Economy
Bargain-Hunting Drives Nigerian Stocks Higher by 0.67%
By Dipo Olowookere
Normalcy was restored to the Nigerian Exchange (NGX) Limited on Tuesday after the previous day’s scare triggered by the alleged invasion of the headquarters of the Central Bank of Nigeria (CBN) for the arrest of the Governor of the bank, Mr Godwin Emefiele, by operatives of the Department of State Services (DSS) over allegations bordering on terrorism financing and others.
The development forced some investors to reduce their exposure to Nigerian stocks, weakening the market by 0.31 per cent at the close of business on Monday.
However, news that the situation was under control and that President Muhammadu Buhari had allegedly asked the secret police to obey a court order, which stopped it from taking any action against the CBN chief, boosted the confidence of investors.
This triggered a bargain-hunting yesterday and raised the local bourse higher by 0.67 per cent when trading activities were wrapped up by 2:30 pm.
Consequently, the All-Share Index (ASI) increased by 352.49 points to 52,701.31 points from 52,348.82 points, and the market capitalisation gained N192 billion to close at N28.705 trillion, in contrast to the previous day’s N28.513 trillion.
Business Post observed that most of the sectors of the exchange performed better on Tuesday, as only the insurance counter closed lower by 0.08 per cent. The consumer goods space gained 0.53 per cent, the banking counter appreciated by 0.19 per cent, the energy index also grew by 0.19 per cent, and the industrial goods sector improved by 0.08 per cent.
A look at the activity chart showed that traders transacted 228.5 million shares worth N4.4 billion in 3,681 deals compared with the 221.9 million shares worth N3.3 billion traded in 5,219 deals on Monday, indicating a decline in the number of deals by 29.47 per cent, an improvement in the volume of trades by 2.99 per cent, and an increase in the value of transactions by 33.33 per cent.
Financial stocks were the most attractive to investors during the session, with Sterling Bank trading 76.7 million units and Chams transacting 17.6 million units. GTCO traded 16.8 million shares, Zenith Bank sold 11.3 million equities, and Royal Exchange transacted 10.7 million stocks.
Investor sentiment was strong yesterday, unlike in the preceding trading day, as the stock market ended with 21 appreciating equities and 15 depreciating equities, indicating a positive market breadth.
UPDC REIT topped the gainers’ chart after its value rose by 10.00 per cent to N3.30, MRS Oil increased by 9.93 per cent to N15.50, Chellarams rose by 9.92 per cent to N1.33, Sunu Assurances appreciated by 8.82 per cent to 37 Kobo, and McNichols grew by 7.02 per cent to 61 Kobo.
Conversely, UPDC topped the losers’ log as it fell by 6.93 per cent to 94 Kobo, Geregu Power dropped 6.71 per cent to N139.00, Linkage Assurance depreciated by 6.38 per cent to 44 Kobo, Royal Exchange declined by 5.26 per cent to 90 Kobo, and PZ Cussons went down by 5.21 per cent to N10.00.
By Aduragbemi Omiyale
The Stanbic IBTC Bank Nigeria Purchasing Managers’ Index (PMI) for the Nigerian private sector in July 2026 contracted to 52.5 points from 53.4 points in June 2026, a statement made available to Business Post has shown.
This occurred despite the business environment sustaining its growth last month, with an increase in new orders experienced, as inflationary pressures softened, and output and employment modestly rising.
The Head of Equity Research West Africa at Stanbic IBTC Bank, Mr Muyiwa Oni, said the PMI indicated that the private sector recorded its slowest since March 2026, as businesses also increased their input purchasing activity to keep up with current demand requirements and prepare for future workloads.
“Nigerian businesses reported improved customer demand in July while better pricing and new product launches also helped them to capture new orders arising from the increase in demand. These factors helped to keep the private sector activity in an expansionary territory, although this moderated when compared to June,” he was quoted as saying.
It was stated that while input costs increased at their slowest pace in five months, panellists reported higher costs for fuel and raw materials. Selling prices also softened in line with the picture for input costs in July.
Headline inflation eased slightly to 15.91 per cent y/y in June from 15.93 per cent y/y in May, snapping three consecutive months of price increases.
Although July inflation is likely to be higher m/m, it is expected to print lower, likely at 15.72 per cent y/y, primarily driven by favourable base effects from the corresponding period of last year, because there are no expectations of the magnitude of m/m inflation witnessed in July 2025 (1.99 per cent) to materialise this year.
“We retain our 2026 growth forecasts at 4.1 per cent as we see the oil sector growing by 3.45 per cent y/y in 2026, from 8.50 per cent y/y in 2025, while the non-oil sector is likely to grow by 4.11 per cent y/y, from 3.71 per cent y/y in 2025.
“The risks to our outlook include country-wide insecurity which may constrain food production, exchange rate pressures resurfacing, extreme-weather related conditions and higher fertiliser prices impacting crop yield, and a volatile global environment which may affect sentiment and constrain capital flows,” Mr Oni noted.
By Adedapo Adesanya
Sahara Upstream, a Nigeria-focused crude producer, has deployed a new 380,000-barrel tanker to boost exports from the OML 18 block as part of a wider push by domestic operators to invest in infrastructure and lift output and exports for Africa’s biggest oil producer.
The MT D Adesanya, which can hold more than 62,000 cubic metres of crude, will operate alongside the MT D Bayero, receiving crude from shuttle vessels at Bonny Anchorage, one of Nigeria’s main crude export hubs, before transferring it to the FSO Cawthorne storage facility.
Sahara said the tanker would help cut turnaround times, currently about 30 to 48 hours, and support a planned 50 per cent increase in exports from the block’s current level of about 950,000 barrels per month.
The block currently produces about 36,000 barrels per day, according to data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), with Sahara targeting output of 60,000 barrels per day.
OML 18 is one of the Niger Delta’s oldest producing assets. It began production in 1970 and contains an estimated 1.5 billion barrels of oil equivalent in reserves.
Shell, Total and Eni sold their combined interests to Eroton in 2015 as part of a broader shift toward domestic ownership in Nigeria’s upstream sector.
This development comes as Sahara Upstream is deepening its exploration and production footprint through Asharami Energy Limited (AEL), its upstream E&P business, which says it is targeting 350,000 barrels of oil per day by 2030 through its subsidiary, Enageed Resources Limited (ERL).
The growth target comes as AEL also marks a major safety milestone, achieving 6 million Lost Time Injury (LTI)-free man-hours in its OML-148 operations — reinforcing the company’s commitment to operational excellence and safety leadership.
According to Asharami Energy, the milestone reflects its ability to execute complex operations safely, in line with Sahara’s Beyond XXX vision, which builds on the group’s 30-year legacy of responsible enterprise while marking its next chapter of impact, innovation, and sustainable growth.
The developments position Sahara Upstream and its subsidiaries among the domestic operators driving increased investment in Nigeria’s oil and gas infrastructure, as the group works to scale up production and exports for Africa’s biggest oil producer.
By Aduragbemi Omiyale
One of the leading energy firms in Nigeria, Aradel Holdings Plc, has expressed its desire to optimise its enlarged portfolio and improve operational efficiency in the second half of 2026.
The company is planning to build on the success it recorded in the first half of the year, where it grew its revenue by 577 per cent to N2.5 trillion from N368.1 billion in H1 2025.
The significant rise in earnings was driven by higher production volumes together with stronger realised crude oil and gas prices, with the average at $90.4/bbl and $2.08/mmscf, respectively.
In the period under review, the Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) increased by 688 per cent to N1.4 trillion from N176.4 billion in the corresponding period of last year, while the operating profit surged by 789 per cent to N1.1 trillion from N118.6 billion due to higher revenue and crude handling income at N149.8 billion, partly offset by underlift cost and general and administrative costs.
The net cash generated from operations was N975.6 billion between January and June 2026 versus N140.8 billion in the same period of 2025, reflecting the cash generation of the enlarged organisation.
The net debt contracted by 70 per cent on a year-to-date basis to N46.5 billion from N475.1 billion as of December 31, 2025.
Aradel, in the period under consideration, improved its post-tax profit by 30 per cent to N191.0 billion from N146.4 billion, a development that impressed its chief executive, Mr Adegbite Falade, who said, “A firmer price environment supported performance, generating net cash from operating activities of N975.6 billion and a closing cash balance of N1.7 trillion.”
“Our enlarged portfolio provides more opportunities to generate stronger cash flow and returns for shareholders and unlocking that potential is our main focus.
“We reaffirm our full year production guidance of 110 – 140 kboepd and remain committed to operating responsibly in a changing energy landscape and to delivering lasting value for our stakeholders,” he stated.
