28 Oct

Daily Watch – Power supply dips again, No one wants to buy Oando shares

  • Electricity generation from Nigeria’s biggest power plant, the Egbin Thermal Plant, dropped by 18.8 per cent to 660 megawatts. Supply to the national grid as a result, dropped to 3,990.36MW as of October 26 from 4,029.39MW the previous day. The Egbin plant has an installed capacity of 1GW, but has been running at an average of 800MW in the last few weeks.
  • About 42 million Oando shares were on full offer on Tuesday as investors lined up to off load the stocks amidst the historical loss recently reported by the company. The company in its 9 months results released earlier reported another loss before tax of about N52 billion adding to the woes incurred by shareholders. The share price closed at N8.13 representing a 9.6% drop. Oando has now lost 49.5% year to date.
  • A total of 278 Nigerian and foreign oil companies have submitted bids for the sale and purchase of crude oil. However, only 16 of them may be successful with their bids. Currently, there are 43 contract holders licensed to lift the country’s crude. The bid opening to determine the successful bidders among the 278 firms was conducted at NNPC headquarters on Tuesday. Meanwhile, operators in the country’s petroleum downstream sector have complained that government’s interference in the value chain, is destroying and frustrating downstream-focused businesses.