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[The results discussed in this press release are presented in accordance with Nigerian GAAP]
- Yearly growth in performance across all divisions
Oando PLC, Nigeria’s leading indigenous energy group with a primary listing on the Nigerian Stock Exchange and a secondary listing on the Johannesburg Stock Exchange, today announces a Profit After Tax of N8.8billion for nine months period ended 30 September, 2010, representing 31% growth when compared to the same period in 2009.
Financial Highlights:
- Gross profit grew by 63% from N9.3billion for the corresponding period in 2009 to N15.19billion in 2010
- Turnover grew by 10% from N252.8billion for the corresponding period in 2009 to N277.5billion in 2010
- Profit After Tax grew by 31% from N6.7billion for the corresponding period in 2009 to N8.8billion in 2010.
Operating Highlights:
- Second rig commenced drilling contract with an International Oil Company (IOC)
- Successfully completed rental agreements for an additional rig to commence operations with another IOC
- Spudding and drilling of additional well on the Abo Field in OML 125
- Construction work at Eastern Horizon Gas Company Limited’s 128km pipeline project is ongoing
Commenting, Wale Tinubu, Group Chief Executive, Oando PLC said, “We are pleased to announce our financial performance for the nine month period ended 30 September, 2010 which reflects an overall improvement from our business divisions.
In this period, our upstream division commenced preparations for the development of the Akepo field (OML 90) and look forward to production in Q2 2011, we also embarked on the refurbishment of our third rig, which will be deployed in Q2 2011; in the Midstream, revenue generation increased due to the additional connects on our gas pipeline network, with cumulative connects now at 109 customers; the Downstream division led the market in distribution and importation of petroleum products.
For the last quarter of the year, we continue to focus on operational excellence in a bid to drive margins. In the upstream, we have commenced exploratory drilling on OML 134 and look forward to reserves growth, we will also conclude on refurbishment plans for our fourth rig. Construction continues on our midstream asset, the 128km south-eastern gas pipeline with completion expected early in 2011, thereafter we look forward to executing an additional gas pipeline franchise. The Downstream division will be partially divested and listed as a new entrant on the Nigerian Stock Exchange as a pure play petroleum marketing company in the near future.
Barring unforeseen circumstances, we expect a stable outlook for the rest of the year and look forward to an exciting year end”.
Ends
