Oando Plc says it implemented a “strategic pause” on petrol imports due to rising local production by Dangote refinery.
Wale Tinubu, group chief executive of Oando Plc, spoke while commenting on the company’s recently released 2025 financial reports, covering the firm’s first half (H1) and nine-month operations.
He said the company’s trading segment faced challenges which exerted pressure on the entity’s revenue and the group’s topline “as a result of declining PMS imports into the country due to rising local refining capacity from the Dangote Refinery, a positive development that enhances Nigeria’s energy security and self-sufficiency”.
“In response, we diversified our crude offtake sources, optimized trade flows, and expanded into LNG and metals,” Tinubu said.
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He said the initiatives are already yielding results and will support stronger performance in the second half (Q2) of 2025.
“Across our trading business, refined products volumes remained under pressure, largely due to the well-deserved and expected success of the Dangote refinery in meeting Nigeria’s import needs,” Tinubu added.
“Consequently, our focus has shifted to expanding global crude exports and leveraging structured pre-export transactions, an area in which we have continued to record robust success.”
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‘REVENUE DECLINED BY 20% OVER REDUCTION IN PETROL IMPORTS’
According to the document, from January to September, Oando’s revenue declined by 20 percent year-on-year to N2.5 trillion (from N3.2 trillion) primarily due to the reduction in petrol imports following the ramp-up of the Dangote refinery.
The development, the company said, has “positively transformed Nigeria’s refined-product supply landscape, partly offset by stronger upstream contribution”.
Oando also said no petrol cargoes were traded during the period, “following a deliberate strategic pause as the Division rebalanced its portfolio towards higher-margin crude and gas trading opportunities”.
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