megawealth01:
Aradel To Acquire NNPC, Totalenergies Oil Fields

https://punchng.com/aradel-to-acquire-nnpc-totalenergies-oil-fields/

Bulaba should have given Oando this too

ositadima1:


$19b is minor.

KarlTom:
I dropped the ENI FY20323 report here some days ago (I will search for it again).
I asked myself the bolded and took time to search for answers...

NB: Mobil, Shell and co are also selling some of their assets.
I will bring this up again AFTER the deals are completed...

I am in the industry...

KarlTom:
I dropped the ENI FY20323 report here some days ago (I will search for it again).
I asked myself the bolded and took time to search for answers...

NB: Mobil, Shell and co are also selling some of their assets.
I will bring this up again AFTER the deals are completed...

I am in the industry...

ositadima1:


Why did Agip agree to sell for just $783 million, not even reaching a billion, if the asset promises substantial returns? Were they under some juju when they signed it away to Oando? Also, it's more cheaper to build a new refinery rather than purchasing those existing ones, same with that Ajaokuta steel. You'll end up sinking a significant amount of money just to bring them up to functionality and modern standards. Take your time and conduct thorough research.

ositadima1:


Why did Agip agree to sell for just $783 million, not even reaching a billion, if the asset promises substantial returns? Were they under some juju when they signed it away to Oando? Also, it's more cheaper to build a new refinery rather than purchasing those existing ones, same with that Ajaokuta steel. You'll end up sinking a significant amount of money just to bring them up to functionality and modern standards. Take your time and conduct thorough research.

megawealth01:


He is insulting our Oando. OANDO is bigger than SEPLAT.

Who is SEPLAT to compare with a whole bulaba Oando?

KarlTom:
I dropped the ENI FY20323 report here some days ago (I will search for it again).
I asked myself the bolded and took time to search for answers...

NB: Mobil, Shell and co are also selling some of their assets.
I will bring this up again AFTER the deals are completed...

I am in the industry...

godlyguy:


SEPLAT not in the same class with your oando

Raider76:
Oando traded 93.8m shares worth N6.8b. Clearly institutional buyers at play. Probably Wale himself was buying.

robobo:


You dont need to go too far. check the notes to the last FY report published by oando and you would see that oando and naoc where already in arbitration for a judgement debt of over >$200m which is heavily tilted in favour of oando (such that naoc had to quickly get an appeal against enforcement) the Oando-Naoc deal subsequent to that judgement was to be settled net of the judgement debt (this is also in the notes in the same financial report.

Pesuzok:


There are somethings we won't know why they sold for that price. They are divesting, it's difficult operating onshore, then I suspect opl 245, check the latest news on that.

Zagee:


Marginal fields are for small players. Kpatapkata, 10-20yrs life span.

robobo:


You dont need to go too far. check the notes to the last FY report published by oando and you would see that oando and naoc where already in arbitration for a judgement debt of over >$200m which is heavily tilted in favour of oando (such that naoc had to quickly get an appeal against enforcement) the Oando-Naoc deal is subsequent to that judgement. the deal was to be settled net of the judgement debt (this is also in the notes in the same financial report).

ositadima1:


Why did Agip agree to sell for just $783 million, not even reaching a billion, if the asset promises substantial returns? Were they under some juju when they signed it away to Oando? Also, it's more cheaper to build a new refinery rather than purchasing those existing ones, same with that Ajaokuta steel. You'll end up sinking a significant amount of money just to bring them up to functionality and modern standards. Take your time and conduct thorough research.

mikeapollo:


Does that mean that Oando would have paid cash of about $583m for the ENI deal?

robobo:


i mean real price / value could have been $900-$1b and the 783 paid was net of the pending judgement debt of >$200m.

$900-$1b looks more near to real price/ value if you consider what other oil major divestment figures were (including oando/ conoco)

ositadima1:


I downloaded it and reviewed it that day, but I didn’t see where the revenue from Nigerian operations was stated. Ok, aside from that, you might be thinking their focus on green energy explains the sale, but it still doesn’t justify selling so cheaply if it’s worth more.

Hopefully, Oando and Tinubu will manage it better than the Italians, but that remains to be seen.

megawealth01:


One of our rules in Bulaba firm is we don't do research. We just have the confidence that our uncle will help us move it to $1 soon

ositadima1:


I downloaded it and reviewed it that day, but I didn’t see where the revenue from Nigerian operations was stated. Ok, aside from that, you might be thinking their focus on green energy explains the sale, but it still doesn’t justify selling so cheaply if it’s worth more.

Hopefully, Oando will manage it better than the Italians, but that remains to be seen.

KarlTom:
The bolded was not explicitly stated but they indicated that NAOC (and a few others) was having an impact on the Group's Financials mainly because their partners AND NNPC were owing / not fulfilling their part of the agreement.
Some other reasons for their exit were also stated (see attached SC)...

May I also add that IOCs pay attention to work place ethics and working conditions.
They are compelled to pay premium insurance to get their staff to work in highly volatile areas/countries.

megawealth01:


That rumors and that news alone moved Aradel from $4+ to it's current price of $7k+ so it's not small

mikeapollo:


The issues that pulled back Oando were the various boardroom squabbles, shareholders and SEC issues.
Right now, in terms of the industry, oil reserves and productive assets, Seplat and Oando are virtually contemporaries .
Don't be surprised to see Oando going for four figures like Seplat, in the long term.

ositadima1:


When it comes to work ethics and conditions, Agip is the worst of them all. I once worked at the Ebocha Oil Center, one of their storage, preprocessing, and distribution fields, and I know what I witnessed there. Oando has been collaborating with Agip for quite some time—I remember seeing them during my time there. Most of the operations were already being run by Nigerians. I believe they had a few Italians at their gas plant in Omoku.

But do you really think the issues of insecurity, volatility, and asset theft will disappear once Oando fully takes charge?

BabsO2:


Looking at number of shares SEPLAT has 588 million shares while OANDO 12,431 has

ositadima1:


When it comes to work ethics and conditions, Agip is the worst of them all. I once worked at the Ebocha Oil Center, one of their storage, preprocessing, and distribution fields, and I know what I witnessed there. Oando has been collaborating with Agip for quite some time—I remember seeing them during my time there. Most of the operations were already being run by Nigerians. I believe they had a few Italians at their gas plant in Omoku.

But do you really think the issues of insecurity, volatility, and asset theft will disappear once Oando fully takes charge?

mikeapollo:


Yes, that is what gives superior returns and higher value to shareholders of Seplat.
My comparison is not based on the bottom line, but the top lines e.g. oil reserves, barrels of oil produced, turnover, number of OML/OPL etc.
In terms of bottom line, Seplat has been more profitable, has fewer number of shares, pays dividend consistently and has a more stable management.

KarlTom:
Sorry about your experience. You'll agree that palms will be oiled to overlook these laws when it concerns locals compared to expatriates

It is easier and cheaper to negotiate with Nigerians than with expatriates...

PS: Alhaji M.A. Dokubo is a 'friend' of the government

Willie2015:


U dey make me laugh...
Na statistics we go chop...