Oando Energy Services OES

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Oando Energy Services (OES)
Press Briefing
Feb 07, 2008
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Oandothe future
Gas (Pipeline Transmission of Natural Gas)
Power
Marketing
Supply Trading
Exploration Production
Energy Services
Refining

• Dominant local player
• Expansion into other West African Markets

• Offering Product service lines through strategic
  alliances (e.g. Baroid, Halliburton)

• The dominant player in gas supply powering
  Nigeria's manufacturing base

• No. 1 marketer of Petroleum Products

• A Significant Opportunity for Oando

• Evolving into a leading player in the upstream

• Seeking opportunities to ensure product
  availability

exploiting synergies between subsidiaries
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Oando Energy Services in 2008
- Repositioning existing portfolio of services to
leverage opportunity
Rigs
Drilling Rigs Startup / New Business
Drilling Systems Startup / New Business
Drilling Fluids Realign Migrate to Services
Drill Bits Sustain Grow
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We are positioning ourselves as Nigerias Largest
Integrated energy services company exploiting
synergies between Product Service Lines
Oando Energy Services
Drilling Fluids
Drilling Rigs
Drilling Bits
Contracts Chevron Esso Agip SNEPCO
Contracts On - going
Contracts Esso Agip SNEPCO TOTAL SPDC PANOCEAN
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Strategic Alliances with Multinationals

• Drilling Fluids - Halliburton (Baroid)
• Drill Bits - Halliburton (Security DBS)
• Drilling Rigs - TransOcean/Frazimex

Deliverables

• CompetencyAccess to technologyCompetitiveness

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Oando Energy Services (OES)DRILLING RIGS
OVERVIEW
Feb 07, 2008
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Our overall vision and objectives

• The premier Indigenous Drilling Company in the
  Gulf of Guinea

Vision
Positioning

• Dominant indigenous drilling company in swamp
  and
• shallow off-shore reputed for
• Well maintained rigs
• High EHSQ, and Performance standards
• Good management systems
• Well trained personnel
• Offering broad range of integrated services

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POSITIONING

• Fully Indigenous company operating on World
  Class standards.
• Acquired two swamp Drilling and Workover Rigs
  namely Searex VI, and Searex XII at over N12bn..
• Rigs rehabilitation/upgrade nearing completion.
• Sourced competent and experienced personnel to
  manage the OES Drilling business, and those that
  will operate the rigs.
• Set up offices for OES Rigs business in PHC.
  Acquired a plot of land in the strategic Trans
  Amadi area of Port Harcourt for OES permanent
  operating base/offices.
• Executed Technical support agreements to ensure
  smooth operations.
• Finalizing discussions towards executing
  contracts for hire of the drilling rigs.

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Rig Statistics
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Moving Forward

• Start Drilling in QTR 2, 2008
• Attract and retain Quality staff
• Grow the business rapidly - Invest 100m in rigs
  acquisition in 2008 alone. Diversify rig type.
• Market OES Drilling through high operational
  efficiency and EHSQ performance.
• Build a WORLD CLASS COMPANY.

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Challenges

• Sourcing experienced personnel to man the rigs in
  a severely constrained supply market due to
  
  
  
  
• Flight of Expats. Nigerians shifting
  to Saudi Aramco,
  Malaysia, Canada etc.
• Insecurity leading to violent crimes, kidnapping,
  and unproductive time.

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2008 and the future

• The investment climate is favorable and
  consequently Oando Energy Services plans to
• Continue to grow existing Product Service Lines
  Profitably
• Invest an additional sum of 100 M on Rigs in
  2008
• Become the dominant player in the land and Swamp
  business.

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Thank Youwww.oandoplc.com