Rating Release
Agusto & Co. upgrades the rating assigned to Aradel Holdings PLC’s ₦10.318 billion Five-Year 17% Fixed Rate Senior Unsecured Bond Due 2028 to “Aa”, with a stable outlook
The rating expires on 30 June 2026.
Agusto & Co hereby upgrades the rating assigned to Aradel Holdings PLC’s (“Aradel Holdings”, “Aradel”, “the Company” or “the Issuer”) ₦10.318 billion Five-Year 17% Fixed Rate Senior Unsecured Bond Due 2028 (“Series 1 Bond”, “the Bond” or “the Issue”) to “Aa”. The rating upgrade reflects sustained improvement in the Company’s earnings and cash flows driven by higher hydrocarbon production volumes, improved refinery output, greater efficiency in crude evacuation and favourable exchange translation. The rating also considers Aradel’s integrated operating structure and ongoing growth initiatives, including drilling campaigns, refinery upgrades, gas commercialisation efforts, installation of a dedicated export pipeline and acquisition of strategic oil and gas assets, which are expected to enhance operational efficiency and strengthen future earnings. However, the rating is constrained by the Issuer’s exposure to industry-wide risks such as crude theft, pipeline vandalism, security-related disruptions, regulatory uncertainties and crude oil price volatility.
Aradel Holdings PLC (formerly Niger Delta Exploration & Production PLC) is an integrated indigenous energy company with operations across the upstream, midstream and downstream segments of the Nigerian Oil & Gas Industry. The Company operates through four subsidiaries and an associate company. Aradel’s flagship upstream asset is the Ogbele Field (Petroleum Mining Lease 14), a fully integrated oil and gas hub with crude processing, gas handling and modular refining infrastructure. The Company also holds significant interests in Oil Mining Lease (OML) 34, OML 53 and Oil Prospecting License (OPL) 227.
