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Tag: Oando

  • Oando supports infrastructure development in Africa

    Infrastructure is crucial to achieving Africa’s sustainable development goal of ending extreme poverty and increasing shared prosperity. A recent World Bank study found that the poor state of infrastructure in many parts of Africa reduced national economic growth by two percentage points every year and cut business productivity by as much as 40 per cent, making Africa, in spite of its enormous mineral and other natural resources, the region with the lowest productivity levels in the world.

    Oando PLC through its subsidiary, Equator Exploration Limited, was recently in Sao Tome & Principe (STP) to reaffirm its commitment to sustainable development projects in the communities in which it operates. The company has worked in partnership with the National Petroleum Agency of Sao Tome (ANP-STP) and the government since 2005 when it started operations in STP, and in line with its Community Relations Policy, has developed and executed much needed empowerment and development projects for the country.

    On January 19, 2018, all players celebrated their joint success with a handover ceremony of state of the art ambulances to the Minister of Health, Maria de Jesus Trovoada.  Present at the ceremony was the Minister, Infrastructure, Natural Resources and Environment, Carlos Vila Nova, who praised the company for fulfilling its commitment to deliver on social investment initiatives as part of its business operations in the country.  Part of the ceremony also saw the team inspecting the ongoing road construction project, at Santa Margarida-Santa Cruz, where the Executive Director of ANP-STP, Orlando Pontes, highlighted that the road project will positively impact people’s lives and increase the value of land in surrounding areas. He went on to say that on completion, the road will better connect local communities, give safer and faster access to markets and services and will impact the country’s economic growth.

    To date, Oando has spent over       USD1.6 million on social impact projects including the donation of school buses to aid accessibility to the much-needed educational institutions unavailable in towns within STP. The company has also awarded scholarships to tertiary students, trained local business owners, donated ambulances to the National Health Service which will make a significant contribution to the health care infrastructure available to STP locals and the farm to market road construction project will have a positive impact on the community and the country as a whole.

    Oando Community Relations Manager, Sam Onyenwe, said: “Our decision to play a role in the development of Sao Tome and Principe is grounded in our philosophy that the purpose of business is ‘to do well in order to do good’. We frame all our CSR programmes on the platform of Partnership, Ownership, Win-win, Empowerment, Respect and Sustainability (POWERS). We believe that by supporting the development of our host communities, we are creating an enabling environment for the economic growth of Africa as a whole.

    Africa’s current infrastructure deficit is estimated at approximately US$ 90 billion over the next decade, with only half of that amount currently being funded. Now more than ever, the importance of Public Private Partnerships (PPPs) for the development of Africa has become increasingly apparent, evident in partnerships such as the one Oando has with ANP-STP and the STP Government who understand that the development of Africa is dependent on Africans.

    Oando Corporate Communications Manager, Obehi Ojeaga, said: “We are extremely proud of the work we have done in Sao Tome and Principe and appreciate the National Petroleum Agency of Sao Tome and the Government for their support and for seeing us as partners working together to achieve a greater good. The amiable partnership serves as an exemplary model of PPP seamlessly working to serve the public’s interest   by spurring capacity-building efforts and creating a sound environment for the vital build-up of strategic infrastructure. We can only imagine the exponential infrastructural progress Africa will possess over time if more African owned businesses implement this model.’’

  • Bright prospects as Oando, Mangal feud ends

    Bright prospects as Oando, Mangal feud ends

    Oando PLC and Alhaji Dahiru Mangal have resolved their conflict — thanks to deal a peace deal mediated by the Emir of Kano Muhammadu Sanusi II.

    Oando’s management team spent the better part of 2017 defending the company’s business and reputation following the Securities and Exchange Commission’s (SECs) investigation of its affairs on petitions raised by two shareholders, Alhaji Mangal and Ansbury Inc.

    According to a statement issued by Oando, “Alhaji Mangal has confirmed his status as a substantial shareholder in the Company and all the issues he raised in his petition to the SEC have been successfully addressed and clarified.”  This action is in line with the Company’s promise at the end of last year where it committed to the successful conclusion of the SEC investigation so that it could refocus its energy on managing the business optimally.

    Oando PLC’s Group Chief Executive, Jubril Adewale Tinubu, said: “I am pleased we have been able to reach an amicable agreement with Alhaji Dahiru Mangal and successfully address the concerns he raised in his petition to the SEC.”  Commenting further Alhaji Dahiru Mangal said: “Following the clarification I have received from Oando’s management team, I have withdrawn my petition to the SEC.

    The successful execution of the Peace Accord was mediated by the Emir of Kano, Emir Muhammadu Sanusi II (CON), who said: “The development of the Nigerian economy is hinged on local participation; it is, therefore, an imperative that as a people we come together to make indigenous participation and success a reality.  I have watched Wale Tinubu from his days in Ocean and Oil and I am extremely proud of his growth and the company he has built.

    “Oando is proudly a Nigerian company whose impact has been positively felt by every Nigerian.  The Company is evidence of the progress we have made from an international oil companies (IOCs) led sector to one that is thriving with a mix of indigenous and international players.  I call on Alhaji Mangal and Wale Tinubu to see themselves as partners focused on achieving one goal; attainable only if they have confidence and trust in one another.’’

    Following the Peace Accord and declaration of his substantial shareholding, the Company has encouraged him to exercise his rights as a shareholder by having more oversight of the Company’s affairs; the belief is that this will enable him gain a better understanding of the Company’s business development plans, initiatives and operations.

    “We encourage him to exercise his rights as a substantial shareholder and be more involved in the affairs of the Company. Shareholders must be confident in the operations of the company they are invested in; this can only occur through dialogue and active participation.’’  Wale Tinubu said.

    In addition, subject to the provisions of the SEC Code, Companies and Allied Matters Act (CAMA) and Oando’s Board Appointment Process, Oando’s Board of Directors will consider the appointment of representation for Alhaji Mangal to the Board.  Oando has reinforced its stance that its business is run above board by publicly inviting Alhaji Mangal to have more oversight of its operations and exercise his rights as a shareholder which include the right to share in the Company’s profitability, as well as have a degree of control over the selection of the Company’s management team and General Meeting voting rights.

     

  • Shareholders support Oando management

    Shareholders support Oando management

    Shareholders’ groups, yesterday, passed a vote of confidence on the management of Oando Plc for improving the fortunes of the company.

    The groups include Shareholders United Front Association (SUFA), the National Committee of Shareholders Association (SCSA), and others.

    The groups in a statement, pledged supports for Oando’s management, amid the investigation even as the Security and Exchange Commission (SEC) carries out investigation on the activities of the company.

    A member of the National Coordinating Committee of Shareholders Association, Mrs Oludewa Thorpe said the company has shown the ability to provide returns on  investments (RoI) to investors.

    She said: ‘’Having worked tirelessly to bring the company back from a loss position two years ago to four quarters of profitability, it is evident that the management team is interested in truly turning the company around.’’

    Another shareholder, Mr Gbenga Idowu, said he and his colleagues have confidence in the current management of Oando, having performed creditably for the shareholders.

    He said the recent attack on the management of Oando, by shareholders under the aegis of  Oando Shareholders Solidarity Group (OSSG) was baseless.

    Another shareholder, Alhaji Kabiru Tambari, said “I am a 100 per cent with Oando Plc. I have been a shareholder since 1991 when the company was Unipetrol.  “The current management team is truly trying its best and this is evidenced with the company’s return to profit after a period of losses.”

    He said the recent attack on the management of Oando, by shareholders under the aegis of  Oando Shareholders Solidarity Group(OSSG) is uncalled for.

  • SEC, NSE tackle Oando over preservative order prayer

    SEC, NSE tackle Oando over preservative order prayer

    The Securities and Exchange Commission (SEC) and the Nigerian Stock Exchange (NSE) yesterday urged Federal High Court in Lagos to dismiss a motion filed by an oil firm, Oando Plc.

    Oando is seeking preservative orders in a suit it filed to challenge the technical suspension imposed on its shares to allow for a forensic auditing of its books.

    It wants the court to grant the injunction pending the outcome of its appeal challenging the suit’s transfer to the Investment and Securities Tribunal (IST).

    Justice Rilwan Aikawa, on November 23, struck out Oando’s suit, holding he lacked jurisdiction to entertain it.

    The judge said the appropriate forum to for the oil firm to ventilate its grievances was at the IST.

    Dissatisfied, Oando, through its lawyer Seyi Sowemimo (SAN), appealed.

    The oil firm also filed a motion before the lower court seeking an injunction to preserve the ‘res’ (subject-matter) pending the final determination of its appeal.

    Yesterday, SEC’s lawyer Chief Anthony Idigbe (SAN), arguing a counter-affidavit filed in opposition to Oando’s motion, noted that a motion for injunction calls for the exercise of the court’s jurisdiction.

    To him, since the court had already delivered a declarative judgment in the matter, there was nothing to be stayed.

    “The court is functus officio (without jurisdiction) after delivering judgment in the matter and we are entitled to the fruits of the judgment, which is basically the preservation of the interests of Oando’s shareholders.

    “Oando should go to the IST to seek the injunction it is seeking for. They have not told the court why they cannot go to the IST. Granting any injunction will be at the risk of the investing public’s interests.

    “They have equally not told the court what they will suffer if the forensic audit is done. We urge the court not to grant this request,” Idigbe said.

    NSE’s lawyer Chief Bolaji Ayorinde (SAN) also asked the court to dismiss the Oando’s motion and to affirm its earlier ruling by declining jurisdiction.

    But, Sowemimo urged the court to grant the motion, saying it was predicated on his client’s constitutionally guaranteed rights of appeal.

    According to him, the res Oando was asking the judge to preserve was the integrity of the appeal and not the fruits of the contentious ruling delivered by the court as claimed by the respondents.

    “If the res is not preserved, the appeal will be overreached and rendered nugatory,” he said.

  • Oando asks Court of Appeal to lift suspension of shares by SEC

    Oando asks Court of Appeal to lift suspension of shares by SEC

    Oando Plc has filed an application before the Court of Appeal, Lagos Division, seeking the order of the court to lift the technical suspension imposed on its shares on the floor of the Nigerian Stock Exchange (NSE) by the Securities and Exchange Commission (SEC).

    The company,  through its lawyer, Mr. Seyi Sowemimo (SAN), went before the Court of Appeal seeking the reversal of Justice Rilwan Aikawa’s ruling..

    Oando had earlier approached the Federal High Court in Lagos to challenge SEC’s suspension of its shares and an audit of its business activities by forensic experts hired by SEC.

    Though Justice Aikawa of the Federal High Court earlier granted an interim injunction restraining SEC from carrying out the audit, the same judge, in a ruling on November 23, 2017, struck out Oando’s suit, saying he had no jurisdiction to entertain it.

    The judge said the appropriate forum to ventilate the issue was the Investment and Securities Tribunal.

    But displeased with the decision, Oando, through its lawyer, Sowemimo (SAN), went before the Court of Appeal seeking to an order of the court reversing the lower court’s  ruling.

    Sowemimo had insisted that the Federal High Court rather than the IST was the appropriate forum to hear the case.

    Sowemimo argued that the judge erred in law to decline jurisdiction because “the suit touched and concerned the operation of a company incorporated under the Companies and Allied Matters Act”.

    He said: “By virtue of Section 251(i)(e) of the Constitution, the Federal High Court is empowered to entertain CAMA-related cases”.

    He is, therefore, urging the Court of Appeal to make an order “reversing the (Justice Aikawa’s) order striking out the suit and restoring the matter to the cause list of the Federal High Court for accelerated hearing”.

    At resumed proceedings yesterday, Sowemimo informed the court about the appeal and urged the trial judge to make an order “preserving the res to prevent the appeal from being rendered nugatory”.

    But counsel for SEC and the Nigerian Stock Exchange, which was joined as the second defendant, Chief Anthony Idigbe (SAN), opposed Sowemimo’s application for the preservation of res.

    Idigbe argued that the issues canvassed by Oando in its appeal “are not substantial in law.”

    He contended that it was in the best interest of investors, shareholders and members of the public that SEC placed Oando’s shares under technical suspension.

    He said the technical suspension was to prevent panic and dumping of Oando’s shares by investors and members of the public.

    Idigbe told the court that the technical suspension was temporary and was imposed to allow for an independent forensic audit of Oando’s business activities, emphasising that there was no need for Justice Aikawa to make any order preserving the res.

    This, according to him was because “the suspension of the trading of the plaintiff’s shares in the Nigerian Stock Exchange has already been completed”.

    “The forensic examination of the plaintiff’s business activities has already commenced and the parties are waiting for the report of the said investigation.

    “The temporary suspension of trading of the shares is not a punitive action against the plaintiff but a device to protect the shares of the plaintiff from further decline because of the investigation.

    “The undertaking of the forensic examination of the plaintiff by independent experts will not prevent a return to status quo if the appeal succeeds,” Idigbe added.

    Sowemimo prayed for time to file a reply to Idigbe’s counter-affidavit.

    Justice Aikawa adjourned further proceedings in the case till tomorrow.

  • Gwarzo suspension: I won’t succumb to blackmail, Adeosun vows

    Gwarzo suspension: I won’t succumb to blackmail, Adeosun vows

    Finance Minister Kemi Adeosun Friday claimed that some vested interests were blackmailing her over her recent suspension of the Director General of the Securities and Exchange Commission (SEC) Mounir Gwarzo, and the setting up of the Administrative Panel of Inquiry instituted against him.

    She did not name the alleged blackmailers but vowed to resist them.

    The minister spoke to reporters in Abuja in response to media reports suggesting that Gwarzo’s suspension was on account of  “his refusal to stop the forensic audit of Oando Plc.”

    She said it was “this threat of blackmail that strengthened my resolve to suspend Mr. Gwarzo and allow the Administrative Panel of Inquiry to proceed with its probe.”

    Gwarzo, according to the minister, “personally delivered the memo using SEC staff seconded to the office of the Minister, in breach of normal procedures for the receipt of mail.  The copy of the memo in my possession was delivered with a message that any action against Mr. Gwarzo would result in same being leaked to the press.”

    She added: “Gwarzo’s suspension is in line with the Public Service Rules (PSRs), to allow for an unhindered investigation of serious allegations of financial impropriety against him.

    “Some of the allegations with documented evidence include the awards of contracts to companies related to him and members of his family.

    “Based on the evidence from that further work and creditable reports that documents were being unlawfully removed from SEC, as well as consultations with the Economic and Financial Crimes Commission (EFCC), the decision was taken to suspend Mr. Gwarzo.”

    Adeosun dismissed as false, insinuation that she issued an “instruction to discontinue with the Oando case,” saying “this can be corroborated by the other parties at that meeting and by subsequent events.”

    She said: “Gwarzo was queried on the 3rd of November 2017 and he responded on the 7th and based on that response I asked for more investigations to be done because he gave some responses to some issues that were unsatisfactory so we asked for further investigation to get certain facts from the CAC, and banks based on the evidence.

     “It became clear that we would need to conduct an API and therefore the laws of the Public Service say he has to be suspended.

    “Now his responses to the query of the 3rd were raised with him on Monday where he was asked to clarify matters. He was reminded that he said this, but we have evidence to another effect and it became very clear from the inadequacies of his response that he would be suspended.”

    On the Oando issue, the minister said: “he was never directed to stop his investigation into Oando.

    “In fact as I have said earlier on in my statement, in October when the original suspension of Oando took place, we had a group meeting with the leadership of the SEC not just Mr. Gwarzo but all of his team, and they presented very clear evidence that Oando had a case to answer, and we were satisfied with that and we made our position clear.”

    On investors’ confidence in the capital market, the finance minister argued that “shareholders have nothing to fear. I earned my leaving all my life from the capital market up until I entered public service; I was a capital market operator. The capital market runs on confidence and transparency it’s a very important market, the SEC is not an individual it is an institution and a very important one which must be upheld.”

  • Oando backs Nigerian creative arts industry

    Oando backs Nigerian creative arts industry

    •Oil firm promotes Lagos Photo Festival 

    Nigeria’s leading indigenous oil and gas company Oando Plc has continued to set the pace for other firms in the area of partnerships and support for Nigerian creative arts industry.

    The company recently partnered with the African Artists’ Foundation (AAF) to promote African art as well as socio-economic diversification through the month long Lagos Photo Festival.

    The oil and gas firm’s backing was informed by lack of support for the nation’s creative sector, specifically tourism, culture and arts over the last three decades, owing to the fact that the area has not been considered a key contributor to the economy.

    The creative sector, Oando Plc said, contributes generously to the foreign exchange earnings of many countries, including South Africa, Kenya, Morocco, Tanzania and the UAE.

    Unfortunately in Nigeria, the sector contributes less than 1.5 per cent to Gross Domestic Product (GDP), it added.

    However, Oando noted that the recession witnessed by oil dependent economies has awakened the country to the benefits and need for a diversified economy.

    With Nigeria successfully exiting the recession in September, the Federal Government is implementing initiatives in partnership with the private sector aimed at diversifying the economy.

    The Lagos Photo Festival, which held its grand opening at the company’s state of the art head office, Oando Wings Office Complex on November 25, will run till December 15 across various indoor and outdoor locations.

    The grand opening included a well-curated selection of over 31 of the most talented African artists, including the New York Times portfolio review finalist, Elo Osunde & Kadara Enyeasi among others.

    The festival aims to engage the public with multifaceted stories of Africa through exhibitions, workshops, artist presentations, discussions and large scale outdoor prints displayed throughout Lagos.

    Oando, in 2011, set up its independent charity – Oando Foundation – with the aim of ensuring that children in public primary schools have access to quality education.

    Through the foundation’s work, the company is actively supporting the Federal Government in realising its education development goals.  Today, Oando Foundation has successfully reduced the number of out-of-school children, adopted and renovated over 80 public primary schools across 23 states in Nigeria and impacted the lives of over 200,000 students.

    More recently, Oando joined its JV partners (NNPC and Nigeria Agip Oil Company, NAOC) to champion the Green Rivers Project (GRP) / Farmers Day, a celebration aimed at promoting the importance of agriculture in spearheading the socio-economic development and economic diversification of the country, particularly in the Niger Delta.

    Calling on for more support of the creative arts, Head, Corporate Communications, Oando PLC Alero Balogun said: “For Nigeria to achieve its economic diversification objective, the principle of subsidiarity must apply.

    “The private sector must acknowledge that the government cannot do it all and we owe it to the country we operate in to create a positive and lasting contribution.”

  • Court turns down Oando, SEC, NSE’s case

    Court turns down Oando, SEC, NSE’s case

    •Directs parties to IST

    The Federal High Court (FHC) in Lagos yesterday declined jurisdiction on the case instituted by Oando Plc against capital market regulators, directing the parties to the Investment and Securities Tribunal (IST).

    The Nigerian Stock Exchange (NSE) had on Monday October 23, 2017 placed the shares of Oando on technical suspension, “thus, the shares will be available for trading but there will be no price movement while the technical suspension subsists”. The technical suspension was part of directives from the Securities and Exchange Commission (SEC), which ordered suspension of trading on the shares and forensic audit of the operations of Oando.

    Read Also: Investors strike 14 deals as Oando remains on technical suspension

    Oando obtained an interim court order on Monday October 23, 2017, restraining the NSE and any other party working on their behalf from giving effect to the directive of the SEC to implement a technical suspension of the shares of the company pending the hearing and determination of the motion for injunction and also an order restraining the SEC and any other parties claiming through or working on behalf of the Commission from conducting any forensic audit into the affairs of the company pending the hearing and determination of the motion for injunction. However, both the NSE and SEC were served with the enrolled court order on Tuesday, October 24, 2017 after the technical suspension was carried out by the NSE on Monday, October 23, 2017.

    At the court hearing yesterday on the Oando v SEC and others (FHC/L/CS/1601/17), Honourable Justice Aikawa of the Lagos Division of the Federal High Court declined jurisdiction on the matter and consequentially struck out the suit. The cost of N20,000 was awarded against the plaintiff in favour of the first defendant-SEC.

  • Oando chief: there’s certainty in African investment

    The Group Chief Executive of Oando, Mr. Wale Tinubu, has assured global investors of the certainty of investment flow into sub-Saharan Africa.

    He gave the assurance at the Abu Dhabi International Petroleum Conference and Exhibition (ADIPEC) in the United Arab Emirates (UAE).

    Participating on a C-suite executive panel to assess the ‘Impact of Effective Disruptive Innovative Strategies’ with focus on Nigeria as one of the leading economies in Africa,  Tinubu said a bigger drive towards efficiency was paramount in operations across the value chain due to the current climate of lower oil prices.

    He said: “Technology tends to be innovative and on a trial and error basis with more of the ‘independents’ like Oando. Decision-making is faster, cheaper and predominantly off-the-shelf technology is more readily available in sub-Saharan Africa at different price levels. Many opportunities arise to test out these technologies although many challenges still prevail.”

    The gathering established that it may be hard to implore useful techniques and technologies as people and organisations are sometimes averse to explore new territory because of the high risks involved. However, it was noted that innovation is obtainable at every level of the industry once one is able to determine the complications and offer viable solutions.

    Tinubu closed the meeting on a positive note by pointing out that in sub-Saharan Africa, “there’s certainty in investment today.”

    ADIPEC provides a unique platform for high level discussions on the future of the global oil and gas industry, focusing on current challenges, solutions and trends that will provide a positive and lasting impact for all.

  • Oando JV boosts agric in Niger Delta

    Oando and its Joint Venture (JV) partners – the Nigerian National Petroleum Corporation (NNPC) and Nigeria Agip Oil Company (NAOC), have given a boost to agriculture through training and giving assistance to farmers leading to greater awareness on what farmers should do to increase yield.

    As a result of the increased awareness on the agric sector’s growth potential, oragnisations such as USAID and Oando and its JV partners, have invested in improving agricultural practices in the country.

    According to the Mission Director of USAID Nigeria, Michael T. Harvey, “Public-Private Partnerships are a proven way of expanding investment in agriculture, improving both efficiency and productivity.”

    In 2015, Oando joined its JV partners for the first time, to support the Green Rivers Project (GRP) / Farmers Day celebration. Since then, the company has been an active participant of the initiatives.

    The GRP aims to increase agricultural productivity and prevent further deterioration of the soil through the use of better farming techniques; enhance farmer’s income, improve the quality of life of farmers through the adoption of improved and sustainable farming systems and therefore contributing to the improvement of the livelihood of the households in NAOC operational communities of Rivers, Bayelsa, Imo and Delta states.

    In commemoration of the 2017 GRP, Oando JV held the annual Framers Day celebration in Igbogene, Bayelsa State.

    Speaking at the event, the CEO, Oando Energy Resources, Olapade Durotoye, said: “We have taken it upon ourselves to re-orientate members of our host communities, particularly the unemployed youths to embrace agriculture as a viable future for the Niger Delta and Nigeria at large.

    “The hard truth is that beyond the oil and gas sector, greater opportunities abound in other sectors of the economy and we must take advantage of this.”

    Oando acknowledged the untiring efforts shown by farmers in providing sustenance for the country’s ever-growing population, providing raw materials to the nation’s industries, and contributing substantially to the nation’s foreign exchange earnings through its Corporate Social Responsibility initiatives.

    “Today, through our GRP programme the joint venture partners – NAPIMS/NAOC/OANDO have set the pace for our peers to follow. We have successfully sensitized our community based farmers on the importance of agriculture through the introduction of high yielding planting materials, fisheries activities, and formation of Cooperative Societies to access our Micro-Credit scheme,” Durotoye said.