Tinubu: Oando-NAOC deal currently at integration stage
Wale Tinubu, the CEO of Oando, says the integration of Oando and Eni’s Subsidiary, Nigerian Agip Oil Company is currently ongoing since the completion of the 783-million-dollar acquisition. The oil firm aims to boost production to 100,000 barrels per day. In a chat with CNBC Africa, Wale Tinubu stresses the role of African financial institutions in stepping in to finance big-ticket deals on the continent.
Tue, 29 Oct 2024 11:49:25 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- The integration of Oando and Eni's Subsidiary, Nigerian Agip Oil Company post the $783 million acquisition is progressing smoothly, with production enhancement efforts targeting 100,000 barrels per day.
- Wale Tinubu emphasizes the significance of African financial institutions in supporting large-scale transactions within the continent, highlighting the need for a just transition to empower local communities and promote sustainable economic growth.
- The collaboration between Oando and the African Export-Import Bank has been instrumental in securing substantial financing for various projects, underscoring the bank's vital role in filling the financing gap left by international European banks in the oil and gas sector.
Oando, a prominent Nigerian oil company, has been making significant strides in the integration process with Eni's Subsidiary, Nigerian Agip Oil Company (NAOC), following the $783 million acquisition. Wale Tinubu, the CEO of Oando, recently shared in an exclusive interview with CNBC Africa that the firm is actively working towards increasing production to 100,000 barrels per day. Tinubu highlighted the crucial role of African financial institutions in facilitating major deals within the continent. He emphasized the importance of a just transition, ensuring that local populations have access to resources for industrialization and decarbonization. Tinubu underscored the potential of the African Continental Free Trade Area (AfCFTA) in boosting intra-African trade and reducing global warming contributions by promoting internal consumption. The CEO praised the establishment of the African Export-Import Bank as a key milestone, enabling African nations to lessen dependency on Western financial institutions and drive regional development. Oando's collaboration with the African Export-Import Bank has seen substantial financing support for various ventures, totaling close to $2 billion over the past decade. Tinubu acknowledged the significant role played by the bank in filling the gap left by international European banks, particularly in the oil and gas sector. Regarding the progress of the Oando-NAOC deal, Tinubu expressed optimism, noting that the integration process has been remarkably smooth. Current production levels have already seen a boost of 10,000 barrels per day, with a target of reaching 100,000 barrels per day by 2009 firmly in sight. The CEO's hands-on approach in overseeing the integration across key operations has been instrumental in driving efficiency and progress. With a strategic focus on enhancing production capabilities, Oando is well positioned to achieve its ambitious growth targets within the timeline set. As the company continues to align its operations with the objectives of the acquisition, stakeholders are eagerly anticipating the positive impact of the expanded production capacity on Oando's overall performance and contribution to the oil and gas sector in Nigeria.
Get this delivered to your inbox, and more info about about our products and services. By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.
