By Ayomide Otitoju
Oando PLC, Africa’s leading indigenous energy solutions provider, has released its unaudited results for the full year ended December 31, 2025, reporting a 32% year-on-year increase in upstream production to an average of 32,482 barrels of oil equivalent per day (boepd).
The growth was driven by a 36% rise in crude oil output to 11,269 barrels per day (bpd), a 24% increase in gas production to 19,982 boepd, and a 715% surge in natural gas liquids (NGL) production to 1,231 bpd. The company attributed the gains to the full-year consolidation of the NAOC Joint Venture, improved operational uptime from previously constrained wells, and targeted infrastructure upgrades.
Profit after tax rose 10% to ₦241.3 billion, up from ₦220.1 billion in 2024, supported by higher upstream production, impairment reversals, and favourable tax adjustments. However, revenue declined 21% to ₦3.21 trillion from ₦4.09 trillion, while gross profit fell 82% to ₦27.8 billion, reflecting Oando’s shift from lower-margin refined-product trading to higher-margin crude and gas trading, as well as the impact of non-cash items.
Commenting on the results, Group Chief Executive Wale Tinubu, CON, said, “2025 was a year of relentless execution as we successfully transitioned from the integration of the NAOC Joint Venture into operational delivery. We reinforced asset integrity, strengthened security, and materially improved uptime, delivering a 32% increase in total production.”
Oando also launched its development drilling programme, completing the Obiafu-44 gas-condensate well, the first milestone in a phased 36-well project aimed at restoring field deliverability and boosting production.
In trading, the company recorded a 42% increase in crude oil cargos traded, rising to 26 cargos (29.4 million barrels) from 21 cargos (20.7 million barrels) in 2024. Oando paused premium motor spirit (PMS) trading to focus on higher-margin crude and gas opportunities, strengthening global exports and leveraging structured offtake and pre-export financing to support liquidity and cash flow.
The period also saw increased capital expenditure on upstream development, facility integrity, and infrastructure optimisation, alongside $17.7 million in cost savings from contract optimisation. Retained earnings returned to positive territory following intra-group balance sheet realignments, enhancing the company’s financial resilience.
Looking ahead, Tinubu said, “With operational control firmly embedded and the foundations for growth established, our focus is on executing our development programme to accelerate production, strengthen cash generation, and enhance long-term value. In 2026, we will continue to allocate capital prudently, deepen operational resilience, and build on the momentum achieved.”
