Adegbite Falade, the Managing Director of Aradel Holdings Plc, has recently voiced concerns over the lack of visibility in the operations of the majority of indigenous oil companies. According to Falade, these organizations are lacking when it comes to transparency, a factor that he believes is fundamental towards fostering trust and achieving success in the oil and gas industry.
1. Adegbite Falade, Managing Director of Aradel Holdings Plc, expressed concerns over the lack of transparency in the operations of most indigenous oil companies.
2. Falade believes transparency is crucial for building trust and achieving success in the oil and gas industry.
3. He pointed out that these companies often avoid disclosing key financial information, making them opaque entities in the industry.
4. This lack of transparency undermines stakeholders’ trust, discourages potential investors, and hinders sector development, according to Falade.
5. Falade argues that increased transparency would foster trust and create a more attractive business climate for both local and foreign investors.
Nearly 70% of indigenous oil companies in Nigeria do not provide adequate information about their operations and financial status, according to a report by Aradel Holdings Plc.
Mr. Falade pointed out that these companies often fail to disclose key financial information, existing as opaque entities in the industry. This lack of transparency, he argued, undermines stakeholders’ trust, discourages potential investors, and ultimately hinders the sector's development. Greater transparency, according to Falade, would not only foster trust but also provoke a more favorable business climate inviting to both local and foreign investors.