Seplat Profit Soars Before Handover
Seplat Energy Plc has reported a 498 per cent surge in profit after tax to $164 million, about N225.2 billion, for the half-year ended June 30.
The company, in a statement on Thursday, also declared an interim dividend of 12 U.S. cents per share and highlighted a major leadership transition effective Aug. 1, 2026.
Revenue rose 30 per cent to $1.82 billion, approximately N2.50 trillion, from $1.39 billion, about N1.91 trillion, recorded a year earlier.
Gross profit climbed 68 per cent to $815.9 million, roughly N1.12 trillion, from $484.6 million, equivalent to about N665.3 billion.
Cash generated from operations increased 29 per cent to $985.9 million, about N1.35 trillion, while adjusted EBITDA rose 28 per cent to $939 million.
The company said an agreement with NNPC Ltd. to acquire a 10 per cent JV interest would boost shareholder returns significantly.
It projected total 2026 dividends of 68.3 U.S. cents per share, valued at $410 million, approximately N562.9 billion.
Average production rose four per cent to 139,509 barrels of oil equivalent daily, remaining within Seplat’s annual guidance range.
Second-quarter production averaged 149,070 boepd, representing nine per cent yearly growth and a 15 per cent increase from first-quarter levels.
Seplat attributed the stronger output to improved performance across West, East and Elcrest operations and gains from its idle-well restoration programme.
The company recorded 18.8 million man-hours without a Lost Time Injury during the review period.
Carbon emissions intensity declined 18 per cent year-on-year to 33.5 kilogrammes of carbon dioxide equivalent per barrel of oil produced.
Emissions from onshore operated assets fell 37 per cent, driven by progress under the End of Routine Flaring programme.
Cash at bank rose to $433.8 million, around N595.9 billion, while net debt declined 45 per cent to $370.7 million.
Net debt stood significantly lower than the $673.3 million recorded at the end of 2025, approximately N924.8 billion.
Seplat also repaid and cancelled $200 million, about N274.6 billion, under its Advanced Payment Facility ahead of schedule.
The repayment reduced the outstanding facility balance to $100 million, equivalent to roughly N137.3 billion.
The company agreed to sell a 10 per cent interest in the NNPCL-SEPNU Joint Venture to NNPC Ltd. for $281.6 million.
The transaction value translates to about N386.6 billion and remains subject to completion and regulatory processes.
Seplat plans an additional transaction dividend of 23.3 U.S. cents per share worth $140 million, approximately N192.2 billion.
Chief Executive Officer, Roger Brown, said the company remained firmly positioned for stronger growth during the second half of 2026.
Brown said: “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.”
Brown said elevated commodity prices supported strong cash generation, but management prioritised strengthening the balance sheet by reducing debt.
“Our declared quarterly dividend of 12.0 cents per share represents a new quarterly high-water mark,” he said.
Brown said expected 2026 dividends would represent nearly half of all dividends previously paid by Seplat to shareholders.
He expressed confidence in his successor Effiong Okon, who formally assumes the chief executive role on Aug. 1, 2026. Brown said: “As I hand over to Effiong, I do so with great confidence.
“He brings the experience, capability and operational focus needed to unlock the next phase of value creation.” #Seplat Profit Soars Before Handover# Seplat Energy Names Okon CEO, Elumelu Board Chairman
