Energy group, Aradel Holdings Plc, has grown its revenue in the half year 2023 by 217.6 per cent to N74.5bn from N23.5bn recorded within the same period in 2022.
This was disclosed in the unaudited results for the period ended June 30 2023 of the group.
Aradel’s revenue increased on the back of an increase in crude oil revenue (53.2 per cent of total revenue) due to increased availability of the Trans Niger Pipeline, in addition to the value from utilising the Alternative Crude Oil Evacuation; 28.5 per cent increase in gas revenue; and 51.6 per cent increase in refined products.
Its gross profit for the period increased by 416.2 per cent to N49.8bn (from H1 2022: ₦9.6bn), while profit after tax increased by 173.9 per cent to N13.1bn (H1 2022: N4.8bn.)
Speaking on the results, the Chief Executive Officer/Managing Director of Nigeria’s first integrated indigenous energy company, Adegbite Falade, said, “Aradel Holdings consolidated on the gains arising from the initiatives it embarked on in the second half of 2022. Revenues, operating profit, EBITDA, profit after tax and free cash flows increased significantly over the prior period, mainly because the Company has begun to benefit from executing the plans crafted to ensure optimum production and refining.
“The Alternative Crude Oil Evacuation project was a significant value driver for our operations in the first half of the year: after a slow start in Q1, 2023 (lifting ~100kbbls), the company was able to transport 400kbbls through the ACE in H1, 2023, as we sought approaches that ensured that production was not significantly curtailed during the period. These initiatives also resulted in the increased refining capacity of 35%, the improved outcome mainly due to the debottlenecking exercises completed in Q4, 2022.
He added, “We completed the drilling of Well-12 and Well-13, both with promising results, and expect to spud Well-14 in Q3, 2023. The completed wells are poised to add to our crude oil and gas production, underscoring our standing promise to increase value-creation for our shareholders. These positive outcomes are expected to lead to increased value for the company, its shareholders, and the country, and we believe that they will hold (and be improved upon) till the end of the financial year.”
Meanwhile, the Niger Delta Exploration & Production Plc has rebranded to Aradel Holdings, to better reflect its long-term strategy of becoming Africa’s leading organisation in the delivery of sustainable energy solutions.
