Oando Plc, Nigeria’s leading indigenous energy company, has reaffirmed its ambition to achieve daily production of 100,000 barrels of oil and 1.5 billion cubic feet (Bcf) of gas by the end of 2029, according to a company statement.
This target represents more than a fourfold increase from the company’s 2024 full-year net average production of 23,937 barrels of oil equivalent per day (boepd).
This was made known in a recent press release, where Oando announced it had secured a $375 million reserve-based lending (RBL2) facility from the African Export-Import Bank (Afreximbank), with support from Mercuria.
The RBL2 facility, originally established at $525 million in 2019, had been reduced to $100 million by the end of 2024—giving Oando significant headroom for refinancing.
The company describes this strategic upsizing as a major milestone that enhances its financial flexibility to fund upstream operations and supports its goal of ramping up daily oil and gas output across multiple assets over the next four years.
“This refinancing, led by African Export-Import Bank (Afreximbank) with support from Mercuria Asia Resources PTE Limited (Mercuria), marks a key milestone in Oando’s strategic capital management and will support the company’s ambition to achieve 100,000 barrels of oil per day (bopd) and 1.5 billion cubic feet (Bcf) of gas per day by the end of 2029,” the statement read.
According to the company, this financial injection follows its landmark acquisition of Nigerian Agip Oil Company (NAOC) from Italian energy giant Eni in August 2024.
The acquisition significantly expanded Oando’s operational footprint, adding 24 producing fields, about 40 identified exploration prospects and leads, more than 1,250 kilometers of pipelines, three gas processing facilities, an export terminal and two power plants.
Oando has long maintained a strong presence in Nigeria’s oil sector, holding a diverse portfolio of oil and gas assets in both onshore and offshore locations across the Niger Delta and the continental shelf.
“Our joint venture holds extensive reserves with the potential to generate over $11 billion in net cash flows to Oando over the assets’ lifespan,” said Wale Tinubu, Group Chief Executive of Oando Plc and Executive Chairman of Oando Energy Resources.
As of 2024, the company holds 2P reserves of 996.8 million barrels of oil equivalent (MMboe) and unrisked 2C resources of 173.6 MMboe.
Industry analysts expect Oando to use the secured facility to accelerate drilling campaigns, improve operational efficiencies, and pursue other key growth initiatives.
