Independent oil and gas producers in Nigeria must prioritize asset integrity, address operational obsolescence, and systematically extend facility life spans to maximize asset value and build resilient operations.
This charge was delivered by the Chief Executive Officer of Seplat Energy Plc, Engr. Effiong Okon, during a panel session at the 49th Nigeria Annual International Conference and Exhibition (NAICE), organized by the Society of Petroleum Engineers (SPE) in Lagos.
Speaking on the conference theme, “Building Resilient Energy Systems in a Rapidly Evolving Energy Landscape,” Okon stressed that maintaining critical equipment at a top-quartile availability rate of 95 percent is essential to minimizing unscheduled deferments.
“You must follow your oil and gas molecules from reservoir to export,” Okon stated. “The approach is all-encompassing—you must understand your reservoir capacity, well capacity, flow lines, and surface facilities. This means total understanding of the asset.”
To drive down operational costs, the Seplat CEO highlighted key strategic measures:
Implementing effective water treatment procedures.
Eliminating routine flaring and monetizing gas molecules rather than paying regulatory penalties.
Removing evacuation route redundancies.
Building logistically efficient networks and leveraging strategic outsourcing.
Okon also emphasized that technical efficiency must be paired with investment in human capital to bridge skill gaps across subsurface, well, and facility management. He urged the Society of Petroleum Engineers (SPE) to step up capacity-building initiatives to nurture the next generation of Nigerian energy engineers.
Reaffirming Seplat Energy’s market position, Okon noted that the indigenous producer continues to balance strong shareholder returns via dividends and share appreciation with disciplined capital allocation for long-term growth.
Highlighting Seplat’s leadership in domestic gas supply and carbon reduction, Okon revealed plans to unlock and monetize approximately 12 trillion cubic feet (TCF) of gas from its shallow-water assets. He added that Seplat’s expanding Liquefied Petroleum Gas (LPG) initiatives aim to displace domestic biomass usage and lower overall carbon intensity across Nigeria.
