Oando Plc is planning to increase its oil and gas production to about 100,000 barrels of oil equivalent per day (boepd) in the medium term, supported by 62 development wells and 55 planned well interventions.
The company disclosed this in its unaudited half-year 2026 results, stating that it aims to achieve production of around 50,000 boepd this year. To meet the target, Oando is prioritising a seven-well drilling programme alongside interventions across its existing portfolio.
Oando’s average production reached 42,789 boepd in the first half of 2026, representing a 16 per cent increase compared with the same period last year.
During the period, the company completed two land development wells, while drilling continued on another. A second drilling rig is also being mobilised to speed up activities across its operated assets.
The company is undertaking additional rig-less well interventions to restore output from existing wells, maintain production levels and limit the impact of natural field decline.
Group Chief Executive, Wale Tinubu, said the company’s immediate focus remained on completing its seven-well programme and well intervention campaign while working towards its 2026 production target.
He said the 62 identified development wells and 55 planned interventions would provide the foundation for Oando’s medium-term goal of approximately 100,000 boepd.
Oando also recorded an improvement in its production costs during the period. Operating costs declined by 18 per cent to $16.83 per barrel of oil equivalent, compared with $20.62/boe in the first half of 2025.
The company attributed the reduction to cost-saving measures covering transportation, logistics, services and information technology, as well as increased production spreading costs across its largely fixed field operations.
Oando retained its 2026 production forecast of between 40,000 boepd and 50,000 boepd, while planned capital expenditure stands at between $90m and $100m, mainly for short-cycle upstream projects.
The company’s stronger upstream position, following its recent asset acquisitions, is expected to support further production growth as it focuses on improving cash flow and controlling costs.
Financially, Oando reported a 20 per cent increase in first-half revenue to N2.06tn, while profit after tax rose by eight per cent to N68.6bn. Operating cash flow stood at N179.5bn.
Tinubu also disclosed plans for a fundraising and balance-sheet restructuring exercise aimed at improving the company’s capital structure, working capital and financial flexibility.
He said the measures would help provide the funding needed to accelerate the company’s expansion and generate stronger long-term returns for shareholders.
