Seplat Energy grows revenue to $1.82 billion, profit after tax (PAT) soars by 498 percent to $164 million, gross profit rising by 68 percent, declares US 12.0 Cents dividend per share in the first half of 2026 and delivers 18.8 million man-hours without lost time injury, just as the new Chief Executive Officer, Engr. Effiong Okon identifies asset integrity, life extension and fixing obsolescence as key to sustaining value for independents
By Edu Abade
Seplat Energy PLC, has announced its unaudited results for the six months ended June 30, 2026, declaring $12.0 Cents total dividend per share for the period, with its Profit After Tax (PAT) for the period rising by 498 percent to $164 million.
The foremost Nigerian independent energy company listed on both the Nigerian Exchange and the London Stock Exchange, grew its revenue to $1.82 billion from $1.398 billion Year-on-Year with cash generated hitting $985.9 million.
Production averaged 139,509 boepd in 6M 2026 up 4 percent from 6M 2025 (134,492 boepd), within 2026 guidance (135 – 155 kboepd). Working interest oil production of 99,518 bopd and gas of 182.9 MMscfd in the first six months of 2026.
While group production in 2Q 2026 averaged 149,070 boepd, up 9 per cent from 2Q 2025 (137,207 boepd) and up 15 per cent from 1Q 2026 (129,841 boepd), gross profit for the period stood at $815.9 million rising by 68 percent Year-on-Year from $484.6 million, while its operated assets delivered 18.8 million man-hours without LTI.
The agreement reached with the Nigerian National Petroleum Company Limited (NNPCL) to sell a 10 per cent interest in the NNPCL-SEPNU Joint Venture (JV) is expected to further enhance shareholder returns, bringing total expected dividend for 2026 to USD 68.3 cents/share ($410 million).
The company’s operational highlights showed that production averaged 139,509 boepd in between January and June 2026 up 4 percent from 2025 half year (134,492 boepd), within 2026 guidance (135 – 155 kboepd). Working interest oil production of 99,518 bopd and gas of 182.9 MMscfd in Q1 2026.
Also, group production in 2Q 2026 averaged 149,070 boepd, up 9 percent from 2Q 2025 (137,207 boepd) and up 15 percent from Q1 2026 (129,841 boepd), onshore production contribution of 60,690 boepd, up 11 percent YoY compared to Q1 2025 at 54,831 boepd.
Others details include strong production performance on West, East and Elcrest in 2Q 2026 supports YoY growth, offshore production contribution of 78,819 boepd, down 1 percent vs. Q1 2025: 79,660 boepd and Idle well restoration programme continued its strong performance, 26 kbopd gross JV production capacity added in 6M 26 from 24 wells.
Others are NGLs delivered strong YoY growth, production of 8,459 bopd (Q1 2025: 3,772 bopd), carbon emissions intensity for the group: 33.5 kg CO2/boe 18 percent lower YoY (Q1 2025: 41.0 kg CO2/boe), onshore operated emissions intensity reduced 37 percent on Q1 2025, reflecting the positive impact of our End of Routine Flaring programme Q1 2026 Lost Time Injury (LTI) free. Group operated assets delivered 18.8 million man-hours without LTI.
Also, the company’s financial highlights showed positive price environment drives a material improvement in revenue, EBITDA and net income, revenue of $1,820 million up 30 percent on prior year (Q1 2025: $1,398 million), average realised oil price $94.13/bbl, a $7.47/bbl premium to Brent, unit production operating cost of $15.8/boe (Q1 2025: $12.5/boe), primarily due to restoration ($14.0/boe excluding Yoho costs).
Its adjusted EBITDA of $939 million increased by 28 percent on prior year (Q1 2025: $735.0 million), net income increased to $164.0 million, up 498% YoY. Earnings per share USD 26.6 cents, up 565 percent YoY (6M 2025 USD 4.0 cents), cash generated from operations of $985.9 million, rose by 29 percent on prior year (Q1 2025: $766.2 million), while Cash capital expenditure of $109.8 million (Q1 2025: $96.5 million), indicating a possible higher run-rate in the second half of 2026.
While Seplat Energy’s balance sheet remains strong with June ending cash at bank at $433.8 million (FY 2025: $332.3 million), excluding $130.8 million restricted cash, net debt as of June ending was $370.7 million, down 45 percent since YE2025 ($673.3 million), net debt and EBITDA improved to 0.25x from 0.53x FY25, just as S&P upgraded Seplat credit ratings changes to B+ in May 2026.
On dividend update, it declared a dividend of $12.0 cents per share ($72 million) for Q2 2026, comprising $5.0 Cents per share for core and $7.0 Cents per share as special dividend, with a planned full year dividend of $45.0 cents/share ($270 million), based on strength of underlying business performance and management confidence in 2026 outlook, representing 80 percent dividend growth YoY.
“In addition, and subject to completion, the company plans to distribute a transaction dividend of $23.3 cents per share ($140 million). Combined with the planned dividend from the business, 2026 dividend is expected to grow to $68.3 cents per share ($410 million), up 173 percent YoY, representing 41 percent of our planned 2026-2030 $1 billion dividend target,” it said.
On its corporate update and 2026 outlook, the company explained that an agreement was reached to sell a 10 percent interest in NNPCL-SEPNU JV to NNPCL, as headline transaction value hit $281.6 million, representing 25 percent of Seplat’s acquisition costs to date, among other accomplishments.
Seplat Energy also announced board and management changes on August 1, 2026, disclosing that Engr. Effiong Okon succeeded Mr. Roger Brown as Chief Executive Officer (CEO) and Executive Director on its board, while Mr. Tony O. Elumelu succeeded Senator Udoma Udo Udoma as Chairman of the board.
Also, Dr. Emma FitzGerald, an Independent Non-Executive Director, notified the company that she will retire from the Board effective December 31, 2026 as the Board commenced a process of identifying a suitable replacement.
Commenting on the results, 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 as temporary restrictions are lifted and planned activities are completed.
“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 prioritized 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.
“The performance of our offshore business in the past 18 months has reinforced our conviction in the quality and scale of the opportunity within the portfolio. 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, supported by an exceptional team with a proven track record that continues to deliver for our shareholders, host communities and wider stakeholders.”
Meanwhile, Seplat Energy new Chief Executive Officer, Effiong Okon has stressed that for independent oil and gas players in Nigeria to optimize the value of their assets, boost returns on investments and ensure resilient systems, they must get asset integrity right, fix obsolescence in their operations and consciously work on life extension of their assets.
Engr. Okon stated this during the Panel Session Two of the 49th Nigeria Annual International Conference and Exhibition (NAICE) organised by the Society of Petroleum Engineers (SPE) in Lagos with the theme: Building Resilient Energy Systems in a Rapidly Evolving Energy Landscape.
He said critical equipment must be maintained at top quartile performance of 95 per cent, meaning that 95 per cent of the time, equipment should be running, adding, “When you do all that, you drive down unscheduled deferment.
“In fact, you must follow your oil and gas molecules from reservoir to export. The approach is all encompassing – you must understand your reservoir capacity, well capacity, your flow line and surface facilities. These mean a total understanding of the asset.”
On ways of further reducing cost in operations, he said effective water treatment, ending routine flares and monetizing every gas molecule as against paying penalties on flares, cutting a few redundancies for evacuation routes, and building capacity around logistics and outsourcing would significantly impact operations.
The Seplat CEO equally canvassed deliberate investment in human capital to really understand the sub-surface, wells and facilities, maintaining that the right knowledge could then be driven by requisite capital raising, which ultimately drive value optimization. He, therefore, urged SPE to raise more engineers to cover the skills gap and drive efficiencies in the Nigerian oil and gas space.
Speaking on Seplat Energy’s commitment to advancing shareholders’ value, Okon said the company had returned massive value to shareholders in form of share appreciation and dividend payouts over the year whilst also balancing that with capital allocation targeted at further building the company for the future.
He said the company had distinguished itself in the area of gas development and performance domestically, saying that the shallow water business has got about 12TCF of gas, which will be unlocked, accelerated and monetized more than the company had ever done.
“We are indeed trailblazers when it comes to domestic gas development. We are also doing a lot of Liquefied Petroleum Gas (LPG) in the domestic market to displace biomass and contribute in addressing carb on intensity issues,” he added.
