Oando calls for amenable capital to drive upstream growth
Oando Plc has called for a rethink of the financing approach to ensure adequate and amenable capital for the growth of Africa’s upstream oil sector. The indigenous energy group also
Oando Plc has called for a rethink of the financing approach to ensure adequate and amenable capital for the growth of Africa’s upstream oil sector.
The indigenous energy group also underscored the importance of collaborative leadership, disciplined capital structures, and risk management in sustaining Africa’s upstream momentum and unlocking financing for long-term energy development.
Managing Director of Oando Energy Resources, Dr. Ainojie ‘Alex’ Irune, and General Manager, Commercial, Oando Energy Resources, Mr. Akinbambo Ibidapo-Obe, who spoke at the Nigeria International Energy Summit (NIES) 2026, articulated unified perspective on the importance of aligning policy, governance, and scale to attract investment.
Speaking at the Upstream Leadership Dialogue, Irune said Africa’s upstream resurgence is no longer speculative, but the result of deliberate collaboration, innovation, and renewed confidence across the sector.
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He said: “What many once viewed as a myth has become a tangible story. We are seeing new partnerships and a different way of approaching an industry that had been written off. The focus now must be on sustaining that momentum and unlocking the scale of opportunity ahead”.
He noted that while Nigeria’s upstream sector has strong technical capability, achieving national production ambitions will depend on access to capital that recognises the realities of upstream development.
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“We are often clear about production targets, but the conversation around cost and capital is less explicit. To scale sustainably, we must rethink traditional financing pathways and pursue capital structures that provide patience, alignment, and long-term support,” Irune said.
Ibidapo-Obe explained how scale, integration, and risk management are central to Oando’s approach to unlocking competitive capital.
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“Scale and integration give you the right to go after capital, but they are not enough on their own. What truly unlocks competitive capital is managing risk and reducing the risk premium,” Ibidapo-Obe said.
He noted that Oando’s recent growth, including a near doubling of its reserves base to almost one billion barrels, strengthens its capital positioning when combined with operational control and flexibility.
He said: “Scale only works when you are in the driver’s seat. Being an operator allows us to match projects to capital, retain agility, and structure investments in a way that lenders and investors understand and support”.
Ibidapo-Obe also highlighted the role of regulatory clarity in improving investor confidence, pointing to the Petroleum Industry Act (PIA) as a key enabler in reducing uncertainty and supporting financing decisions.
“With greater policy clarity, capital can see that risk has reduced,” he said. “That clarity, combined with scale, integration, and governance, creates a much stronger foundation for attracting long-term investment.”
In his closing remarks, Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, reaffirmed the Federal Government’s commitment to regulatory reforms, collaboration with industry stakeholders, and the development of local capacity, describing these as essential to delivering concrete outcomes and sustaining investor confidence.
Irune concluded by emphasizing that Oando’s presence at NIES 2026 underscores its commitment to building a resilient upstream business grounded in disciplined capital allocation, robust governance, and enduring partnerships. He asserted that Oando will continue to strategically align its leadership, enhance policy engagement, and optimize commercial execution to ensure that its energy portfolio is positioned for sustainable growth and enduring value creation not only in Nigeria but throughout Africa.
