Oando PLC, Nigeria’s leading indigenous energy group, has recorded a 63 percent year on year increase in oil and gas production according to its unaudited half year results for 2025. The surge, driven by the full consolidation of the Nigerian Agip Oil Company (NAOC) assets, marks a strategic milestone in the company’s upstream expansion efforts.
The company reported an average daily production of 37,012 barrels of oil equivalent per day (boepd) in H1 2025, up from 22,262 boepd during the same period last year. Crude oil volumes rose by 77 percent, natural gas by 54 percent, and NGLs by a staggering 375 percent. The performance comes despite ongoing trading headwinds which saw overall group revenue decline by 15 percent to ₦1.72 trillion.
Oando’s management reaffirmed its long term strategy focused on upstream growth and energy diversification, noting that improved security, infrastructure uptime, and operational optimization were key to the strong performance.
While upstream operations posted gains, Oando reported a gross profit decline of 28 percent to ₦59 billion primarily due to reduced trading margins and pricing pressures. However, profit after tax remained steady at ₦63 billion maintaining parity with H1 2024.
In a move signaling international ambition, Oando secured operatorship of Block KON 13 in Angola’s Kwanza Basin, furthering its expansion beyond Nigeria’s shores. The company also completed urgent repairs on pipelines in Bayelsa following sabotage incidents and announced that sectional replacements and enhanced security protocols have been activated to protect future operations.
Despite trading setbacks, the company lifted 14 crude cargoes totaling approximately 12.9 million barrels compared to 10 cargoes in the same period last year. Capital expenditure rose to ₦44 billion, directed at infrastructure improvements and upstream asset integration.
Oando Clean Energy also made strides in the sustainability space with over 113,000 electric vehicle rides completed and continued investment in solar and recycling initiatives.
Analysts suggest that while the company’s production momentum is commendable, the recent ₦49.74 billion loss in Q2 raises red flags around operational costs and financing structure. The upcoming AGM and debt restructuring proposals are expected to provide clarity on the company’s medium term outlook.
As Nigeria’s energy landscape shifts increasingly toward local operators, Oando continues to position itself as a key player in shaping the country’s oil, gas, and renewable future.