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Oando Plc has increased its average daily production by 14 per cent to 42,985 barrels of oil equivalent per day (boepd) in the first nine months of 2026.
This was driven by higher output across its crude oil, natural gas and Natural Gas Liquids (NGL) assets.
The indigenous energy company, in its unaudited nine-month results ended September 30, 2026, said the production growth from 37,614 boepd recorded in the corresponding period of 2025 reflected improved operational efficiency, higher facility uptime and increased investment in its upstream portfolio.
Crude oil production rose 12 per cent to 12,193 barrels per day, while gas output increased 13 per cent to 28,689 boepd. NGL production recorded the strongest growth, rising 53 per cent to 2,103 barrels per day.
The company said improved operational performance was supported by a 96.1 per cent facility uptime, compared with 85 per cent in the corresponding period of 2025, while production operating costs declined 22 per cent to $15.39 per barrel of oil equivalent (boe).
Commenting on the performance, Group Chief Executive, Wale Tinubu, said improved operational efficiency, increased investment and stronger asset reliability under the company’s operatorship were translating into higher production across its expanded upstream portfolio.
According to him, the company is recording improved reliability, lower unit costs and higher production as it intensifies development activities across its operated assets.
The production increase also translated into higher sales volumes, with crude oil liftings rising 43 per cent to 3.97 million barrels, while natural gas sales increased five per cent to 34.01 billion standard cubic feet (Bscf).
NGL sales surged 90 per cent to 570,000 barrels, pushing total exploration and production sales volumes up 21 per cent to 10.21 million barrels of oil equivalent.
To sustain the production momentum, Oando invested N110.7 billion in capital expenditure during the period, with a significant portion directed towards drilling activities across Oil Mining Leases (OMLs) 60–63.
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Its seven-well drilling programme for 2026 is progressing across its operated assets. The company said Idu 6ST and Idu 15 had been completed and brought on stream, while workovers at Samabri 4T and Samabri 7T had also been completed.
Drilling is ongoing at Idu T and Samabri A50, with the final well, Ogbainbiri, scheduled to commence in December.
Upon completion, the campaign is expected to deliver an additional 16,000 to 20,000 boepd in gross production, helping to offset natural field decline and sustain output growth.
The programme is also central to Oando’s medium-term ambition of raising production to approximately 100,000 boepd within the next four to five years. The company has consequently narrowed its full-year 2026 production guidance to between 40,000 and 45,000 boepd, while projecting capital expenditure of $90 million to $100 million, largely focused on high-impact, short-cycle upstream activities.
Beyond production growth, Oando said its operating performance improved significantly, with gross profit rising 483 per cent to N174.5 billion from N29.8 billion, while operating profit stood at N159.7 billion against an operating loss of N109.7 billion in the corresponding period of 2025.
Revenue increased nine per cent to N2.78 trillion, supported by higher crude oil output, increased gas and NGL sales and improved realised prices.
Cash generated from operations reached N285 billion, while total borrowings declined to N2.16 trillion, representing a 22 per cent reduction from the peak recorded at the end of 2024.
Tinubu said the company would prioritise completion of its drilling programme, sustaining operational reliability and strengthening its balance sheet through an impending equity raise.
He added that the initiatives would reduce leverage, improve the company’s capacity to finance further growth and support future shareholder distributions.
Oando said it remained focused on unlocking the potential of its upstream assets through sustained investment, operational efficiency and increased production.
