Yemisi Izuora
Indigenous oil producer Oando Energy, has predicted a surge in revenue for Nigeria, due to the Iran war, which has damaged the Gulf’s reputation as a safe operating environment.
Its Group Chief Executive Wale Tinubu said, challenges in the Strait of Hormuz have shown that “the Middle Eastern premium you got from being a stable environment to produce hydrocarbons has been shattered.
Tinubu, made the projection in an interview with Bloomberg TV on the sidelines of the Africa CEO Forum in the Rwandan capital, Kigali.
The firm, which operates oil and gas facilities in Nigeria’s Niger Delta region, has seen demand from Europe and Asia.
Tinubu projects oil prices will remain in the $70 to $80 range even once hostilities cease, as it will take time for affected oil producers to restore output. The company produced an average 32,500 barrels of oil per day in 2025.
Oando plans to drill seven new oil wells by the end of the year, which will lift output by 10,000 barrels per day, Tinubu said.
To support its growth and acquisition plans, the company aims to raise up to $750 million over the remainder of 2026 through a mixture of debt and some equity.
The company’s operations continue to expand internationally, with a production-sharing contract signed in Angola for an onshore block in the Kwanza Basin.
Oando is also interested in assets across West Africa and as far as Guyana and Suriname, Tinubu said.