Aradel Holdings Plc (Aradel), an integrated energy company operating in upstream, midstream, downstream, power, and renewables, experienced a significant growth in after-tax profit to N110.6 billion in the nine months of 2024, according to BusinessDay analysis. This marked a nearly sixfold increase from N19.2 billion recorded in the same period in 2023.
The company recently acquired a 5.14 percent equity stake in Chappal Energies Mauritius Limited (Chappal), which specializes in deep value and brownfield upstream opportunities across Africa. This strategic investment followed Chappal’s acquisition of Equinor Nigeria Energy Company Limited (ENEC) on December 6, 2024. ENEC holds a majority stake in Oil Mining Lease (OML) 128, including a unitized stake in the Agbami Oil Field.
The Agbami field, operational since 2008, has contributed significantly to Nigeria’s economy by delivering over 1 billion barrels of oil. Additionally, as part of the deal, Chappal will take over the operatorship of OML 129, housing major undeveloped discoveries such as Nnwa, Bilah, and Sehki, with the Nnwa-Doro field holding vast gas resources.
In a notice to the Nigerian Exchange Group (NGX), the company announced the minister of petroleum resources granting consent for the sale of Shell Petroleum Development Company (SPDC) to Renaissance Africa Energy Limited (Renaissance). This approval signifies a key milestone in advancing Aradel Holdings’ strategic goals in the energy sector.
The acquisition of SPDC by Renaissance, with the support of Aradel Holdings, represents a shift towards localized and diversified energy investments, aligning with the government’s initiative to promote indigenous participation in the sector. Further details on the transaction will be disclosed as Renaissance moves closer to finalizing the acquisition process.
Highlights from Aradel Holdings’ financial performance include a nearly sixfold increase in after-tax profit, a marginal growth in finance costs, a significant surge in revenue, a substantial increase in the cost of sales, and the proposed payment of an interim dividend of N8 per share.
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