Aradel Holdings Plc, through its subsidiary Aradel Energy Limited, has signed a sale and purchase agreement to acquire 100% ownership of the Olo and Olo West marginal fields from TotalEnergies EP Nigeria Limited and the Nigerian National Petroleum Company Limited (NNPC). Consequently, the company finalized the acquisition for 16million,alongwithanadditional16million,alongwithanadditional3.5 million in deferred and conditional payments.
Location of the Marginal Fields
The Olo and Olo West marginal fields are located within the former oil mining lease (OML) 58, situated 80 kilometers northwest of Port Harcourt in Rivers State’s Eastern Niger Delta. Moreover, Aradel stated that the Petroleum Mining Lease (PML) for Olo, along with the Petroleum Prospecting License (PPL) for Olo West, will be granted after paying the necessary ministerial consent fees and completing the approved Field Development Plans (FDPs).
Strategic Growth Milestone
Aradel emphasized that this acquisition significantly enhances its asset portfolio, marking a key milestone in its inorganic growth strategy. Additionally, it aligns with the company’s vision to provide sustainable energy solutions that foster economic growth.
CEO’s Remarks on the Acquisition
In response to this announcement, Aradel’s Chief Executive Officer and Managing Director, Mr. Adegbite Falade, noted, “The acquisition of the Olo and Olo West Marginal Fields represents substantial progress in our mission to enhance energy security in Nigeria. We greatly appreciate the support from the Ministers of Petroleum Resources and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) in facilitating this acquisition under the Petroleum Industry Act (PIA).” Furthermore, he acknowledged the commitment of NNPCL and TotalEnergies to boost Nigeria’s oil and gas production, even from marginal fields.
Aradel’s Operational Structure
Aradel operates through several subsidiaries. For instance, Aradel Energy Limited (100%) acts as the operator of the Ogbele and Omerelu Fields, while Aradel Gas Limited (100%) focuses on gas sector investments. Additionally, Aradel Investments Limited (100%) manages the group’s non-oil and gas assets. Lastly, Aradel Refineries Limited (95%) functions as an independent midstream entity, showcasing the company’s dedication to achieving energy independence in Nigeria.
