The Nigerian National Petroleum Company Limited (NNPC) has agreed to acquire a 10 per cent interest in the NNPCL-SEPNU Joint Venture from Seplat Energy Plc in a transaction valued at $281.6m, marking another strategic move in Nigeria’s upstream oil and gas sector.
Seplat disclosed the planned sale in its unaudited financial results for the six months ended June 30, 2026, stating that the transaction is expected to be completed before the end of the year, subject to the necessary approvals.
According to the company, the proceeds from the sale will be shared equally between rewarding shareholders through a special dividend and reducing outstanding debt. Seplat noted that the deal would increase its expected total dividend for 2026 to about 68.3 US cents per share, equivalent to roughly $410m.
The company explained that the transaction value represents approximately one-quarter of the amount it has invested in acquiring the offshore assets. It added that the sale aligns with its strategy of strengthening its balance sheet while maintaining attractive returns for investors.
Seplat also reaffirmed its production target for 2026 at between 135,000 and 155,000 barrels of oil equivalent per day, saying output remains on track to meet the midpoint of that forecast.
Its capital expenditure guidance remains unchanged at between $360m and $440m, although the company expects a larger share of spending to occur during the second half of the year. However, it revised its unit operating cost estimate upward to between $14.5 and $15.5 per barrel of oil equivalent, citing increased restoration expenses at the Yoho field.
The announcement came alongside a strong financial performance for the first half of 2026. Seplat reported revenue of $1.82bn, representing a 30 per cent increase compared to the corresponding period last year.
Profit after tax climbed sharply to $164m, while adjusted EBITDA rose to $939m. Cash generated from operations also increased to $985.9m, reflecting stronger earnings supported by favourable oil prices.
The company further disclosed that its net debt fell by 45 per cent to $370.7m after repaying and cancelling $200m under its Advanced Payment Facility.
Seplat’s Chief Executive Officer, Roger Brown, said the company’s robust cash generation enabled it to strengthen its financial position while increasing shareholder rewards. He noted that the sale of the 10 per cent joint venture interest to NNPC would further boost shareholder value.
Brown added that the performance of Seplat’s offshore assets over the past 18 months has reinforced confidence in the quality of the portfolio and created a solid foundation for future growth.
As he prepares to step down as chief executive on August 1, Brown expressed confidence in his successor, Effiong Okon, saying the incoming CEO possesses the operational expertise needed to drive the company’s next phase of growth and value creation.
