from operations of N179.5 billion, against N287.9 billion used in H1
2025, reflecting improved operational cash conversion
• Capex of N81.4 billion (H1 2025: N48.3 billion), directed to high-impact upstream
drilling across OMLs 60–63 and the non-operated portfolio
• Closing cash and cash equivalents of N544.9 billion (H1 2025: N194.2 billion),
strengthening the Group's liquidity position
• Corporate Facility and Medium-Term Loan restructured, with both facilities in good
standing
• Commenced long-term gas supply of 11.2 MMscfd to the newly commissioned 60 MW
Bayelsa Independent Power Plant, expanding the Group's domestic gas monetisation
portfolio
• Executed the Production Sharing Contract (PSC) for Block KON 13 in Angola, following
the award of the block in January 2025, with Oando holding a 45% participating interest
and serving as operator
Commenting on the results, Wale Tinubu CON, Group Chief Executive, Oando PLC,
said:
"The first half of 2026 marks an important inflection point in Oando's journey. Over the past
two years, our priority has been to successfully integrate one of the most significant upstream
acquisitions in Africa and unlock the full value of our expanded portfolio. The progress
achieved during the period demonstrates that we are now delivering the operational and
financial outcomes expected from that transformation.
Operational efficiency underpinned our performance during the period as we strengthened
asset integrity, improved facility reliability and reinforced security across our operating areas,
resulting in average facility uptime of 92% while reducing production operating costs by 18%
to US$16.83 per boe.
Our development programme also gathered significant momentum during the period as we
successfully drilled and completed two land development wells, with an additional land well
currently being drilled, while mobilising a second drilling rig to accelerate activity across our
operated portfolio. In parallel, we continued an extensive programme of rig-less well
interventions designed to restore production, sustain plateau output and mitigate natural field
decline. Together, these activities increased average production to 42,789 boepd,
representing 16% year-on-year growth.
This translated into a stronger financial performance, with revenue increasing by 20% to N2.1
trillion, while the business generated N179.5 billion in operating cash, improving liquidity. Profit
after tax also increased by 8% to N68.6 billion, reflecting the overall improvement in operating
performance during the period.
Looking ahead in 2026, our priorities remain firmly centred on completing our seven-well
drilling programme and portfolio-wide well intervention campaign while delivering production
of circa 50,000 boepd. Beyond 2026, our identified inventory of 62 development wells,
supported by 55 planned well interventions, provides a clear pathway towards our medium-
term production ambition of approximately 100,000 boepd.
Furthermore, we shall execute an intensive fundraising and balance sheet restructuring
programme to optimise our capital structure, strengthen our financial position, improve
working capital, enhance financial flexibility and ensure the business is appropriately funded
to accelerate growth and maximise long-term shareholder value
We have built a resilient operating platform and established a clear roadmap for growth. Our
focus is now on translating our significant opportunities into higher production, a stronger
balance sheet and superior long-term returns for our shareholders."
2026 Outlook
• Development programme of 7 wells in OMLs 60–63, of which two have been drilled
and two are currently being drilled, supported by approximately 100 rig-less activities
across the portfolio.
• FY2026 capex of approximately $90–100 million, focused on high-impact, short-cycle
upstream activities.
• FY2026 production guidance maintained at 40,000–50,000 boepd
• FY2026 traded crude oil volume guidance revised to 22–26 MMbbls following
changes to one of the Company's crude oil marketing programmes.
• Completion of the Rights Issue and continued progress on the US$1.5 billion multi-
instrument issuance programme
• Expansion of clean energy initiatives.
Responsibility for Publication
This announcement has been authorised for publication 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). Oando operates across the
entire energy value chain, encompassing upstream exploration and production, trading and
renewable energy initiatives.
Through its subsidiaries, Oando Energy Resources and Oando Trading, the Company holds
interests in onshore and offshore oil and gas assets and maintains a significant presence in
the global energy trading market. Oando is committed to driving Africa's energy transition and
delivering innovative, sustainable and value-driven solutions that meet the continent's unique
energy needs.
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 CFO
Folasade Ibidapo-Obe / Chief Compliance Officer & Company Secretary
Ayeesha Aliyu / Investor Relations Manager
Lagos
4 August 2026
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 Company"). 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 Company's ability to implement key initiatives, including its capital re-structuring, 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 Company undertakes no obligation to update or revise any
forward-looking statements, except as required by applicable laws and regulations.
Operations Review
E&P Business Performance
Production
Production for the period was within guidance, averaging 42,789 boepd, representing a 16%
increase over the H1 2025 average. Production opex fell 18% to $16.83/boe (H1 2025:
$20.62/boe), reflecting the delivery of the Group's cost optimisation initiatives, principally lower
transport, logistics, service and ICT costs, alongside the benefit of higher production across a
largely fixed field cost base.
Unit H1 2026 H1 2025 %Change
Crude Oil bopd 12,358 10,393 19%
Gas boepd 28,497 24,929 14%
NGLs bpd 1,935 1,513 28%
Total boepd 42,789 36,836 16%
Production Opex $/boe 16.83 20.62 (18)%
1. Production comprises Oando's 40% working interest (WI) in OMLs 60, 61, 62 and 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.
OMLs 60–63 (40% WI, Operator)
Production from OMLs 60–63 averaged 40,077 boepd in H1 2026, up 18% from 33,947 boepd
in H1 2025. Crude oil production increased by 22% to 10,867 bopd, supported by the new
wells drilled, the restoration of 12 previously shut-in wells and improved facility uptime. Gas
production increased by 16% to 27,275 boepd, despite continued challenges associated with
wet gas production and flowline disruptions, while NGL production rose 28% to 1,935 bpd.
During the period, the NEPL/Oando JV commenced gas supply to the newly commissioned
60 MW Bayelsa Independent Power Plant (IPP), further expanding the Group's domestic gas
monetisation portfolio. Under a long-term gas supply agreement, the JV will supply 11.2
MMscfd of gas, providing a stable and predictable revenue stream while supporting Nigeria's
gas-to-power objectives.
OML 56 – Ebendo (45% WI)
Average daily production was broadly flat, down 1% to 2,476 boepd (H1 2025: 2,507 boepd).
OML 13 – Qua Ibo (40% WI)
Production averaged 236 bopd in H1 2026, down 38% from 382 bopd in H1 2025, primarily
due to natural field decline.
Drilling Programme
The Group's 2026 drilling programme advanced across both the operated and non-operated
portfolio, with new wells contributing to the 16% increase in production during the period.
Within OMLs 60–63, the Idu 6ST well was drilled, completed and brought onstream, while the
Samabri 4ST well was drilled and completed. Drilling is underway at the Samabri 7 and Idu 15
wells, with the Idu T, Samabri A and Ogbanbiri wells scheduled for the second half of the year,
completing the seven-well programme. Across the non-operated portfolio, one development
well was drilled at each of the Ebendo and Qua Ibo assets during the period, both of which
came onstream in Q2 2026. The drilling campaign is complemented by a rig-less programme
of approximately 100 well intervention activities planned across the portfolio for the full year.
Together, these programmes are designed to add production, sustain plateau and offset
natural field decline across the portfolio.
Exploration – Block KON 13 (Angola)
During the period, Oando executed the Production Sharing Contract (PSC) for Block KON
13 in Angola, following the award of the block in January 2025. Through its subsidiary,
Oando Exploration and Production Angola Ltd, the Company holds a 45% participating
interest and serves as operator of the block. With the PSC now executed, the Contractor
Group, led by Oando, is advancing the initial exploration work programme and associated
technical studies.
Operational Resilience & Sustainability
H1 2026 H1 2025
Fatalities (FAT) 0 0
Lost Time Injuries (LTI) 0 0
TRIR 0.00 0.00
Total Hours Worked 10,114,874 9,646,966
Gas Utilisation (%) 94.7 91.5
Facility Uptime (%) 92 85
1
Reconciliation Loss (%) 3.3 NR
1. The percentage difference between measured hydrocarbon production and delivered
sales volumes, reflecting production reconciliation and operational efficiency.
2. NR means not previously reported.
The Group maintained a strong operational resilience and sustainability performance during
the period, recording zero fatalities, zero lost-time injuries and a TRIR of 0.00. Facility uptime
rose to 92%, from approximately 85% in H1 2025, reflecting improved reliability of the
Group's production and evacuation infrastructure and providing capacity to support the safe
and efficient evacuation of incremental volumes from planned drilling and field development
activities. During the period, the Company responded to an isolated spill incident on the
Azuzuama-1 flowline in accordance with its emergency response procedures and applicable
regulatory requirements. Gas utilisation of 94.7% (H1 2025: 91.5%) supported improved gas
monetisation. The reconciliation loss factor of 3.3% largely reflects hydrocarbon losses
associated with third-party interference. The Group continues to focus on pipeline integrity
and security to reduce these losses and improve delivery reliability.
Trading Business Performance
Traded Volumes Unit H1 2026 H1 2025 %Change
Crude Oil MMbbl 13.15 12.88 2.1%
During the first half of 2026, the trading division continued to execute its strategic growth plan,
trading 13.15 MMbbl of crude oil across 23 cargoes, compared with 12.88 MMbbl across 14
cargoes in H1 2025. The increase in cargoes reflected a greater number of smaller parcels,
supported by continued execution of the Company's crude oil marketing and offtake
programmes and increased sourcing from marginal field producers.
The Group expects continued execution of its crude oil marketing activities during the second
half of the year, alongside the progressive expansion of its refined products trading business
as commercial opportunities convert into executed transactions.
FY2026 traded crude oil volume guidance has been revised to 22–26 MMbbls following
changes to one of the Company's crude oil marketing programmes. The revised outlook
reflects the removal of volumes previously expected under that programme following the
implementation of NNPC's new crude-backed financing structure and does not reflect any
change in the Group's underlying trading capabilities or commercial strategy. The Group
remains focused on expanding its broader crude oil marketing and trading portfolio.
________________________________________________________________________
Growth Portfolio
Clean Energy Update
The Clean Energy business continues to record progress across strategic initiatives during
the period. The sustainable transport sector, focused on Mass Transit, achieved a significant
increase in ridership, reaching 139,621 passengers and covering 49,924 kilometres, while
successfully averting 66,182 kg of carbon emissions. Fleet expansion plans are underway,
with the deployment of additional electric buses and 160 kW fast chargers scheduled for the
second half of the year.
In addition, the taxi-hailing initiative is advancing regulatory approvals and project
development activities as it approaches its Final Investment Decision.
In PET (Polyethylene Terephthalate) Recycling initiatives, key permits and procurement
activities have progressed, leading to an increase in offtake commitments to 8,100 tonnes
through additional Letters of Intent.
Ongoing financing initiatives are being pursued across the portfolio to support effective project
execution.
Mining Update
Oando Mining continued to advance its portfolio during the period, with exploration and
technical evaluation activities focused on its lithium, tin, gold and bitumen assets. Work on
the Company's tin assets progressed through resource evaluation and development
planning, positioning the project as one of the portfolio's more advanced opportunities.
Exploration programmes also continued to validate lithium prospects in Kebbi State and
Southwest Nigeria, while technical studies and commercial engagement progressed for the
bitumen project. The Company remains focused on advancing its highest-priority assets
towards development and future commercialisation.
Financial Review
Unit H1 2026 H1 2025 %Change
Revenue1 N'billion 2,064 1,721 20%
Crude proceeds N'billion 246 200 23%
Gas proceeds N'billion 63 45 40%
NGL proceeds N'billion 4 3 33%
OTD operations N'billion 1,718 1,451 18%
Gross Profit N'billion 101 23 331%
Operating (Loss)/Profit N'billion 128 (159) nm
Income tax credit/ (expense) N'billion 101 209 (52)%
Profit-After-Tax N'billion 69 63 8%
EPS N 8 5 60%
Cash (used in)/generated from N'billion 179 (288) nm
operations2
Cash and cash equivalents2 N'billion 545 194 181%
Total Capex3 N'billion 81 48 69%
Crude oil lifting MMbbl 2.64 2.32 14%
Gas sales4 Bscf 25.12 19.16 31%
NGL sales MMbbl 0.34 0.20 70%
Total MMboe 7.17 5.71 26%
Average Realised Oil Price $/bbl 79.22 66.34 19%
Average Realised Gas Price $/Mscf 1.78 1.65 8%
Average Realised NGL Price $/bbl 8.80 8.79 0.1%
Exchange rate (average) N/$ 1,377 1,552 (11)%
1. Includes revenue from Independent Power Projects (IPP), pipeline tariffs, and electric
vehicle (EV) initiatives.
2. Represents the balance on 30 June 2026 and 30 June 2025.
3. Gas sales represent the portion of produced gas that was sold to third parties.
Accordingly, sales gas volumes are lower than total gas production.
4. Gas volumes converted to barrels of oil equivalent using a standard conversion factor
of 6 Mscf per boe.
Overview
H1 2026 marks the point at which the enlarged JV asset base began converting into earnings
and cash. Higher production and lower unit costs drove the swing from an operating loss to
operating profit, while operating cash flow turned positive and closing cash more than doubled
year-on-year. With operating performance across the enlarged asset base now established,
the Group's focus is on executing the development programme and converting that upstream
capacity into long-term value through cost control and cash flow optimisation.
Revenue
Group revenue grew 20% year-on-year to N2,063.5 billion in H1 2026 (vs H1 2025: N1,720.8
billion), reflecting growth in both the Exploration & Production and Trading segments. Key
performance drivers included:
• Crude Oil lifted volumes rose 14% to 2.64 MMbbl (vs H1 2025: 2.32 MMbbl),
contributing N245.8 billion in revenue, supported by a 19% rise in the average realised
price to $79.22/bbl (vs H1 2025: $66.34/bbl).
• Natural Gas sales volumes increased 31% to 25.12 Bscf (vs H1 2025: 19.16 Bscf),
generating N62.5 billion in revenue. The average realised price increased by 8% to
$1.78/Mscf (vs H1 2025: $1.65/Mscf).
• Natural Gas Liquids (NGLs) revenue increased to N4.0 billion, supported primarily by
a significant uplift in volumes (0.34 MMbbl vs 0.20 MMbbl) as prices remained largely
flat at $8.80/bbl vs $8.79/bbl in H1 2025.
• Trading revenue increased 18% to N1,717.7 billion (vs H1 2025: N1,450.7 billion),
primarily driven by higher realised prices during the period.
Gross Profit
Gross profit rose 331% to N101 billion in H1 2026 (H1 2025: N23 billion), supported by lower
operating and production costs, and a decline in overlift position (overlift arises where crude
lifted is in excess of entitlement, with the excess settled at prevailing market prices and
recognised as cost of sales) during the period. The reduction in operating and production costs
was driven by lower transport, logistics, service and ICT costs, reflecting operational
efficiencies achieved across the enlarged asset base.
Administrative Expenses
Administrative expenses decreased 4% to N77.8 billion in H1 2026 (vs H1 2025: N81.4 billion).
The decrease was driven by a swing to a N10.2 billion net foreign exchange gain (vs H1 2025:
N16.9 billion loss), and lower depreciation and amortisation of N4.3 billion (vs N7.0 billion in
H1 2025), reflecting the reclassification of upstream DD&A to cost of sales.
Impairment of Assets
The Group recorded a net impairment reversal of N55.9 billion on financial assets in H1 2026
(vs H1 2025: N197.5 billion). This was driven specifically by a reversal on trade and other
receivables, as a result of settled receivables by customers and nil impairment of finance
leases in the current period (vs H1 2025: N3.0 billion impairment charge).
Operating Profit/(Loss)
The Group reported an operating profit of N127.8 billion in H1 2026 (vs H1 2025 operating
loss: N158.7 billion). This reflects growth in gross profit to N101.2 billion, a swing to other
operating income of N48.5 billion (vs H1 2025 other operating loss: N298.3 billion), and the
net impairment reversal of N55.9 billion described above. Within other operating income, the
main driver was the absence of the N311.6 billion fair value loss on modification of financial
assets recognised in H1 2025.
Net Finance Income/(Costs)
Net finance cost stood at N161.3 billion in H1 2026 (vs H1 2025 net finance income: N13.0
billion). This was driven by finance income falling to N6.3 billion (vs H1 2025: N159.0 billion),
as H1 2025 had benefited from non-recurring interest income of N128.7 billion on loan
receivables and bank deposits and N30.3 billion on finance leases. Finance costs also rose to
N167.6 billion (vs H1 2025: N146.0 billion). At current debt levels, debt service absorbs a
substantial share of the cash the business generates: interest paid of N98.9 billion during the
period was equivalent to 55% of cash generated from operations. Reducing this burden is a
principal objective of the Group's capital restructuring programme, which is intended to lower
interest expense and, over time, direct a greater share of operating cash flow to reinvestment
and shareholder returns rather than debt service.
Taxation
The Group recognised a tax credit of N101.4 billion in H1 2026 (vs H1 2025: N209.1 billion),
arising from the reversal of Companies Income Tax (CIT) provisions previously recognised for
FY2023–2025.
Profit After Tax
Profit After Tax rose 8% to N68.6 billion in H1 2026 (vs H1 2025: N63.3 billion), reflecting the
swing to operating profit and the impact of a tax credit. EPS rose 60% to N8/share (vs H1
2025: N5/share).
Cash Flow
Net cash generated from operating activities was N110.0 billion in H1 2026, compared to
N357.5 billion used in H1 2025. This reflects a positive swing in cash generated from
operations before interest and tax of N179.5 billion (vs H1 2025: N287.9 billion outflow) and a
working capital inflow of N29.8 billion offsetting lower interest payments of N98.9 billion (vs H1
2025: N127.9 billion).
Net cash used in investing activities was N56.8 billion in H1 2026 (H1 2025: N54.4 billion),
reflecting capital expenditure of N68.8 billion (H1 2025: N44.5 billion), primarily to support the
drilling programme and intangible asset purchases of N12.6 billion.
Net cash generated from financing activities was N87.4 billion (vs H1 2025: N451.4 billion), as
proceeds from borrowings fell to N437.5 billion (vs H1 2025: N868.1 billion) while repayments
were lower at N331.7 billion (vs H1 2025: N385.6 billion). The Group closed the period with
cash and cash equivalents of N544.9 billion (vs H1 2025: N194.2 billion).
Capital Structure
Total borrowings stood at N2.70 trillion as of 30 June 2026, broadly flat against N2.70 trillion
as of 31 December 2025, as new facility drawdowns were largely offset by scheduled
repayments. Net debt stood at N2.16 trillion, as cash and cash equivalents rose to N544.9
billion, providing improved liquidity headroom.
Capital Management Update
Following the FY2025 results announcement, Management has continued to execute its
programme to strengthen the Group's balance sheet and enhance financial flexibility. Key
developments since year-end include:
Facility Status H1 2026 Update
Corporate Completed Successfully restructured. All outstanding principal and
Facility interest arrears have been settled, restoring the facilities to
good standing as of 30 June 2026.
Medium-Term Completed Successfully restructured. All outstanding principal and
Loan interest arrears have been settled, restoring the facilities to
good standing as of 30 June 2026.
Rights Issue In N200 billion Rights Issue. Application submitted to the SEC
Progress and listing application submitted to the NGX, both currently
under regulatory review. Majority shareholders have
reaffirmed their commitment to support the offering.
US$1.5bn In Multi-instrument issuance programme of up to US$1.5
Issuance Progress billion. SEC feedback received; programme
Programme documentation is being updated for resubmission in Q3
2026.
Taken together, these initiatives have settled the Group's outstanding principal and interest
arrears and restored its core facilities to good standing. Work continues on the Rights Issue
and the US$1.5 billion issuance programme, which are together expected to reduce leverage ,
extend the Group's debt maturity profile and lower the Group's annual interest burden. By
substituting equity for debt, the programme is intended to increase the proportion of cash
generated by the business that is available for reinvestment and, in time, for distribution to
shareholders.
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 at a strike price of
$59/bbl. These instruments provide downside protection while preserving upside exposure.
H2 2026 Management Execution Priorities
Strategic Priority H1 Progress H2 Execution Focus
Deliver Operational Production of 42,789 boepd (+16% Complete the seven-well drilling
Performance YoY), within guidance; two wells programme and c.100 rigless
drilled and 12 shut-in wells restored activities to deliver FY2026
guidance of 40,000–50,000
boepd
Strengthen the Balance Corporate Facility and Medium- Complete N200bn Rights Issue
Sheet Term Loan restructured; Rights and advance the US$1.5bn
Issue progressing issuance programme
Disciplined Capital N179.5 billion generated from Deploy FY2026 capex of $90–
Allocation & Cash operations, against N287.9 billion 100 million into short-cycle
Generation used in H1 2025 activity and pursue recovery of
the legacy receivables
outstanding
Optimise Portfolio Facility uptime improved to 92% Continue optimisation initiatives
Performance (H1 2025: c.85%); transport, to enhance operating efficiency,
logistics, service and ICT costs reduce unit costs and maximise
reduced across the enlarged asset value from the integrated
base portfolio
Advance the Growth Angola PSC executed; clean Progress key commercial and
Portfolio energy, trading and mining technical milestones across the
portfolios advanced growth portfolio
Date: 04-08-2026 02:30:00
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