Agip S.p.A., acronym for Azienda generale italiana petroli, was an Italian automotive gasoline, diesel, LPG, lubricants, fuel oil, and bitumen retailer established in 1926 and subsidiary of Eni S.p.A. The acquisition ofAgip is expected to increase Oando’s reserves by 98%. The deal has sailed through smoothly because it did not suffer the same troubles as the Seplat-Mobil deal, in which the NNPC said it was not allowed to exercise its first right of refusal. Nigerian energy company, Oando (NGX:OANDO) has officially confirmed its acquisition of Nigerian AgipOil Company (NAOC), a subsidiary of the Italian energy conglomerate Eni, following the signing of the agreement. Italian Oil Major, Eni, said it has received the approval of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to sell its unit, Nigerian AgipOil Company (NAOC), to Oando. This is contained in a statement from the official website of the energy company on Wednesday. In March 2001, Agip KCO drilled for oil in Kashagan West 1 and found a large deposit. In June 2002, Agip KCO released estimates that Kashagan's proven reserves were 7-9 billion barrels of oil. Oando has acquired Agip for $783m, strengthening it’s participating interests in four keyoil mining leases from 20% to 40%.This development is expected to be immediately cash generative, contributing significantly to the company’s cashflows and future financial performance. The Group Chief Executive, Oando Group, Jubril Adewale Tinubu, has attributed the acquisition of 100 per cent of the shareholding interest in the Nigerian AgipOil Company (NAOC) from the Italian energy company, Eni, to hard work and resilience.