Seplat Energy Posts 498% Profit Surge, Agrees to Sell 10% Stake to NNPC

Seplat Energy Plc has announced a substantial financial performance for the first half of 2026, with its Profit After Tax (PAT) soaring by 498% year-on-year to $164 million. This significant growth is attributed to stronger crude oil prices, improved production levels, and robust operational performance across its assets.

In a strategic move, Seplat has also reached an agreement to sell a 10% interest in the NNPCL-SEPNU Joint Venture to the Nigerian National Petroleum Company Limited (NNPC) for $281.6 million. This transaction, expected to conclude in the latter half of the year, is projected to substantially enhance shareholder returns. The company anticipates total planned dividends for 2026 to rise by 173% year-on-year to approximately $410 million, or 68.3 cents per share.

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As I hand over leadership of Seplat, the company is stronger than ever. Production improved from the first quarter and remains on track to grow further in the second half of 2026 as temporary restrictions are lifted and planned activities are completed.

The company's improved output stems from stronger production across its West, East, and Elcrest assets, the successful restoration of idle wells, and increased natural gas liquids (NGLs) production. Outgoing Chief Executive Officer Roger Brown stated that the company is entering the second half of the year from a position of considerable strength, with production on track to grow further. He highlighted that supportive commodity prices have led to strong cash generation, enabling significant debt reduction and increased shareholder rewards, including the repayment of $200 million in outstanding APF debt.

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Our first-half performance benefited from a supportive commodity price environment, translating into strong cash generation. Given the limited visibility on how long these elevated prices may persist, we prioritised balance sheet strength during the quarter, repaying $200 million of our outstanding APF debt, equivalent to 20 per cent of gross debt. At the same time, robust cash flows enabled us to continue enhancing shareholder returns.