Conoil Posts N1.73b Dividend
By Emele Onu
 29th NOV 2006

Conoil Plc is living up to its promise of making Christmas and New Year real good for its numerous shareholders.

According to reliable capital market sources, about 40 percent of the N1.73 billion dividend warrants were dispatched last Monday as unanimously approved at its last Annual General Meeting (AGM).

It would be recalled that Conoil has maintained a history of consistent dividend payment to shareholders in the last five years with an unprecedented growth of more than 900 percent from a mere N171.5 million in 2001 to N1.734 billion in 2005.

Sterling Registrars Limited (Conoil registrars) confirmed the posting of the dividend, adding that it planned to complete the dispatch within one month.

Speaking on the issue, the Registrars’ Managing Director, Mr. Gboyega Babalola said that while a courier firm had been engaged to dispatch the warrants, shareholders who so wish, can also pick up their dividend warrants from the registrar’s office in Lagos.

"We worked very hard to ensure that we commence payment of the dividends on schedule. Conoil has been very supportive by releasing funds well ahead of time and we are satisfied with progress made so far in posting the warrants to shareholders," said Babalola.

Commenting on the development, the National Coordinator, Independent Shareholders Association of Nigeria (ISAN), Chief Sunny Nwosu, commended both Conoil and the registrars for being proactive in the payment of the dividend, which according to him, would put smiles on the faces of shareholders.

"I can tell you that paying the dividend on schedule has further increased the confidence shareholders have in Conoil. They have by this gesture given hope to the people as they will now have money to meet their financial requirements during this yuletide," said Nwosu.

Stockbrokers, who recently hailed Conoil's performance as laudable, especially as the general trend in the petroleum marketing industry showed a drop in profit margin at a time operating cost is galloping, said the timely payment of the
dividend as approved by shareholders has further endeared Conoil Plc to
investors.

The Chief Operating Officer of Capital Express Securities, Mr. Peter Aletor, said shareholders are always very concerned about returns on their investments, which come in form of dividends.

"The timely payment of the dividend further confirms our belief that Conoil is investors’ choice," said Aletor.
A shareholder, Segun Ademola also confirmed receipt of his dividend warrant, which he added, has affirmed his confidence in the company.

The Chairman of Conoil Plc, Dr. Mike Adenuga (CON), had told shareholders at the company’s 36th AGM held in Ibadan, Oyo State, that the company remained doggedly committed to consistent long-term real dividend growth.

According to him, the returns enjoyed by the shareholders resulted from the company’s strategic planning, better financial and treasury management, stable profitability, decreasing debtors profile relative to turnover and rising creditors’ confidence and trust, adding that "the strategy was to grow profitability in our core areas and build new legacy positions, with a view to improve future returns."

"As always," he added, "we will remain focused on pursuing our strategic direction, growing value for our shareholders through robust profitability and our competitive edge."

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