Shareholders are advised that due to an industrial action by pensioners of the Nigerian Postal Service in January 2013, resulting in the disruption of distribution of Rights Circulars to the majority of Oando’s shareholders, the Nigerian Securities & Exchange Commission has approved a two-week extension of the Acceptance period. Accordingly, the Acceptance period of the Rights Issue will now close on Wednesday, 20 February 2013.

The revised dates for Nigerian shareholders relating to the Rights Issue are as follows:

Ends

For More information, please contact:

Tokunboh Akindele

Head, Investor Relations

aakindele@oandoplc.com

Oando PLC

10th Floor

2, Ajose Adeogun Street

Victoria Island

Lagos, Nigeria

Tel: +234 (1) 2601290-9, Ext 6396

DL: +234 (1) 2702496

Fax: +234 (1) 2611366

Website: www.oandoplc.com

Lagos, Nigeria – Oando Energy Services Limited (“OESL”) Nigeria’s leading indigenous provider of swamp drilling rigs services and a subsidiary of Oando PLC (“Oando”) announced on Monday, January 21, 2013, that the OES Teamwork, one its four rigs, has recorded a safety milestone of three years of uninterrupted operations without a Loss Time Injury (LTI).
LTI is an industry Key Performance Indicator (KPI), which measures adherence to safety requirements by evaluating the number of injury-bearing incidents capable of preventing a worker from performing or continuing with a task.

OES Teamwork is the second rig in Oando’s drilling fleet to achieve this safety feat, after OES Integrity recorded the same achievement on Friday, August 10, 2012. OESL, which currently has three swamp rigs in operations, is strongly committed to Health, Safety, and Environment requirements, and is poised to remain a leading service provider in Nigeria’s oil servicing sector.

Commenting, Mr. Bandele Badejo, Chief Executive Officer, OESL said: “We are pleased with this very significant and commendable milestone for all our stakeholders. Operating the rig for One Thousand and Ninety-six days without a Lost Time Injury is a demonstration of the emphasis we place on Environment Health, Safety, Security and Quality processes in the company, as well as the commitment of our people to these processes. This feat further demonstrates to the industry that indigenous drilling services providers with the right people and attitude are capable of sustaining safe, efficient and incident-free operations.”

Also commenting, Mr. Chijioke Akwukwuma, Chief Environment, Health, Safety Security and Quality (EHSSQ) Officer, Oando PLC, “We are very proud of the OES teamwork for achieving this remarkable safety milestone, which is in line with the Oando Group’s zero tolerance for unsafe conditions and practices. We are committed to achieving our world-class aspirations of incident-free operations every day across all of our operations”.

OESL Teamwork rig, which is contracted to a leading international oil company, has successfully drilled, completed and worked over wells in the course of its campaign. The rig is a 3000 HP swamp drilling barge equipped with 10,000 psi Blow Out Preventers (BOP) systems. It has an IDECO built mast and substructure with rated static hookload capacity of 1.5M lbs and capable of drilling up to 25,000 ft. The rig is equipped with three model 645E8 EMD diesel engines, two model T-1600 IDECO mud pump, three Derrick Linear Motion Shakers, two Hi-G- dryers, and Varco TDS-3 Top Drive.

Oando PLC has robust policies and procedures covering product quality, safety, environment, health, security and emergency readiness to ensure that all its operations meet international safety requirements, guided by its “14 life-saving rules”. The company runs a dynamic Environment, Health, Safety, and (EHSSQ) framework for its employees that include training, regulatory certifications and a “stop work” policy which empowers employees to halt an operation on the account of unsafe work conditions. In addition, it hosts an annual ‘Safety Week’ to deepen awareness and strengthen an incidence-free work life culture.

About OES
Oando Energy Services Limited (OESL) is a leading indigenous energy services company that offers high quality oilfield services to E&P companies operating in Nigeria by deploying a suite of best practices, innovative technology, safety procedures, high quality support and environmentally sound well site operations, which increases efficiency, lowers operating costs and enhances asset value for its clients.

OESL has three major offerings namely:
- Drilling and Completion Fluids Services
- Drill Bits and Engineering Services
- Drilling Rigs

The company has four swamp rigs making it the largest indigenous swamp rigs fleet operator in Nigeria. These rigs are:
- OES Teamwork
- OES Respect
- OES Integrity
- OES Passion

Ends

For More information, please contact:

Meka Olowola
Head, Corporate Communications

Oando PLC
2 Ajose Adeogun Street
Victoria Island
Lagos, Nigeria.
Email: molowola@oandoplc.com
Tel: +234 (1) 2702400 Ext 6376
DL: 01-2805593

Website: www.oandoplc.com

The Rights Issue exercise will open on Friday, 28 December, 2012 on the Nigerian Securities Exchange, 4 January 2013 on JSE Limited, and close on Wednesday, 6 February, 2013 on both exchanges. Vetiva Capital Management Limited is the Lead Issuing House, with FBN Capital Limited and FCMB Capital Markets Limited will act as Joint Issuing Houses.

The proceeds from the Rights issue will be used for the following:

•       Part-repayment of N60 billion syndicated loan used to fund the acquisition of upstream assets and swamp drilling rigs.
•       Part-financing of acquisition of upstream and midstream assets by Oando’s Upstream subsidiary, Oando Energy Resources (“OER”).
•       Investment in working capital to support increased level of business.

Commenting Mr. Wale Tinubu, Group Chief Executive, Oando PLC said: “We are happy to announce the opening of our Rights Issue offering, in line with our corporate strategy for balance sheet optimization and the financing of growth initiatives in the Upstream sector.

“Pursuant to the recent signing of agreements by our affiliate OER with ConocoPhillips, to acquire their entire Nigerian Asset base for $1.79 Billion plus customary adjustments, OER will be transformed from a small size oil company with ~4,500 bbls/day of production and 9 million barrels of oil equivalent (“MMboe”) to a midsize oil producer with close to 50,000bbls/day of production with 2P reserves of 213 MMboe and 2C reserves of 198 MMboe, with significant risked resources”.

“The successful outcome of the Rights Issue will position Oando to increase value for shareholders in the Upstream through focused portfolio growth in production, cash margins and improved returns on capital deployed. We count on the consistent support of our shareholders to seize the opportunity to take up their rights and benefit from the higher margin value creation the Upstream offers.”

Ends

For More information, please contact:

Tokunboh Akindele
Head, Investor Relations
aakindele@oandoplc.com

Oando PLC
10th Floor
2, Ajose Adeogun Street
Victoria Island
Lagos, Nigeria

Tel: +234 (1) 2601290-9, Ext 6396
DL: +234 (1) 2702496
Fax: +234 (1) 2611366

Website: www.oandoplc.com

Lagos, Nigeria – Oando PLC (referred to as “Oando” or the “Group”), Nigeria’s leading indigenous energy group listed on both the Nigerian Stock Exchange and the JSE Limited, yesterday, 20^th December 2012, announced its affiliate Oando Energy Resources (“OER”) listed on the TSX, has entered into agreements with ConocoPhillips (“COP”) to acquire its entire business interests in Nigeria for a total cash consideration of ~ $1.79billion plus customary adjustments. This transaction includes the intended purchase of:

a) The Onshore Business

• Phillips Oil Company Nigeria Limited (“POCNL”), which holds a 20% non-operating interest in Oil Mining Leases (“OMLs”) 60, 61, 62, and 63 as well as related infrastructure and facilities in the Nigerian Agip Oil Company Limited (“NAOC”) Joint Venture (“NAOC JV”).  The other partners are the Nigerian National Petroleum Corporation (“NNPC”) with a 60% interest and NAOC (20% and operator); and
• Phillips Brass Limited (“PBL”), which holds a 17% shareholding interest in Brass LNG Limited, which is developing the Brass LNG project, a Greenfield project to develop a two-train, 10 million ton per year, Liquefied Natural Gas (“LNG”) facility in Bayelsa State, Nigeria. The other partners are NNPC (49%); Eni (17%) and Total (17%).

b) The Offshore Business

• Conoco Exploration and Production Nigeria Limited (“CEPNL”), which holds a 95% operating interest in OML 131.  The other partner is Medal Oil (5%); and

• Phillips Deepwater Exploration Nigeria Limited (“PDENL”), which holds a 20% non-operating interest in OPL 214.  The other partners are ExxonMobil (20% and operator), Chevron (20%), Svenska (20%), Nigerian Petroleum Development Company (15%) and Sasol (5%).

Pursuant to the Proposed Acquisition, OER will indirectly purchase all of the issued share capital of POCNL, PBL, CEPNL and PDENL.  Upon closing, the effective date of the Proposed Acquisition will be January 1, 2012.

In connection with the Proposed Acquisition, OER has retained The Petroleum and Renewable Energy Company Limited (“Petrenel”), OER’s independent reserves evaluator, to prepare a report on the reserves and resources of OMLs 60, 61, 62 and 63 (together, the “Onshore Assets”) and OML 131 and OPL 214 (together, the “Offshore Assets”) proposed to be acquired under the Proposed Acquisition.  As at the date hereof, Petrenel has prepared preliminary estimates of some of the reserves and resources to be acquired (the “Petrenel Preliminary Estimates”). The Petrenel Preliminary Estimates have an effective date of December 31, 2011 and have been prepared in accordance with National Instrument 51-101 standards and the guidelines set out in the Canadian Oil and Gas Evaluation Handbook. OER expects an Independent Reserves Report to be completed and issued by Petrenel during the first quarter of 2013.

All figures quoted below are gross to OER (i.e. before deduction of royalty and tax) unless otherwise stated, assuming completion of the Proposed Acquisition.

HIGHLIGHTS

• OER believes that the Proposed Acquisition represents a significant opportunity for OER and its shareholders, adding:

• A 20% working interest in the NAOC JV, which includes forty discovered oil and gas fields with remaining oil and gas recovery, approximately forty identified prospects and leads, twelve production stations, approximately 950 km of crude oil, natural gas liquids (NGL) and natural gas pipelines, two gas processing plants, the Brass River Oil Terminal, the Kwale-Okpai 480 MW combined cycle gas-fired power plant (“Kwale-Okpai IPP”), and associated infrastructure.

• A significant share of six separate discovered fields and eight separate prospects in two offshore blocks.

• Approximately 43,000 barrels of oil equivalent per day (“boe/d”) based on average production between January and October 2012 (Source: ConocoPhillips).

• According to Petrenel, a total of approximately 213 millions of barrels of oil equivalent (“MMboe”) of Proved plus Probable Reserves, 198 MMboe of Best Estimate Economic Contingent Resources, and approximately 110 MMboe of Risked Prospective Resources are present in the Onshore Assets.  Contingencies and significant negative and positive factors related to the Contingent Resources are further described below.

• Upon closing, it is expected that the Proposed Acquisition will position OER as one of the leading E&P players in Nigeria, as measured by total reserves and production.

• The Proposed Acquisition is expected to be financed with debt and equity.

• POCNL is cash generative and is expected to contribute positively to the cashflow of the Company.

• The Proposed Acquisition is anticipated to close during the first half of 2013, following appropriate consultations with stakeholders.

Commenting, Mr. Wale Tinubu, Group Chief Executive, Oando PLC said “Upon closing, we expect that this will be a transformational transaction for OER, as the company has only been listed on the TSX for about 5 months and now has an opportunity to execute its strategy and materially increase its production and reserves base. In our view, the combination of the right timing, right assets and the right company can lead to significant value creation in the Gulf of Guinea. We expect that the closing of this transaction will position OER as a leading, indigenous independent E&P player in Nigeria”.

Also commenting Mr. Pade Durotoye, CEO of Oando Energy Resources said. “This potential transaction represents a transformational step forward for our Company and is in keeping with our overall strategy to grow our portfolio of Nigerian-based assets by focusing on those opportunities that deliver high quality growth in reserves and production. Our management team is familiar with the assets contained in this proposed transaction and, we believe, possess the regional experience and technical expertise necessary to capture and unlock their future value for our shareholders.”

RATIONALE FOR THE TRANSACTION

Large oil and gas asset base with substantial production and resources

The Onshore Assets are currently producing substantial quantities of oil and gas. The total oil and gas production from the Onshore Assets for the period from January 1, 2012 until October 31, 2012 averaged approximately 43,000 boe/d gross  to OER (Source: ConocoPhillips).

High oil and gas recovery factors are expected to be achieved with a focused and committed development programme. OER believes there are many opportunities to further develop the existing fields and increase production.

Petrenel has assigned preliminary estimates of Proved plus Probable Reserves of 213 MMboe and Best Estimate Economic Contingent Resources of 198 MMboe (OER gross share) to the Onshore Assets.  These Economic Contingent Resources have not been classified as Reserves as either (i) oil and gas production associated with these Contingent Resources is likely to start in more than five years, (ii) definition of development activities will require more technical work; (iii) oil and gas will be produced after 2027 (the current onshore license renewal date), or (iv) gas will be produced and sold after the end of the current gas contract periods (2024-2026). It is expected that these economic Contingent Resources will be progressively transferred to Reserves as development activity is matured and the licenses and gas contracts are extended. Significant positive factors associated with the estimates include (i) high probability that the licence and gas contracts will get extended at current terms, (ii) possible financial investment decision of Brass LNG could result in higher gas prices, (iii) further detailed technical studies are likely to identify additional resources, and (iv) reducing bunkering will likely result in positive upward revision in oil sales. Significant negative factors associated with the estimates include (i) uncertainty over historical field production, technical recovery factors and new well productivity, (ii) logistical and security difficulties may delay development, and (iii) increased development and operating costs may reduce the economically recoverable volume.

Significant exploration upside

OER believes that there is significant upside potential from an active exploration program on OMLs 60 to 63 with a multi-year inventory of newly available oil and gas drill-ready opportunities, including an opportunity to supply additional gas to potential off takers including the Brass LNG project, the Nigeria (Bonny) LNG (“NLNG”) Train 7 project and other gas supply opportunities in the growing domestic market.

Petrenel has assigned Risked Prospective Resources in the Onshore Assets (gross to ConocoPhillips) to be approximately 110 MMboe.  In addition, OER expects that additional Risked Prospective Resources will be assigned by Petrenel to the Offshore Assets after Petrenel has completed its final report.

Ideal location with extensive production and infrastructure

OMLs 60 to 63 are located favorably, with a well developed network of facilities, transportation and logistics infrastructure as well as localized processing facilities, including an oil processing centre and two gas processing facilities, which can process up to 125,000 barrels of oil per day (“bbls/d”) of oil and 1 billion cubic feet per day (“Bcf/d”) of natural gas.  Other facilities and infrastructure include 12 production stations and about 950km of oil, NGL and natural gas pipelines, the Brass River Oil Terminal which has a storage capacity of 3.6 millions of barrels of oil (“MMbbls”) and the 480 Megawatt Kwale-Okpai Independent Power Plant which accounts for 15% of Nigeria’s current available national power grid capacity.

Nigeria has over 37 billion bbls of proved reserves, (Source: BP Statistical Review of World Energy 2012), a large proportion of which is located in the Niger Delta Region.  Within this region, there are a large number of discovered but undeveloped fields with significant upside potential. OER believes that the centrally located Brass River Terminal, Obiafu-Obrikom (“Ob-Ob”) gas plant, and associated pipeline network offers a significant opportunity to capture additional third party transportation and processing business.

OER believes that the Proposed Acquisition will provide OER with a platform for future growth in the region.

High quality crude oil production that trades at a premium to Brent Oil

The crude oil produced from these onshore fields is light and sweet with API gravities ranging from 29 to 47 degrees and low sulfur contents of 0.05% to 0.3% and trades at a premium to Brent.

Highly profitable and strong historical cash flow

The NAOC JV has yielded high drilling success rates, high production volumes and premium pricing on crude oil and natural gas and NGLs. For the year ended December 31, 2011, ConocoPhillips reported revenue of US$1.0 billion, profit after tax of US$157.5 million and cashflow from operations of US$327.1 million (prepared in accordance with Nigerian Generally Accepted Accounting Principles).

BUSINESS INFORMATION

Onshore Assets:

1. OMLs 60, 61, 62 and 63 are located in the onshore Niger Delta basin and have a long history of proven production.  ConocoPhillips’ share of production in 2011 was 19,000 bbl/d of oil and 157 MMcf/d of gas (Source:  ConocoPhillips).

• Petrenel’s preliminary estimates of Proved plus Probable reserves for the Onshore Assets are 94 MMbbls of oil & condensate and 0.7 Trillion Cubic Feet (Tcf) of sales gas (213 MMboe) (gross to OER). The economically recoverable Best Estimate Contingent Resources are estimated to be 73 MMbbls of oil and condensate and 0.75 Tcf of sales gas (198 MMboe) (gross to OER).

• The NAOC JV supplies 19.72% of the feedgas utilized by the NLNG  plant (Source: NLNG) or approximately 85% of the NAOC JV natural gas sales under a long term contract which is based on  a net back pricing formula. The remainder of the gas is sold to a Petrochemical producer and an independent Power Producer under long term contracts. In addition, some of the gas is utilized as fuel gas in the Kwale-Okpai IPP.  Finally, NGLs are sold to a petrochemical producer under a long term contract.

• The Kwale-Okpai IPP plant supplies power under a long term contract to the Power Holding Company of Nigeria. (Source: ConocoPhillips)

The Brass LNG project is a large-scale Greenfield project which involves the development of a two-train LNG facility in Bayelsa State in the Niger Delta. It is expected that approximately 40% of the feed gas will be supplied by the NAOC JV. It is expected that the total nominal plant capacity will be 10 million tons of LNG per year and could be doubled in the future.

Offshore Assets:

1. OML 131 is a large deep water offshore block located in a prolific area about 70km south of the Niger Delta coastline and covering 1,204km² at  water depths ranging between 500 and 1,200 meters.  OML 131 has two oil and gas discoveries and six large untested prospects. It is expected that the Chota field in OML 131 will be unitized with the Bolia field in OML 135 that is operated by Shell.

1. OPL 214 is a large deepwater offshore license covering 2,586km² in the prolific central part of the offshore Niger Delta. The area is approximately 110km from the coastline at water depths ranging between 800 and 1,800 meters.  OPL 214 is located close to large discoveries (Bonga, Nsiko, and Agbami). A commercial discovery has been made on this asset and all work obligations have been fulfilled. It is anticipated that OPL 214 will be converted into an Oil Mining Lease (OML) for an initial period of 20 years. OPL 214 holds four oil and gas discoveries including the Uge field, which was discovered in 2005.

STRUCTURE OF THE PROPOSED TRANSACTION

The Company established four wholly owned subsidiaries which have entered into agreements with ConocoPhillips for the Proposed Acquisition for a total cash consideration of approximately US$1.79 billion, subject to customary adjustments.

Upon signing of the Sale and Purchase Agreements, the Company paid a cash deposit of US$435 million (“Deposit”) to ConocoPhillips. The payment of the Deposit was financed by a US$345 million loan (“Oando Loan”) from Oando Plc, a company which owns 94.6% of the   shares of OER (“Oando”), and US$90 million funded through secured bridge loans, each of which is guaranteed by Oando, from local Nigerian banks.  The Oando Loan has a maturity of 120 days (subject to extension in certain circumstances) and an annual interest rate of LIBOR plus 10.5% (subject to increase in certain circumstances).

Pursuant to the Oando Loan, OER has agreed, provided that requisite shareholder approval is obtained in accordance with Multilateral Instrument 61-101 – Protection of Minority Securityholders in Special Transactions and Toronto Stock Exchange (“TSX”) approval and shareholder approval is obtained in accordance with (but not limited to) Section 501(c) of the TSX Company Manual, that the Oando Loan will be convertible, at Oando’s option, into newly issued common shares of OER (“OER Shares”) at the lower of (i) the 5 trading day volume-weighted average price (“5 day VWAP”) of an OER Share on the TSX for the 5 trading days immediately following the date hereof; and (ii) the 5 day VWAP of an OER Share on the TSX for the 5 trading days immediately preceding, but not including, the date upon which Oando provides notice to OER that it wishes to convert the Oando Loan into OER Shares.  The issuance of any OER Shares pursuant to the exercise by Oando of the conversion feature will be subject to TSX approval.

It is expected that the remainder of the Purchase Price for the Proposed Acquisition (approximately US$1.355 billion) will be financed by way of equity and debt, including private placements of equity-linked securities and a follow-on offering of OER shares. In addition, it is expected that US$800 million of senior secured loans will be provided by a syndicate of international and Nigeria banks.

Closing of the Proposed Acquisition is subject to customary conditions including the receipt (or waiver, in accordance with the Sale and Purchase Agreements) of all approvals or consents from any governmental authority; and the waiver or non-exercise of rights of first refusal, if any with respect to the shares to be acquired by OER, and the assets underlying such shares.

In the event that the Proposed Acquisition does not close, the Deposit is refundable to OER (including where there is a breach by ConocoPhillips in any material respect of its covenants under the Sale and Purchase Agreements) except in the following limited circumstances: (i) a breach by OER in any material respect of its covenants under the Sale and Purchase Agreements or (ii) if the closing does not occur because of failure for any reason to obtain all approvals or consents required by law from any governmental authority under applicable petroleum laws of Nigeria

About Oando Energy Resources Inc. (OER)

OER currently has a broad suite of producing, development and exploration assets in the Gulf of Guinea (predominantly in Nigeria) with current production of approximately 3,300 barrels of oil per day from the Abo Field, (OML 125) and an additional 1,500 barrels of oil per day from the Ebendo Field, (OML 56), once a damaged export pipe line has been repaired or replaced (which is expected to be completed early 2013). OER has been specifically structured to take advantage of current opportunities for indigenous companies in Nigeria, which currently has the largest population in Africa, and one of the largest oil and gas resources in Africa.

Forward Looking Statements:

This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws.  The use of any of the words “expect, “anticipate, “continue, “estimate, “objective, “ongoing”, “may, “will, “project, “should, “believe, “plans, “intends” and similar expressions are intended to identify forward-looking information or statements.

Although the Company believes that the expectations and assumptions on which such forward-looking statements and information are reasonable, undue reliance should not be placed on the forward-looking statements and information because the Company can give no assurance that such statements and information will prove to be correct. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties.

Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to: risks related to international operations, risks related to funding the remainder of the purchase price for the Proposed Acquisition, risks related to oil and gas recovery, risks relating to the Petrenel Preliminary Estimates being confirmed in the final independent report to be prepared by Petrenel, risks relating to receipt of all required approvals in Nigeria, risks relating to Contingent Resources being classified as Reserves,  risks relating to loss of the deposit, risks relating to supply of feed gas risks relating to satisfaction of all conditions precedent to closing of the Proposed Acquisition, the actual results of exploration and drilling activities, changes in oil and gas production, changes in project parameters and timing as plans continue to be refined and the future price of crude oil and natural gas. Accordingly, readers should not place undue reliance on the forward-looking statements. Readers are cautioned that the foregoing list of factors is not exhaustive.

Additional information on these and other factors that could affect the Company’s financial results are included in reports on file with applicable securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com) for the Company. The forward-looking statements and information contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Cautionary Statements

Production information is commonly reported in units of barrel of oil equivalent (“boe” or “BOE”) or in units of natural gas equivalent (“Mcfe”). However, BOEs or Mcfes may be misleading, particularly if used in isolation.  A boe conversion ratio of 6 Mcf:1 barrel, or an Mcfe conversion ratio of 1 barrel:6 Mcf, is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

There is no certainty that it will be commercially viable to produce any portion of the contingent resources.

There is no certainty that any portion of the prospective resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources.

Defined Terms

“Reserves” are those quantities of petroleum anticipated to be commercially recoverable by application of development projects to known accumulations from a given date forward under defined conditions. Reserves must further satisfy four criteria: they must be discovered, recoverable, commercial, and remaining (as of the evaluation date) based on the development project(s) applied. Reserves are further categorized in accordance with the level of certainty associated with the estimates and may be subclassified based on project maturity and/or characterized by development and production status.

“Proved Reserves” are those quantities of petroleum, which by analysis of geosciences and engineering data, can be estimated with reasonable certainty to be commercially recoverable, from a given date forward, from known reservoirs and under defined economic conditions, operating methods and government regulations.

“Probable Reserves” are those additional Reserves which analysis of geosciences and engineering data indicate are less likely to be recovered than Proved Reserves but more certain to be recovered than Possible Reserves.

“Contingent Resources” are those quantities of petroleum that are estimated, as of a given date, to be potentially recoverable from known accumulations using established technology or technology under development, but which are not yet considered mature enough for commercial development because of one or more contingencies. Contingencies may include factors such as economic, legal, environmental, political, and regulatory matters, or a lack of markets. Contingent Resources are further categorized into low case (1C), best case (2C) and high case (3C) according to the level of certainty associated with the estimates and may be sub-classified based on economic viability.

“Prospective Resources” are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective Resources have both an associated chance of discovery and a chance of development. Prospective Resources are further subdivided in accordance with the level of certainty associated with recoverable estimates assuming their discovery and development and may be sub-classified based on project maturity.

“Best Estimate” is considered to be the best estimate of the quantity that will actually be recovered. It is likely that the actual remaining quantities recovered will be greater or less than the best estimate. If probabilistic methods are used, there should be a 50 percent probability that the quantities recovered will equal or exceed the best estimate.

For more information please contact:

Meka Olowola

Head, Corporate Communications

Oando PLC

2 Ajose Adeogun Street

Victoria Island

Lagos, Nigeria.

Email: molowola@oandoplc.com

Tel: +234 (1) 2702400 Ext 6376

DL: 01-2805593

Tokunboh Akindele

Head, Investor Relations

aakindele@oandoplc.com

Oando PLC

10th Floor

2, Ajose Adeogun Street

Victoria Island

Lagos, Nigeria

Tel: +234 (1) 2601290-9, Ext 6396

DL: +234 (1) 2702496

Fax: +234 (1) 2611366

Website: www.oandoplc.com

PRESS STATEMENT

Oando PLC holds Completion Board Meeting to Raise N54.6 billion through Rights Issue

Lagos, Nigeria – Oando PLC (referred to as “Oando” or the “Group”), Nigeria’s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, today announced its plans to commence its Rights Issue exercise.

The company received regulatory approval for its Rights Issue from the Securities & Exchange Commission (“SEC”) on the 12^th December 2012 and held its Completion Board Meeting on the 19^th December 2012. Oando plans to raise N54,578,835,312 through the issuance of 4,548,236,276 ordinary shares of 50 Kobo at N12.00 per share. The Rights Issue exercise will open on Friday, 28 December, 2012 and close on Wednesday, 6 February, 2013. Vetiva Capital Management Limited is the Lead Issuing House, with FBN Capital Limited and FCMB Capital Markets Limited will act as Joint Issuing Houses.

The proceeds from the Rights issue will be used for the following:

• Part-repayment of N60 billion syndicated loan used to fund the acquisition of upstream assets and swamp drilling rigs.
• Part-financing of acquisition of upstream and midstream assets by Oando’s Upstream subsidiary, Oando Energy Resources (“OER”).
• Investment in working capital to support increased level of business.

Commenting Mr. Wale Tinubu, Group Chief Executive, Oando PLC said: “Now that we have obtained the necessary regulatory approvals for our capital raise we are at the final stages in the execution of our overall strategy to increase our exposure to the Upstream Sector whilst reducing the dependence on the downstream. In 2010 we raised N21.1Bn through a Rights Issue, it was a highly successful event, as it closed 28% oversubscribed and we look forward to a similar outcome in this exercise. We count on the consistent support of our shareholders to seize the opportunity to take up their rights and benefit from the higher margin value creation the Upstream offers.”

Ends

For More information, please contact:

Meka Olowola

Head, Corporate Communications

Oando PLC

2 Ajose Adeogun Street

Victoria Island

Lagos, Nigeria.

Email: molowola@oandoplc.com

Tel: +234 (1) 2702400 Ext 6376

DL: 01-2805593

Tokunboh Akindele

Head, Investor Relations

aakindele@oandoplc.com

Oando PLC

10th Floor

2, Ajose Adeogun Street

Victoria Island

Lagos, Nigeria

Tel: +234 (1) 2601290-9, Ext 6396

DL: +234 (1) 2702496

Fax: +234 (1) 2611366

Website: www.oandoplc.com

5 November, 2012

PRESS STATEMENT

Oando PLC Announces YTD September 2012 Results, Posts N9.3bn Profit-After-Tax

Lagos, Nigeria – Oando PLC (referred to as “Oando” or the “Group”), Nigeria’s leading indigenous energy group listed on both the Nigerian and Johannesburg Stock Exchange, today announced unaudited results for the nine months period ended 30 September, 2012, with the following highlights:

Financial Highlights:

• Turnover grew by 24%, N487.8 billion compared to N392.3 billion (2011)
• Gross Profit increased by 3%, N50.7 billion compared to N49.1 billion (2011)
• Profit-After-Tax rose by 6%, N9.3 billion compared to N8.8 billion (2011)

Operational Highlights:

• Oando Energy Resources (OER) listed on the Toronto Stock Exchange (TSX);
• OER completed and tied in the EB-4 well at the Ebendo Marginal Field and has the capacity to increase production by 2,000 bopd, 855 bopd net to OER;
• Oando’s fourth swamp rig refurbishment programme is well on track and is expected to be delivered by 2^nd Quarter 2013 to commence drilling operations with an IOC;
• Oando Gas and Power continued construction of its maiden Compressed Natural Gas project and also commenced construction of Alausa IPP;
• The downstream sector increased its leadership market share in product import and distribution.

Commenting, Mr. Wale Tinubu, Group Chief Executive, Oando PLC said: “We are pleased to report our performance over the past nine months of this year 2012. This period witnessed increased revenues and profitability due to our improved operations and recently commissioned investments.

In the Upstream, the listing of OER on the TSX will provide a platform for raising funds to drive our aspiration for E&P growth through acquisitions and asset development. The Ebendo field drilling program has experienced an increase in gross production capacity to 4,000bopd, with the addition of 2,000bopd from the tie-in of the EB-4 well. Completion of the EB-5 drilling program is positively anticipated. We also successfully commenced drilling on the Qua Iboe field, with the first of three wells to be completed in Q4 2012. Our three rigs deployed in the Niger Delta continue to operate at optimum levels of 90% plus efficiency, with the fourth rig expected to commence drilling operations in the New Year. In the Midstream, our Gas and Power business is at advanced stages of completion of the CNG project and we have commenced construction of Alausa IPP, with both projects aiming to reduce the cost of power generation for commercial customers and significantly increase our total power generation capacity respectively, thereby aid in resolving our drive to increase the nation’s dependence on Gas. Notwithstanding the challenges experienced in the Downstream since the inception of the year, we have increased our leadership in both, product importation and distribution, as well as commenced construction of our mid-stream jetty to increase throughput and eliminate lightering and demurrage exposure.

We recently announced our plans to reduce our net debt through a combination of capital raises, divestments and business combinations to strengthen the company in preparation for focused growth in the high margin E&P sector. These plans are underway and are progressing successfully.

We continue to work towards a resilient performance in the fourth quarter of the year, focusing on driving our business into the next chapter and staying committed to our stated objectives for the year and beyond”

Ends.

For further information, please contact:

Tokunboh Akindele

Head, Investor Relations

2, Ajose Adeogun Street,

Victoria Island,

Lagos,Nigeria.

Tel: +234 (1) 2601290-9,Ext 6396

aakindele@oandoplc.com

Meka Olowola

Head, Corporate Communications

2, Ajose Adeogun Street,

Victoria Island

Lagos, Nigeria.

DL: 01-2805593

PRESS RELEASE

October 30, 2012

Oando Foundation Awards Scholarships; Transforming Tomorrow, Today

October 30, 2012 (Lagos, Nigeria): Oando Foundation, an independently registered charity of Oando PLC, today awarded scholarships to 225 less-privileged children nationwide as part of activities to launch its Oando”’”s Scholar Programme. The event, which held at Civic Centre Lagos, is in line with its vision to transform lives in Nigerian communities through education and economic empowerment.

Beneficiaries will be selected from Oando adopted primary schools throughout Nigeria, and the scheme will sponsor ten (10) outstanding primary six pupils from each of the Foundation/’/s adopted schools, through secondary and tertiary education on an annual basis. The programme will cover the tuition, sundry expenses such as transportation, study materials, school feeding and school uniforms. This is intended to foster the transition the advancement of the future workforce from Primary School to Secondary School education and to equip them with the capacity to compete with peers globally.

Commenting on the launch, Ms. Tokunboh Durosaro, Director, Oando Foundation said: “Basic education is one of the most potent tools for reducing poverty and inequality in modern societies. We believe that intervening in the provision of quality education is critical to laying the foundation for the sustainable growth and development of our country.”

In line with addressing the challenges in the Nigerian education sector, the Oando Foundation, in partnership with the government at various levels, made a pledge to increase access and improve the overall quality of education across the country through its Adopt-A-School Initiative (AASI). Through the AASI, Oando Foundation adopts dilapidated public primary schools to provide new classroom blocks, new roofs, doors, windows, water supply, playgrounds, and sanitation facilities.

Commenting further, Ms. Durosaro said: “A lot of children who are enrolled in Nigerian public primary schools never progress to higher levels of education. Secondary and tertiary education remains mere pipe-dreams for most of them. We are committed to changing this grim story for as many Nigerian children as we possibly can.”

Also commenting, Mr. Wale Tinubu, Group Chief Executive, Oando PLC said, “At Oando PLC, we are passionate and inspired to develop the education sector in Nigeria, because our philosophy at Oando is that knowledge is the bedrock of any world-class aspiration. Pursuant to this, we have committed one per cent of the Oando Group’s profit-before-tax to ensure that the Foundation’s programmes are well funded and sustained”, Mr. Tinubu added.

The Foundation also creates superior learning environment for the teachers through training on pedagogy skills, numeracy & literacy and ICT skills; mostly deficient in public schools. It plans to set up and train School Based Management Committees (SBMCs) to ensure Community

participation in school development. This will ensure the sustainability of each project by garnering the ownership and involvement of the community in infrastructure rehabilitation,

monitoring of teachers, student enrollment levels and pass rates as well as engagement with government education officials.

About Oando Foundation:

Oando Foundation has so far adopted 28 schools across Akwa Ibom, Bauchi, Cross River, Delta, Kaduna, Katsina, Lagos, Ogun, and Rivers States under its Adopt-A-School Initiative. To date, 17,292 students and 399 teachers nationwide have acquired increased access to quality education through Oando Foundation initiatives.

Oando initiated the “Adopt-A-School” programme in April 2007 as its corporate social responsibility strategy aimed at supporting the development of basic education in Nigeria and the West Africa sub region.

The culture of giving back goes beyond the enclaves of the Foundation alone as Oando employees have also demonstrated their care for the children by donating 14,000 books to aid their development.

The employees plan to do even more under the ‘Inspired Hands’ initiative. This initiative will involve employees giving their time and skills to decorate, teach pupils and  train teachers in the adopted schools and fundraise for the Foundation. This is proof that giving back to the society is not just a corporate vision, but a dream the entire employees believe in.

Oando Foundation recently presented its framework of education objectives to several key players in the global education community, including the Clinton Global Initiative in New York, United States.

The Foundation has commenced registration in the United Kingdom and the United States to enhance the visibility of its commitment to education development in Africa and also to leverage on resources through contributions from the private sector, donor agencies, and individuals.

The Foundation plans to adopt 100 schools by 2015; directly affect over 100,000 lives by ensuring over 60,000 pupils have access to quality primary education; broaden the capacity of 3,584 teachers, award scholarships to over 2,560 pupils to reduce direct and indirect costs of education to students and support the Nigerian Government in reaching the second goal of the Millennium Development Goals by increasing the possibility of achieving Universal Basic Education.

Note to Editors

According to UNICEF, Nigeria, Africa’s most populated nation has an approximate 10.1 million children who are not enrolled in any form of schooling. Further, the United Nations Development Programme Report of 2011 (UNDP, 2011), puts Nigeria’s illiteracy rate at about 33 per cent, placing the country in 42nd position on the world literacy ranking, behind less developed countries like Malawi, Uganda, and Tanzania. These statistics illustrate the increasing need for educational reform in Nigeria.

For more information, please contact:

Meka Olowola
Head, Corporate Communications

Oando PLC
2 Ajose Adeogun Street,
Victoria Island,
Lagos, Nigeria.
Email: molowola@oandoplc.com
Tel: +234 (1) 2702400 Ext 6376
DL: 01-2805593

This achievement reflects Oando’ s commitment to Health, Safety, and Environment values, and affirms the company’s determination to remain a leading service provider in Nigeria’s oil and gas industry. LTI is an industry Key Performance Indicator (KPI), which measures adherence to safety and environmental requirements by evaluating the number of injury-bearing incidents capable of preventing a worker from performing or continuing with a task or resulting in downtime in operations.

OES Integrity rig was contracted to a leading international oil company in December 2009 and has successfully drilled, completed and worked over more than 14 wells, without any show-stopping incident. With a 3,000 hp modern swamp barge is equipped with 15,000 psi Blowout Preventers (BOP), OES Integrity is the only rig in Nigeria capable of drilling in High Pressure/High Temperature wells to depths of 30,000 ft.

Commenting, Mr. Badejo Bandele, Chief Executive Officer, OESL said: “We are pleased with this feat achieved on the strength of our zero tolerance policy for stopping incidents in all our operations. The OES Integrity team has demonstrated their competence in world-class drilling operations and sound Health, Safety and Environmental (HSE) values. We are committed to delivering consistent value to our clients’ drilling operations to the highest safety standards”.

Also commenting, Mr. Chijoke Akwukwuma, Chief Environment, Health, Safety Security and Quality (EHSSQ) Officer, Oando PLC, “the health and safety of our employees are of the utmost importance to us. We strive to always be a bastion in oil and gas operations in terms of safety and environmental-friendliness, and we ensure our employees are always well-versed in the Oando culture of uncompromised safety and environment protection. We are committed to deploying best practice that meets global standards across our operations in conformity with world-class aspirations”.

Oando PLC has embraced vibrant policies and procedures covering product quality, safety, environment, health, security and emergency readiness to ensure that all its operations meet international safety requirements, guided by its “14 life-saving rules”. The company has a robust and strong Environment, Health, Safety, and (EHSSQ) framework for employees that include training, regulatory certifications and a “stop work” policy which empowers employees to halt an operation on the account of unsafe work conditions. In addition, it hosts an annual ‘Safety Week’ to deepen awareness and strengthen an incidence-free work life culture.

About OES
Oando Energy Services Limited (OESL) is a leading indigenous energy services company that offers high quality oilfield services to E&P companies operating in Nigeria by deploying a suite of best practices, innovative technology, safety procedures, high quality support and environmentally sound well site operations, which increases efficiency, lowers operating costs and enhances asset value for its clients.

OESL have three major offerings namely:

• Drilling and Completion Fluids Services
• Drill Bits and Engineering Services
• Drilling Rigs

The company has five swamp rigs making it the largest swamp rigs fleet operator in Nigeria. These rigs are:

• OES Teamwork
• OES Respect
• OES Integrity
• OES Passion
• OES Professionalism

-Ends

For More information, please contact:
Meka Olowola
Head, Corporate Communications

Oando PLC
5th, 7th -10th Floors
2, Ajose Adeogun Street,
Victoria Island
Lagos, Nigeria
DL: 01-2805593
Website: www.oandoplc.com

 The initiative is in line with OMP’s plan to switch millions of Nigerians from biomass to a clean, efficient, affordable and sustainable LPG using Oando’s OGAS 3kg cooking stove, an integrated offering that  comes with a cylinder, burner, and gas.

 The agreement was signed by Yomi Awobokun, Chief Executive Officer , Oando Marketing PLC; Dr. Kamakhya Singh, Chief Financial Officer, LAPO,  and Tokunboh Ishmael, Managing Partner Alitheia Capital on Thursday, August 30, 2012 at Oando’s headquarters in Lagos.

 Access to LPG by the low income group has been hindered primarily by affordability and accessibility. To address the issue of affordability, OMP introduced a portable 3kg cylinder to suit the purchasing power of this socio-economic group. The cooking stove cost N6,800 and customers can refill with any amount they can afford per time through the company’s Pay-As-U-Gas metering system  or swap the cylinders for an outright refill at N800.

 The OGAS cooking stoves are directly available to end-users via the company’s existing vast network of over 500 retail stations and a growing network of authorized distributors.

 Oando Marketing through selected Microfinance Banks (MFBs) is developing a tertiary network of retailers that ensures that O-GAS stoves are available within 10 minutes of every end user. To fund the MFBs, OMP created a Special Purpose Vehicle (SPV) called the Clean Cooking Fuel Initiative Limited, (CCFI) to provide on-lending debt capital. The SPV will be funded by Oando and other investors and managed by Alitheia Capital; an Asset Management firm specialized in impact investment.

 LAPO is the first MFB to enjoy on-lending debt capital to kick start this initiative and provide low-income households an opportunity to start a new business venture. In addition to OMP’s partnership with LAPO, other seasoned MFBs are poised to join the initiative in the near future.

 The benefits of this scheme include: an increase employment through entrepreneurial opportunity, provision of a cleaner and safe fuel option for lower income households, reduction of Indoor Air Pollution (IAP) that causes significant health problems, a decline in carbon emissions caused by dirty fuels, and a decrease in the rate of deforestation in Nigeria.

 Commenting on the signing, Mr. Awobokun said: “This is another important step in our quest to provide innovative and affordable LPG cooking stoves to an estimated 5 million low income households over the next five years. We are strongly encouraged by the reception and feedback from consumers and other relevant stakeholders since we introduced the 3-in-1 gas cooking stove this year. This partnership with LAPO is one of many to boost our effort to switch majority of Nigerians from the use of biomass fuel to deepen LPG utilization”

 Also commenting, Kamakhya Singh said: “We are pleased to be part of a truly remarkable program that will undoubtedly provide a healthier cooking people at the bottom of the pyramid as the first MFB to sign up. We will tap into our twenty year micro financing experience to encourage and support as many entrepreneurs as we can nationwide pan Nigeria leveraging our diverse customers’ base.”

 About Oando Marketing PLC

Oando Marketing is a fully owned subsidiary of Oando PLC. As Nigeria’s leading oil marketing retailer, it sells and distributes products via over 500 retail service stations and over 500 industrial customers cutting across Nigeria. Oando Marketing also has 2 operational subsidiaries in Ghana and Togo with over 40 service stations.

About LAPO

LAPO Microfinance Bank Limited is the largest microfinance organization in Nigeria across 28 states with over 270 branches, and is a pro-poor financial institution committed to the economic empowerment of low-income Nigerians through the provision of financial services to micro and medium enterprises on affordable terms.

-       Ends

For More information, please contact:

Meka Olowola

Head, Corporate Communications

 Oando PLC

5th, 7th -10th Floors

 2, Ajose Adeogun Street,

Victoria Island

Lagos, Nigeria

DL: 01-2805593

Website: www.oandoplc.com

• Signs a Farm-in Agreement with Network Exploration & Production Nigeria Limited for the acquisition of a 40% participating interest in the Qua Iboe field (OML 13)

• Competent Person Reserves estimate of 11.3 mmbbl  (2P reserves)

• Oando designated Technical and Financial Services partner

Lagos, Nigeria: Oando Exploration and Production Limited (“OEPL”), a subsidiary of Oando PLC with 13 exploration and production assets, is pleased to announce that it has signed a farm-in agreement with Network Exploration & Production Nigeria Limited (“NEPN”) for the acquisition of 40% participating interest in the Qua Iboe field (OML 13) subject to the consent of the Honourable Minister of Petroleum.

OEPL and NEPN signed all agreements relating to the transaction on the 2nd of February 2012 and have subsequently filed an application with the Department of Petroleum Resources (“DPR”) for the consent of the Honourable Minister of Petroleum Resources. Upon the Minister’s approval, OEPL would have acquired a 40% participating interest in the Qua-Iboe field (OML 13) and will be designated the Financial and Technical Services Partner, delegated to perform some of the Technical and Project Management duties and obligations of the Operator in the development of the Qua Iboe field.

The field, which is in Shell Petroleum Development Company of Nigeria (SPDC) OML 13 was awarded to NEPN as part of the 2003 Marginal Field Round. Located onshore near the mouth of the Qua Iboe River in Akwa Ibom state, the acreage is about 2 kilometers from Mobil Producing Nigeria (MPN) Qua Iboe Terminal.

Commenting on the acquisition, Pade Durotoye, Chief Executive Officer, OEPL states; “This asset is estimated to contain 11.3 mmbbl of 2P reserve, which immediately increases our reserve base by about 50%. We are excited that the post-drilling mapping along with new seismic interpretation supports technical and economic producibility of the asset. Our selection as the technical partner further underscores our world class asset development and project delivery capabilities”.

Also commenting, Wale Tinubu, Group Chief Executive, Oando PLC said: “This strategic acquisition is consistent with our aspiration to expand our E&P portfolio with a balanced mix of producing or near term assets and organic growth. The Qua Iboe field will be the third Marginal Field with pre-existing Proven Undeveloped Reserves in Oando’s portfolio. Subject to all regulatory approvals, our immediate objective is to fast-track the development programme towards achieving early production thereby enhancing stakeholder value.”

Asset Details

Three wells, Qua Iboe – 1, Qua Iboe – 2 and Qua Iboe – 3 have been drilled in the field.  Qua Ibo – 1 well, drilled by SPDC in 1960, was plugged and abandoned after inconclusive tests. The subsequent appraisal well Qua Iboe – 2, in 1971 found oil in 6 horizons and gas in 5 zones at depths of 3310 to 7100 ft.  Qua Iboe – 2 well, is currently suspended. The drilling of Qua Iboe – 3 Appraisal well began in the 4th quarter of 2008 and was completed on 16th January 2009 when the well was suspended.

The primary objective of the Qua Iboe – 3 appraisal well was to determine whether oil seen in the deeper D 5.0 zone in wells Qua Iboe – 1 & 2 was from one continuous pool linking both wells. The appraisal confirmed that the D 5.0 zone is compartmentalised by a fault and that both wells are in separate independent fault blocks. Drilling results showed that the 2 – D seismic data used for mapping were good because the depths of most zones encountered agreed with the pre-drilling predicted depths.

Post-drilling mapping using the prior drilling results along with some reprocessed Seismic suggests the potential of the deeper D 5.0 major zone to be more extensive southwards thereby increasing its oil-in-place and reserves.

In March 2011, Netherland and Sewell Associates Inc. (NSAI), a foremost oil and gas reserves certification company, completed a reserves certification study on the Qua-Iboe field.

For More information, please contact:

Meka Olowola

Head, Corporate Communications

Oando PLC

2, Ajose Adeogun Street,
Victoria Island,
Lagos, Nigeria.

DL: 01-2805593
molowola@oandoplc.com