BY NKECHI NAECHE-ESEZOBOR—Seplat Energy Plc, a leading Nigerian independent energy producer listed on both the Nigerian Exchange and London Stock Exchange, has delivered a stellar financial performance for the half-year ended June 30, 2026. Driven by higher output and a favorable pricing environment, the energy giant posted a massive 498 percent year-on-year surge in Profit After Tax (PAT), reaching $164 million, compared to $4.0 cents per share in the corresponding period of 2025.
Gross revenue rose 30 percent to $1.82 billion from $1.398 billion in H1 2025, supported by an average realized oil price of $94.13 per barrel, representing a $7.47 premium to Brent crude. Strong operational execution expanded gross profits by 68 percent to $815.9 million, while cash generated from operations expanded 29 percent to $985.9 million.
In line with its strong balance sheet, Seplat declared a total second-quarter dividend of USD 12.0 cents per share ($72 million), comprising a USD 5.0 cents core payout and a USD 7.0 cents special dividend. Following robust performance and a newly reached agreement to sell a 10 percent interest in the NNPCL-SEPNU Joint Venture to NNPC Limited for $281.6 million, the company plans to raise its full-year 2026 dividend projection to USD 68.3 cents per share ($410 million)—a 173 percent growth year-on-year.
Operationally, group production averaged 139,509 barrels of oil equivalent per day (boepd) in the first half of 2026, marking a 4 percent growth year-on-year and remaining comfortably within full-year target guidance. Second-quarter output surged to 149,070 boepd, up 15 percent from the first quarter, boosted by onshore production improvements and an active idle well restoration program that restored 26,000 barrels per day of gross capacity across 24 wells. The firm also achieved 18.8 million man-hours across operated assets without any Lost Time Injury (LTI), while lowering carbon emissions intensity by 18 percent.
Financially, Seplat significantly deleveraged its balance sheet, making an early repayment and cancellation of $200 million under its Advanced Payment Facility. Consequently, Net Debt dropped 45 percent to $370.7 million by the end of June, pushing the Net Debt/EBITDA leverage ratio down to 0.25x and prompting S&P to upgrade the company’s credit rating to ‘B+’.
The strong half-year earnings coincide with scheduled executive leadership transitions. Engr. Effiong Okon took over as Chief Executive Officer from Mr. Roger Brown on August 1, 2026, while Mr. Tony O. Elumelu, CFR, is slated to succeed Senator Udoma Udo Udoma as Board Chairman on January 1, 2027.
Commenting on the results, outgoing CEO Roger Brown remarked that the company is handing over leadership from a position of unprecedented financial and operational resilience, backed by expanding cash flows, accelerated debt repayment, and historic returns for shareholders.
