Oando PLC has reported a strong financial performance for the first half of 2026, with revenue rising 20% year-on-year to ₦2.1 trillion, supported by higher production, improved operational performance and continued cost optimisation across its upstream operations.
According to the company’s unaudited financial results for the six months ended 30 June 2026, profit after tax increased 8% to ₦68.6 billion, while gross profit surged 331% to ₦101 billion. Oando attributed the improved profitability to lower transport, logistics, ICT and service costs, combined with increased production from its expanded upstream portfolio.
The company’s upstream operations recorded a 92% facility uptime, up from 85% a year earlier, driving a 16% increase in average production to 42,789 barrels of oil equivalent per day (boepd). Crude oil production rose 19% to 12,358 barrels per day, gas production increased 14% to 28,497 boepd, and natural gas liquids (NGL) production climbed 16% to 1,935 boepd. The growth was supported by new drilling activities, the restoration of 12 previously shut-in wells and continued improvements in facility reliability across OMLs 60–63.
Group Chief Executive Wale Tinubu said the company has reached an important stage following the integration of one of Africa’s largest upstream acquisitions, with stronger operational efficiency, improved asset integrity and lower production costs supporting higher output. During the period, Oando reduced production operating costs by 18% to US$16.83 per barrel of oil equivalent while advancing its development programme through new drilling campaigns and extensive rig-less well intervention activities.
Oando’s trading business also expanded, with crude trading volumes increasing 2.1% to 13.15 million barrels, supported by crude marketing programmes and increased sourcing from marginal field producers. The company plans to further expand its trading activities during the second half of the year while continuing its seven-well drilling programme and approximately 100 well intervention activities across its portfolio.
Looking ahead, Oando reaffirmed its full-year production guidance of between 40,000 and 50,000 boepd and revised its trading guidance to between 22 million and 26 million barrels. The company is also progressing a rights issue, a US$1.5 billion multi-instrument fundraising programme and broader balance sheet restructuring to strengthen its financial position and support future growth.
