Oando Workbook 1

Building Africa leading integrated solutions company

www.oandoplc.com

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Oando is Africa’s leading indigenous energy solutions provider. The company started operations as a

petroleum products marketing company and has evolved into an integrated energy group with

investments across the entire energy value chain – downstream, midstream and upstream.

In the downstream, Oando Marketing is Nigeria’s leading oil retailer. Through its over 600 retail outlets

strategically located nationwide, Oando is guaranteeing adequate petroleum product supply in Nigeria

while Oando Supply and Trading subsidiary bridges the gap between supply and demand through

importation of petroleum products.

INTRODUCTION

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The mid stream has Oando Gas and Power, it is pioneering the distribution of natural gas through

pipelines to industrial hubs in Lagos. The company has a 100km gas pipeline network in Lagos, Oando Gas

and Power is also replicating the infrastructural investment in the South East of Nigeria with the

construction of a 128 km pipeline from Akawa Ibom to Cross River states. The grid will be the backbone

for future expansion to the vibrant South East industries.

In addition, Oando Gas and Power has commissioned its first independent Power

Plant to herald its entry into the power sector. The gas-fired

12.15 megawatts power plant leverages the Gaslink grid in Lagos provides

uninterrupted electricity to Lagos Water Corporation (LWC). This project

boosts the efficiency of LWC BY 300%.

INTRODUCTION

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Oando is also making its mark in the upstream sector. With five swamp rigs in its fleet, Oando Energy

Services is Nigeria’s largest indigenous drilling contractor. The company, from a track record of consistent

performance, has evolved as the preferred partner of choice to international oil companies in the oil and

gas industry.

Oando Exploration & Production has a portfolio of strategic assets in producing and near term and with a

set target of 100,000 barrels of oil per day, the subsidiary is set to accelerate the group’s vision of

emerging Africa’s premier integrated company oil major.

INTRODUCTION

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UPSTREAM

OML 125

OML 134

OPL 282

OPL 278

AKEPOOML 90

OBODETI/OBODUGWA

OML 56

OPL 236

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OML 56 Obodeti-ObodugwaUPSTREAM

OBODETI/OBODUGWA

OML 56

Capex: $7.3m

Status: Producing

Partners: Energia

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OML 125UPSTREAM

OML 125

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OML 90 AkepoUPSTREAM

AKEPOOML 90

Capex: $32.5m

Status: Producing

Partners: Sogenal

Oando Team onboard Noble Rig at the completion of a test drill on Akepo oilfield

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Oando Rig Acquisition

In 2007, Oando made a bold move into rig drilling services provision, earmarking $500 million for the acquisition of a rig fleet

Today, Oando Energy Services (OES) is Nigeria’s largest indigenous rig service provider with 5 swamp rigs in its fleet

UPSTREAM

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Oando Rig Acquisition - OES Teamwork

3000HP swamp drilling barge

10,000 psi BOP systems

It has a DRECCO built mast

Substructure with rated static hookload capacity of 1.1M lbs

Capable of drilling up to 25,000 ft deep wells

UPSTREAM

OES TEAMWORK

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Oando Rig Acquisition - OES Respect

3000HP swamp barge10,000psi BOP systemsIt has a pyramid built mastSubstructure with static hookload rating of 1.5M lbsCapable of drilling up to 25,000 ft deep wells

UPSTREAM

OES RESPECT

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Oando Rig Acquisition - OES Passion

3000HP cantilever swamp barge

10,000psi BOP systems

Capable of drilling multiple well slots at the same location

It has a pyramid built mast

Drilling unit has a static hookload rating of 1.5M lbs

Capable of drilling up to 25,000 ft

UPSTREAM

OES PASSION

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Oando Rig Acquisition - OES Integrity

3000HP modern swamp barge

15,000 psi BOP systems

Superior Derrick built mast

Promet substructure static hookload capacity of 1.5M lbs

Capable of drilling up to 30,000 ft deep wells

UPSTREAM

OES INTEGRITY

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Oando Rig Acquisition - OES Professionalism

3000HP swamp barge

10,000 psi BOP systems

Equiped with a Pyramid mast

Substructure with static hookload rating of 1.5M lbs

Capable of drilling up to 21,762 ft deep wells

UPSTREAM

OES PROFESSIONALISM

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Capacity and expertise

Oando rigs are manned by highly skilled, trained and competent Nigerians with strong Environmental Health Safety and Quality standards. The company’s unique community relations strategy, has endeared it to the host communities in Niger Delta

UPSTREAM

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Health and Safety

The strong Environmental, Health and Safety culture of our team of professionals, who are dedicated to fostering world-class standards at all drilling operations, has helped guarantee a safe and incident free work station since the commencement of drilling operations

UPSTREAM

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Midstream

The Oando Group, represented in the midstream sector by Oando Gas & Power (OG&P) has been a

significant contributor to the development of the midstream sector. Gas link, a subsidiary of OG&P

pioneered the pipeline construction of natural gas to industries in Lagos, Nigeria’s nerve centre and its

committed to building similar infrastructure in other parts of Nigeria.

The power division of OG&P which leverages the company’s gas network to provide captive power

solutions, commissioned its first independent power plant in the first quarter

of 2010. The gas-fuelled 12.15 megawatts IPP supplies stable electricity to

power Lagos Water Corporation facilities to optimise water provision

to millions of Lagos residents.

MIDSTREAM

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Gas Assured

Gaslink deployed a phased expansion programme in

the development of its grid that now covers 100 km

of the metropolis and industries centres.

MIDSTREAM

• Another 4.2km Ikeja IB pipeline commissioned 2002

• In 2004, an 84km Greater Lagos 2 (GLII) pipeline

network was added to the grid. GLII delivers gas from

the City Gate in Ikeja to Ojota, Ilupeju, Matori, Isolo,

Amuwo Odofin, Iganmu and Apapa industrial layouts in

Lagos

• An additional 38km Greater Lagos 3 (GLIII) pipeline

expansion was commissioned in 2008 to deliver gas to

Apapa, Tin Can Island and environs.

• The 10km Ikeja IA pipeline was commissioned in 2001

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Gas Assured

As Lagos master plan is built without recourse to gas infrastructure, Gaslink’s GLL II & III projects were

constructed through challenging built up areas without safety or environment incidence.

MIDSTREAM

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Gas Assured

The challenging nature of the expansion meant that Gaslink had to construct several detours to avoid the

other unstated infrastructures such as water pipelines, underground drainages in its right of way.

MIDSTREAM

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Gas Assured

The Gas pipeline expansion has opportuned industrial giants like BUA Sugar to convert to clean, safe and

environmentally friendly energy.

MIDSTREAM

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Oando’s South East Pipeline Project

EHGC workers at the

commencement of the South East

128km pipeline construction in

Calabar, Cross River State

Work at a challenging terrain that

include forest, hills rocks and seven

river crossings.

MIDSTREAM

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Akute Power Project

The gas fuelled 12.15 megawatt plant will power Lagos Water Corporation’s

main water intake facility, including two other facilities with a combined

installed 125 million gallons of water per day.

According to the Lagos State Government, utilising natural gas as fuel for the

plant will “reduce carbon emission by 30% reduction from the Lagos Water

Corporation”.

To Supply natural gas to the plant, a 13km gas pipeline was constructed from

Gaslink’s 100km grid in Lagos.

MIDSTREAM

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Downstream

Oando Marketing’s retail outlets are one-stop centres for customer’s energy and household needs. Its

forecourts provide opportunity for premium refined petroleum products such as fuels, lubricants,

automatic transmission fluids. Liquefied Petroleum Gas (LPG), greases and insecticides in addition to the

non fuel revenue offerings such as confectionaries, fast-food store, outdoor automated

teller machines and auto-mechanic mini workshop.

Oando Marketing controls a significant share

of the Nigeria’s petroleum

products market.

DOWNSTREAM

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Liquefied Petroleum Gas (LPG)

Oando Marketing launched a pioneering Liquefied Petroleum Gas (LPG) retailing platform known as Oando

Pay As U Gas in a bid to boost domestic consumption of gas and help reduce deforestation in Nigeria. This

innovation, involves on-the-spot dispensing of LPG using a pump meter into customers cylinders and

instant collection of gas and cylinder by the customer from the station of purchase.

DOWNSTREAM

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Community Relations

Oando is actively involved in the provision of Social amenities and improving the quality of life in the host

communities.

COMMUNITY RELATIONS

Mass water transit

Teachers living quartersWater transportation for riverine communities

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Oando’s Adopt-A-School Programme

Renovated classroom block in government Primary School Ekonirim, Calabar, Cross River State

ADOPT-A-SCHOOL

Before Before

After

After

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Oando’s Adopt-A-School ProgrammeADOPT-A-SCHOOL

Before

After

Renovated classroom block in Daura Primary School, Daura, Katsina State