Oando FINAL

Oando plcA strategic analysis of the company with recommendationsMSc Strategy & International Business 3/10/2011

This report will conduct a strategic assessment of Oando plcs current global competitive position with the help of Porters Diamond model. The analysis made will provide a basis for strategic recommendations that Oando plc should implement in the future.

Contents1. Introduction ........................................................................................................................................ 3 2. Analysis of the current global competitive position ........................................................................... 3 2.1 Company Background ................................................................................................................... 3 2.2. External Analysis .......................................................................................................................... 5 2.2.1. 2.2.2. 2.3. Outlook on African Oil and Gas Industry ........................................................................ 5 Outlook on Nigerian Oil and Gas Industry ...................................................................... 6

Oil Industry Structure .............................................................................................................. 7

2.4. Internal Analysis - Oandos Operations ....................................................................................... 9 2.4.1. Upstream .............................................................................................................................. 9 2.4.2. Midstream ............................................................................................................................. 9 2.4.3. Downstream.......................................................................................................................... 9 2.5. 3. Strategic Position .................................................................................................................. 10

Analysis of Oando plc using Porters Diamond ............................................................................. 11 3.1. The Role of the Government ..................................................................................................... 11 3.2. Factor Conditions ....................................................................................................................... 11 3.3. Demand conditions .................................................................................................................... 12 3.4. Related and supporting industries ............................................................................................. 12 3.5. Firm strategy, industry structure and rivalry ............................................................................. 13

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Conclusion ..................................................................................................................................... 14 4.1 Recommendations ...................................................................................................................... 14 4.2 Shortcomings .............................................................................................................................. 15 4.3. Summary .................................................................................................................................... 15

References ............................................................................................................................................ 16 Appendixes............................................................................................................................................ 18

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1. IntroductionThis report will conduct a strategic assessment of Oando plcs current global competitive position with the help of Porters Diamond model. The analysis made will provide a basis for strategic recommendations that Oando should implement in the future. Oando plc is one of Africas largest integrated energy solutions providers; it recently increased the scope of its operations from purely downstream into mid- and upstream. This report will expose the underlying reasons for this strategic shift through the lens of Porters Diamond. The chosen model illustrates how Nigerias national competitive advantage has shaped Oandos strategic development to become integrated Oil and Gas Major in Africa. Oando now possesses a firm-specific advantage, which could be characterized as resultant of favourable domestic demand, factor endowments, related and supporting industries, industry structure, rivalry and firm strategy.

2. Analysis of the current global competitive position2.1 Company BackgroundOando plc commenced operations in 1956. It was listed on the Nigerian Stock Exchange in 1992, following the acquisition of 60% majority stake in Unipetrol Nigeria Plc during the 1st phase of the governments privatisation process. It achieved a secondary listing on the Johannesburg Stock Exchange in 2005 (Oando Plc, 2011). From its genesis in the downstream petroleum sector (marketing, supply and trading), Oando has redefined its business model to encompass the entire value chain in the oil & gas industry including midstream (gas and power) and upstream (exploration and production) segments in recent years. Oando consolidated its subsidiaries into an integrated energy group actively serving the West African region, with expansion plans into the rest of Africa (see table 1 for company structure). The upstream segment of the oil and gas industry has a higher EBITDA margin (Afrinvest WA, 2010), strategic diversification in this segment has enabled the group to continue to achieve outstanding performance (2010 Q3 turnover US$1,872.63m (Oando Plc, 2010) and higher margins. The successful launch of an offer to raise N20 billion (US$129m) through the issuance of ordinary shares in Nigeria and South Africa in January 2010, has led to it commencing its long-term strategy implementation, which is to become an African Oil major by taking full advantage of the Nigerian Content Act (2010).

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Table 1: Oando Plc Company Structure

Source: (COO, 2011)

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2.2. External Analysis2.2.1. Outlook on African Oil and Gas Industry

Crude Oil and Gas Reserves The major crude oil reserves are located in Libya and Nigeria (see appendix 2 table 1) while there is potential for production in Somalia, Ghana and Uganda (see appendix 2 table 2). Algeria, Egypt, Libya and Nigeria possess 91.5% combined of proved African reserves (Anyanwu, 2010).

SupplyProduction of Oil and Gas in Africa (2009)

Africa is expected to increase its share of world production from 12% to 15% by 2015 (Anyanwu, 2010). Gas production fell in spite of a large production capacity. Production is expected to increase by 3.6% by 2035 (Doma, 2010). Demand

Graph 1

Crude oil consumption in Africa has grown steadily equalling 3.1 million b/d in 2009, representing about 3.7% of global consumption, reflecting low level of development, industrialization, and technology (Anyanwu, 2010) see appendix 2 table 3. Natural gas consumption in Africa is still very low representing about 3.2% of global consumption (see appendix 2 table 4).

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2.2.2. Outlook on Nigerian Oil and Gas Industry Table 2: PEST AnalysisImpact on organisation Impact on organisation8 9 8 10 7 5 4 10 4 2 3 7,5 9 8,5 8,5 5 7,5 2

Certainty

Opportunities

Threats

1 2

Political

3 4 5 6 7 1 2

3 4 5 6 7 1 2

Social

Nigerian Content Development Bill - Increasing role of Nigerian 9 companies in oil and gas industry (Nigerian Content Act, 2010) Plans to process at least half the crude oil produced in Nigeria by 2010 7 - Target still to be achieved (BMI, 2010) Foreign minister plans to increase Nigeria's OPEC production quotas 9 and taxes on overseas companies (Bloomberg, 2010) Full deregulation of the downstream sector of the petroleum industry 8 and privatisation of refineries (Okereke, 2009) Formation of an Organisation of Gas Exporting Countries - Gas OPEC 8 (African Development Bank, 2010) Government authorisation to allow private companies setting up 9,5 power plants using natural gas (Bloomberg, 2010) Emission certificates gained from gas produced electricity (African 3 Development Bank, 2010) Large oil and gas reserves will remain a key economic driver (BMI, 9 2010). "New oil frontier area of the West African coast (EIA, 2010) 6% GDP growth linked to an emergence of a new middle class (African 6 Business, 2010) Demand will grow - higher oil prices, depletion of resources and 8 better operational environment (Nigerian Content Act, 2010) Public debt cancelled by the Paris Club initiative - No heavy debt 4,5 servicing costs, capacity to invest in crucial infrastructure (BMI, 2010) FDI from China could provide the necessary increase to foreign 4 investment inflows in the country (BMI, 2010) The corruption record is improving - Nigeria's score with 6 Transparency International has risen to 2.5 in 2009 (BMI, 2010) Promote economic diversification. Adopt Indonesian approach by 6 investing into manufacturing and agriculture (Ross, 2003) Urgent efforts should be made to implement HIV/AIDs programs into 8 CSR (Ross, 2003) Reforms of the financial industry give Nigerians in the Diaspora the 5 confidence to return home (African Business, 2010) Arabic countries slowdown and hurricane in Gulf Mexico (OPEC, 2010) 9,5

9 6 8,5 7,5 1 9,5 2 5 7 5 3 4 5,5 3 4,5 6 5,5

1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5

Oil exports as a percentage of governmental revenue accounts for 9,5 109% (African Development Banks, 2010) Renegotiated contracts with international companies for greater share 7 of profits from deep-water fields (African Business, 2010) Slowdown in the privatisation process (BMI, 2010)

The Nigerian economy is dependent on the oil sector - 92% of total exports (African Development Banks, 2010) Weak global demand, Euro zone debt crisis, Dollar exchange rate against other currencies affecting volatility in prices (BMI, 2010) EIA (2010) worst case scenario predicts an oil price of $210 in 2035 Forecast volatility of net FDI into Nigeria in the period to 2014 (FT, 2010) Oil exploration pollutes farmland and kills fish - key economic resource for rural community (Udoh, 2007) High corruption Transparency International ranks Nigeria 121st out of 180 in Global Corruption Perceptions Index (BMI, 2010)

9,5 5,5 3 6,5 8 8

Economic

Pipeline vandalism - (MEND) The Movement for the Emancipation of the Niger Delta (EIA, 2010) 90.8% of Nigerians live on less than US$2 a day (BMI, 2010) Largely unionised society makes reforms difficult (BMI, 2010) 25% of workers are infected with HIV/Aids. (Ross, 2003) Semi skilled oil workers use their wealth to access impoverished girls in the Niger Delta (Ross, 2003) Limited infrastructure in place to develop the natural gas reserves (EIA, 2010) Refineries have never been fully operational due to pipeline vandalism, poor maintenance and theft (EIA, 2010) 40 % of gas is flared given the lack in infrastructure (EIA, 2010) Dire electricity supply - It leaves businesses and homes dependent on diesel-powered generators (African Business, 2010) Correlation between changes in oil prices and construction cost increases - costruction contributes to development (Olatunji, 2010) Small construction sector relative to the countrys size and economic growth levels (BMI, 2010)

10 9 8 7 3,5 6 7,5 8,5 8,5 8 6

3 4 5 1

Technological

2 3 4 5 6

Nigerian crude oil - Light, sweet quality crude is a preferred gasoline feedstock (EIA, 2010) West African Gas Pipeline (WAGP) for gas export to Ghana, Togo and Benin - further project to expand it to Cote D'Ivoire (EIA, 2010) Trans Saharian Gas Pipeline. Carry natural gas from Nigeria to Algeria export terminal.Total and Gazprom interest (EIA, 2010) Pipeline network from the Nigerian Gas Company city gate to cover Ikeja and the Greater Lagos Area (Oando, 2010) The Viva project - methanol plant, when completed (by 2012) would be the worlds largest methanol plant (BMI, 2010)

8,5 9 9 9,5 8

8 10 4 10 8

1 2 3 4 5 6

Legend

0 to 10 = minimum to maximum

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Certainty9 7 4

Graph 2: PEST IMPACT/CERTAINTY MATRIX

Cluster 1

Cluster 2

Cluster 3

2.3. Oil Industry StructureThe oil and gas industry value chain is segmented in three major streams (Oilfielddirectory, 2011)

This segment involves exploration, drilling and production of oil and gas. It controls the supply of oil and gas which influences prices in the downstream.

This involves transportation of oil and gas from the extraction site to refineries. It is usually considered as an extension of the upstream or downstream.

This involves the final processing, product distribution and marketing. It includes oil refineries, crude oil, petroleum and natural gas distribution and retailing.

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Graph 3: Competitive landscape

Major competitors Shell: is the biggest player in Nigeria with 10 gas plants, 1,000 producing wells, and 87 flow stations (Shell, 2011). ExxonMobil: is the second largest with over 90 offshore platforms, 283 flowing completions in 353 wells and a production capacity of about 720,000 barrels of crude, condensate and natural gas liquid a day (Exxonmobil, 2011).

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2.4. Internal Analysis - Oandos Operations2.4.1. Upstream Oandos upstream operations consist of two SBUs (Table 1). Oando Exploration and Production Limited (OEPL) has grown successfully through oil and gas asset acquisitions of onshore and offshore activities and is currently seeking new investments in nearingterm production opportunities (Oando plc , 2011) Oando Exploration Services (OES) is planning to take advantage of increased demand and is growing via acquisitions and partnerships with global multinationals. It has recently increased its capacity through the purchase of five drilling rigs and is intending to further invest US$500 million in the next five years (Oando plc , 2011). The bulk of OESs services include fluids management services; however OES is trying to increase its margins and shifting its focus to the lucrative swamp rig drilling. The latter is underdeveloped in Africa; therefore Oando intends to capture the market whilst competition is low. Nevertheless the companys operations in drilling inputs and services have been suffering from reduced demand (CSL Research, 2010). OES draws its strength from being a specialist local company which understands the industry challenges, knows how to add value to clients operations and has experience of working with Multinationals. However, OES is subject to the threats of a hostile operational environment in the Niger Delta (CSL Research, 2010). 2.4.2. Midstream Oando Gas & Power (OG&P) oversees Oando Plcs gas and power businesses; it pipes and distributes natural gas to industrial and commercial consumers in Nigeria. The subsidiaries include various Gas and Power companies (Table 1). The company has invested over N16 billion in developing a gas pipeline network. This investment has garnered OG&P control of a considerable share market. There has also been an N18billion investment to develop a 128km cross-country gas pipeline in the South-East. Oando justifies huge investment due to expected guaranteed growth of the manufacturing and power sectors (Bakare, 2010). It went further to acquire an Oil Prospecting License (OPL) 236 to serve identified customers in some regions. They have also invested in the development of a 12MW independent power project for the Lagos State Water Corporation (Bakare, 2010). Key challenges that could hinder future growth plans in the gas to power initiative are funding, regulations, sanctity of contract, and community issues (Osunsanya, 2010). 2.4.3. Downstream There are three SBUs under the downstream operations (see Table 1). 9

Oando Marketing Limited (OML) delivers services that provide a stronger platform for competitive advantage. These strategic services are quality assurance, guaranteed stock availability, professional stock management and flexible pricing. Although the upstream activities are more profitable than the downstream, OML is a leader in its industry with over 500 outlets based in West Africa (Oando, 2010). It has a varied product offering ranging from Aviation Turbine Kerosene (ATK) to Oando insecticide. Oando Supply and Trading looks after the trading and bulk supply of crude oil and refined petroleum products within the local, regional and international markets. The three main trading activities that Oando is currently involved in are: Clean Products, Specialized Products and Crude Oil. It also has subsidiaries in London and Bermuda that deal with the trading of crude oil and refined petroleum. Oando Refining and Terminaling is the newest addition to their operations. When entering this specialist field Oandos objectives were to achieve a footprint in all sections of the industry value chain. (OPEC, 2010).

2.5.

Strategic Position

Graph 4: GE Matrix

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3. Analysis of Oando plc using Porters DiamondFollowing the analysis of firm-specific advantages of Oando plc an assessment of the country specific advantages is necessary. Porters Diamond allows for an in-depth investigation into why a particular country is successful in a specific industry. Oandos operations are largely local and regional, thus this model would be appropriate for the analysis of the industry in the area in which Oando is operating. Porters Diamond is comprised of elements that promote the development of national competitive advantage (Hill, 2009) and this would add substantial value when building up future recommendations.

3.1. The Role of the GovernmentGovernments role influences each of the determinants of Nigerias oil industry national competitive advantage. Oil and gas is a highly regulated industry given its high share in government revenues and country exports.

3.2. Factor ConditionsNigeria is endowed with abundant physical resources. Its reserves of crude oil account for 37.2 billion barrels and gas reserves put it among the top 4 countries in Africa (Anyanwu, 2010). Consistent with the Heckscher-Ohlin Theory (Hill, 2009), Nigeria exports its natural endowments to global markets. This argument could be expanded by referring to the governments revenues for the crude oil (Anyanwu, 2010) which is identified as the countrys main export. Conversely, gas reserves are not being developed at full capacity given a lack in advance factors endowments, namely infrastructure for gas exploration and extraction; however this is being overcome by government and private companies investment. Given the small size and lack of know-how of the Nigerian construction sector, the national disadvantage in advance factors for the oil and gas industry has been tackled by major foreign oil companies through investment in the development of infrastructure for oil exploration, extraction and skilled workforce in the upstream sector. The export trend of natural resources and the national disadvantage in important infrastructure for processing the crude oil (refineries) and extracting natural gas has influenced Oandos strategy. The company shifted from operating in the downstream sector to functioning in the industrys entire value chain (FT.com, 2009), therefore building up its firm specific advantage through exploiting the

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countrys specific advantage. This was eased by government intervention requiring a major share in the industry for Nigerian companies (Nigerian Content Act, 2010).

3.3. Demand conditionsPorter (1998) stated that home demand conditions for an industrys product or service help firms shape their rate of improvements and innovation. Demand is very high for Nigerian oil and its economy is hugely dependent on oil exports (92%). Electricity supply is poor therefore local demand for petroleum products for cars and generators is high. In addition, the government has been dependent on imports of refined crude for its citizens as a result of the poor state of refineries. Increasing demand for stable electricity supply in the country has led Oando to begin developing electricity infrastructure. This was successfully implemented for the Lagos state government and further projects are being planned for the Rivers state government and other West African regions. The home conditions of Nigerian Oil and Gas industry helped shape Oandos growth process. From a marketer and distributor of petroleum products, Oando shifted to meeting local needs for gas, by constructing the infrastructure needed for power generation. Demand conditions are also affected by the Petroleum Products Prices Regulatory Agency (PPPRA) Act of 2002 having the power to fix the price of domestic oil, which is becoming increasingly expensive (Okediran, 2005). Home demand has also been influenced by the governments privatisation process and the Nigerian Content Act 2010, which seeks to increase indigenous participation in the industry. Oando also expanded into regional African markets where demand was also growing.

3.4. Related and supporting industriesThrough mergers and acquisitions, Oando has overcome most of its national competitive disadvantage (lack of good infrastructures) by using its partners resources, which has led to the development of its own firm specific advantages. Oandos value chain has become self sufficient, however there is some dependency on both local and foreign assistance in the completion of projects and the supply of necessary materials & equipment. The Nigerian National Petroleum Corporation (NNPC) used to be the only supplier of refined petroleum. As a result of their inefficiencies, Oando vertically integrated backwards to manage their supply chain (Adegboyega, 2008). The company is now the supplier of its downstream business, though there are a few alternative sources of supply such as the NNPC and other oil majors. Oandos business in the upstream sector has been assisted by a strategic alliance with Halliburton who supply all input materials for oilfield operations (Adegboyega, 2008).

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Oando has outsourced part of the activities in its outbound logistics. Transportation is a separate business unit requiring distinctive expertise, and Oando depends on both local and foreign companies for this (Adegboyega, 2008). Other collaborations for project support include a strategic alliance with Gazprom to develop projects in oil and gas assets and infrastructures in the West sub-region and the Gulf of Guinea. Also, OG&P has incorporated subsidiaries in West Africa to collaborate with local companies to deliver gas distribution services to the region (Oando Plc, 2011).

3.5. Firm strategy, industry structure and rivalryNigerian petroleum industry is managed by the federal government which has ownership and control rights anchored in the 1969 Petroleum Act (Akpan, 2006). The current two contractual fiscal regimes dominating the upstream segment, namely Joint Ventures and Production Sharing Contracts, represent a system for the government to generate revenues through the E&P activities of MNEs. It could be argued that this distribution of forces led to a certain degree of strategic herding, as industry players have to deal with the government and bureaucracy on a regular basis. Indeed, they are heavily dependent on the sole provider of natural resources, which is the Nigerian State resulting on a state of co-opetition (Pipelineinternational.com, 2010). Shell, ExxonMobil, Chevron, Agip, Total and Phillips currently dominate the countrys upstream sector (Akpan, 2006), where Oando still has to prove itself. Intense competition with major multinationals is likely to drive the companys efforts for achieving sustainable competitive advantage in this segment; current legislative changes - PIB are also estimated to be favourable for indigenous companies like Oando. In the midstream sector Oando will benefit from the PIB as well. The bill will encourage the development of natural gas over crude oil, which the government believes can stimulate economic growth (PFC Energy, 2010). Oandos leadership in the downstream segment could be deemed resultant of the highly competitive Nigerian industry structure. The company managed to sustain their leading position in spite of increased competition by the worlds largest energy companies (Total, Chevron and Shell). To become an African major, Oando plans to shift from the nearly saturated downstream market towards the more profitable upstream and midstream. By 2013, Oando aims to generate only 20% of their profits from the downstream. It is now investing heavily in production & exploration, building terminals and pipelines, in order to reduce operating costs and increase returns. Oando aims to leverage the synergies generated from having production and transportation assets (FT.com, 2009). It is currently building $100m of gas pipeline in Nigeria annually for domestic consumption. It has its own production operations on land and swamp, and invests in offshore operations of international companies (FT.com, 2009). Oandos focus is local; being an integrated energy company with local assets provides them with better returns, reduces currency risk and makes it possible to offer better products for the customer. Oandos expansion plans are primarily in Nigeria, but they would also consider the Gulf of Guinea, Ghana, Angola and Gabon. Oando competes with international majors in Nigeria; the companys local interest is also a differentiation point from competition, the investment focus being on 13

increased wealth generation in the country, whereas multinationals usually prefer exporting those revenues (FT.com, 2009). Oando possesses significant internal resources for achieving its long-term strategic goals. Firstly, the company is adaptable and able to operate in a tumultuous environment in spite of changing governments and legislation. Secondly, Oando has the potential of further utilising the scale of its integrated operations, in order to drive higher returns across different divisions. The release of some downstream resources should drive the increased focus on the upstream. Thirdly, the company has succeeded in building a very strong local brand, focusing mainly on Nigeria, which is a great differentiator against competition and has also helped the company gain access to finance. Oandos fourth key resource is its people, the human assets in who the company invests a lot and who will be shaping its future. Finally, Oando is strong in Corporate Social Responsibility, having a real interest in developing local communities. This strength can be leveraged in negotiations with the government (COO, 2011).

4. Conclusion4.1 RecommendationsLooking at Oando as a corporate entity, the argument developed leads to recommend for the company to concentrate on the upstream as a first priority and midstream as a second. Referring back to the GE Matrix, considering the potential growth and market attractiveness of the SBUs, it is recommended that Oando pursues the strategy of increasing the scale and scope of its upstream operations. The company can build up its assets in the medium term through strategic acquisitions by using the resources made available through divestitures in the downstream (up to 49% of its Marketing division (COO, 2011). Current legislative changes in the industry will encourage local participation in the oil and gas industry in the medium to long term; international oil companies are expected to divest of assets in the upstream segment (Oando, 2009). Oando can take advantage of this opportunity and capture some of those E&P assets. At the same time, Oando can also leverage partnerships with domestic and global players to further increase the scope of its upstream operations. OES is in a very strong position as they have 85% of the market share for swamp rigs (COO, 2011). It is recommended that they protect their competitive position in this market segment, as EBITDA margins are between 45-50%. Oando will furthermore benefit from the Nigerian Content Policy and their indigenous status. They can therefore leverage the positive industry outlook and their internal strengths, by concentrating on onshore swamp operations and partnering up with multinationals, especially in the view that they already have experience in international partnerships (through their alliances with Halliburton and Baker Hughes). Given the dynamics of the Porters diamond in terms of National Competitive Advantage, Nigeria is an interesting case for investment into the midstream energy sector (gas). The local policy initiatives 14

encourage the development of gas industry and there are excellent factor endowments in Nigeria. Oando should continue building its gas infrastructures in order to expand its distribution capacity in Nigeria. The company should also leverage the existing partnership with the Russian Gazprom and find other partners among large gas companies to build alliances which will be beneficial in terms of knowledge acquisition and exploiting environmental opportunities. In the medium to long term, Oando could expand into other West African countries, building up on the advantage of having existing Marketing subsidiaries in Ghana, Togo and Benin. This will give the company an opportunity to generate further economies of scale through integration of midstream and downstream in those countries. Oando can take advantage of the Trans Saharan Gas Pipeline (PEST table) as it will enhance their ability to export gas.

4.2 ShortcomingsThe conducted analysis is limited since it was mainly based on the Porters Diamond model. It would have been beneficial to complement this analysis with a resource-based view in order to justify the companys long-term strategic success and competitive differentiation. However, the perspective of the Porters model justifies the attractiveness of the oil and gas industry in Nigeria which led to the establishment of the national competitive advantage transformed into a firm specific advantage by Oando.

4.3. SummaryTo conclude, given the governments heavy dependence on oil exports, high factor endowments in gas reserves and technological opportunities (PEST), Oando should hedge risk of its portfolio by diversifying in the gas segment. Also, the technological threat of discontinued electricity supply in Nigeria and the political opportunity of benefits provided by emission certificates could create a market space for Oando in gas-powered electricity plants.

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References

Adegboyega, A. (2008). How Thirst For Growth Is Satisfied Through Acquistition and Vertical Integration: A Case Study of Oando Group Nigeria. MBA Thesis, Nottingham University Business School, Nottingham. Afrinvest WA. (2010). Afrinvest Weekly Market Summary (Investment Research). Retrieved February 15, 2011, from http://www.afrinvest.com/attachments/WeekEnded26thNovember2010.pdf Akpan, W. (2006). Between Responsibility and Rhetoric: Some Consequences of CSR Practice in Nigerias Oil Province. Development Southern Africa , 23 (2). Anyanwu, J. (2010). Crude Oil and Natural Gas Production in Africa and the Global Market Situation. . African Development Bank , 1 (4), 1-8. Bakare, B. (2010). Oando Appraises Investment in Gas Distribution, Power Project. Retrieved March 2011, from The Nation Online: http://thenationonlineng.net/web3/mobile/business/energy/10672.html Bloomberg. (2010). OPEC's First Lady Alison-Madueke Grapples With Nigerian Reform. . Retrieved February 2nd, 2011, from http://www.bloomberg.com/news/2010-09-13/opec-s-first-lady-alisonmadueke-grapples-with-nigerian-reform.html COO, O. M. (2011, February 25). Oando's Strategic Position. (ABS, Interviewer) CSL Research. (2010). Oando investment report. Retrieved January 25, 2011, from CSL Stockbrokers Website: http://www.firstcitygroup.com/cslresearch Doma, L. (2010). International Energy Outlook. U.S. Energy Information Administration. Washington: U.S. Energy Information Administration. Exxonmobil. (2011). www.exxonmobil.com. www.exxonmobilafrica.com Retrieved March 1, 2011, from

FT.com. (2009). FT.com Companies. Retrieved February 15th, 2011, from http://www.ft.com/cms/s/240d4b40-835d-11de-a24e00144feabdc0,Authorised=false.html?_i_location=http://www.ft.com/cms/s/0/240d4b40-835d11de-a24e00144feabdc0.html&_i_referer=http://search.ft.com/searchqueryTextQ&AWITHOANDOCEOftsearch Hill, C. W. (2009). International Business Competitng in the Global Market Place (8th ed.). (M.-G. Hill, Ed.) New Tork: McGraw-Hill Irwin. NigerianLocalContentAct. (2010). Nigerian Content Act. National Assembly. Abuja: Federal Republic of Nigeria.

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Oando. (2010). Oando Plc. Retrieved February 2nd, 2011, from www.oandoplc.com: http://www.oandoplc.com/wp-content/uploads/Corporate_Brochure.pdf Oando plc . (2011). Oando Energy Services. http://www.oandoplc.com/oando-energy-services/ Retrieved January 15, 2011, from

Oando plc . (2011). Oando Exploration and Production. Retrieved January 15 , 2011, from http://www.oandoplc.com/oando-exploration-and-production/ Oando Plc. (2010). Oando Plc. Retrieved March 9th, 2011, from Oando Plc website: http://www.oandoplc.com/media/press-release/q3-financial-results-sens-announcement/ Oando Plc. (2011). www.oandoplc.com. Retrieved February 16, 2011, http://www.oandoplc.com/media/press-release/q3-financial-results-sens-announcement/ from

Oilfielddirectory. (2011). Oilfield Directory Publications. Retrieved February 16, 2011, from http://www.oilfielddirectory.com/article/detail.php?id=71 Okediran, W. (2005). Parliamentary Initiatives in Energy Legislation and Sustainable Development The Nigerian Pespective. The Parliamentary Forum on Energy Legislations and Sustainable Development, (pp. 2-11). Cape Town. OPEC. (2010). OPEC 2010 World Oil Outlook. Retrieved January 31st, 2011, from OPEC: http://www.opec.org Osunsanya, B. (2010). Meeting Nigerias Power Demand. Retrieved March 2011, from Africacncl.org: http://www.africacncl.org/Events/downloads/OANDO%20Meeting_Nigeria's_Power_Demand.pdf PFC Energy. (2010). Nigeria: Implications of New Petroleum Industry Bill. Retrieved March 1st, 2011, from www.pfcenergy.com: www.pfcenergy.com/download.aspx?idDoc=22819&idf=2 Pipelineinternational.com. (2010). Oando Nearing Completion on Nigerian Pipeline. Retrieved February 20th, 2011, from Pipelines International: http://pipelinesinternational.com/news/oando_nearing_completion_on_nigerian_pipeline/053598/ Porter, M. E. (1998). Determinants of National Competitive Advantage. In F. F. Press (Ed.), The Competitive Advantage of Nations (1990 ed., pp. 69-130). New York: Palgrave, Macmillan. Ross, M. L. (2003). Nigeria's Oil Sector and the Poor. UCLA Department of Political Science. Los Angelos: UK Dept. for Int'l Devt. Shell. (2011). www.shell.com. www.shell.com/home/content/nigeria Retrieved February 5, 2011, from

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AppendixesAppendix 1: Oando Plc 2009 Annual Report

Appendix 2: Africas Oil and Reserves and Consumption

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