The Nigerian National Petroleum Company Limited (NNPC) announced yesterday in Abuja the acquisition of Oando’s OVH Energy, a move aimed at expanding the national oil company’s portfolio.
The licensee of the Oando retail brand is OVH Energy Marketing (OVHEM) Limited, and the custodians of the Lagos Midstream Jetty are ASPM Limited.
The new move, which falls under the NNPC’s Accelerated Network Expansion (ANEX), adds OVH downstream assets to the existing NNPC downstream business, including a reception jetty (ASPM) with 240,000MT monthly capacity, eight LPG Plants, three Lubes blending plants, three Aviation Depots, and 12 warehouses.
The acquisition would also add over 380 new filling stations under the NNPC Retail brand in Nigeria and Togo, bringing the national oil company’s total number of outlets to 1,500.
Speaking at an event to welcome OVH Energy to NNPC, Group Chief Executive Mele Kyari described the new acquisition as a step toward growth, ensuring energy security, and making money for Nigerians.
“As of today at this moment, we’re the largest downstream company in the country. We also know that by this partnership, by this acquisition, by this merger, that’s what we want to call it. We’re also very likely to be the largest downstream company in Africa.
Kyari decried Nigerians’ reliance on biomass for cooking, emphasizing that the people deserve clean cooking to mitigate the effects of climate change.
He stated that the NNPC would not disrupt the OVH workforce but rather integrate and collaborate with them.
Huub Stokman, Chief Executive Officer of OVH Energy, stated that the acquisition came at a critical juncture in the history of Nigeria’s energy sector, particularly with the passage of the PIA.
He said that the company’s progress over the years would have been impossible without the workforce’s tenacity.
He emphasized the importance of prioritizing natural gas to meet energy transition goals.
