Oando Plc has entered into an agreement with the Italian firm Eni to acquire the entire share capital of Nigerian Agip Oil Company Limited.

The company’s Company Secretary, Ayotola Jagun, issued a statement on Monday, revealing that the completion of the deal is contingent upon ministerial consent and the fulfillment of other necessary regulatory requirements.

This acquisition significantly enhances Oando’s existing interests, as it sees the company’s ownership stake in OMLs (Oil Mining Leases) 60, 61, 62, and 63 increase from 20 percent to 40 percent.

Oando’s ownership stake in all NEPL/NAOC/OOL (Nigerian Eastern Petroleum Limited/Nigerian Agip Oil Company Limited/Oando Oil Limited) Joint Venture assets and infrastructure has grown substantially.

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This includes forty oil and gas fields, of which 24 are presently in production, around forty identified prospects and leads, twelve production stations, approximately 1,490 kilometers of pipelines, three gas processing plants, the Brass River Oil Terminal, and the Kwale-Okpai phases 1 & 2 power plants with a combined nameplate capacity of 960MW, along with associated infrastructure.

Wale Tinubu, the Group Chief Executive of Oando, expressed his thoughts on the transaction, highlighting the opportunities it would unlock, such as realigning expectations, boosting efficiency, optimizing resource allocation, and significantly increasing production.

He emphasized that this milestone aligns with Oando’s strategy of acquiring, enhancing, assessing, and efficiently developing reserves.

Tinubu also underscored the vital role indigenous companies would play in the Nigerian upstream sector’s future, stating that this achievement demonstrates the significance of domestic actors in shaping the industry’s trajectory.