Seplat Energy hails people power, asset upgrades as Keys to Nigeria’s energy future

By Chioma Obinagwam

Nigeria’s leading independent energy firm, Seplat Energy Plc, credits its rapid rise to a disciplined acquisition playbook that pairs world-class talent with relentless focus on safety, integrity and reliability.

Seplat Energy told Confiance News in a statement on Friday.

Speaking at the 2025 Africa Energy Week in Cape Town, Chief Executive Officer Roger Brown told delegates the company has transformed divested assets into cash engines by swiftly re-starting wells, slashing downtime and folding in new teams without friction.

“We found strong cultural alignment with our new colleagues, and that’s been key to seamless performance. We’ve welcomed their expertise and insights and the entire Group is benefiting from them,” Brown said during a fireside chat on acquisition strategies.

He described the recent takeover of Mobil Producing Nigeria Unlimited as a textbook case: early investment in facility upgrades delivered instant production gains, while blending Seplat’s onshore agility with decades of offshore experience from the acquired staff created a more robust operation from day one.

“The recent reserves upgrade shows we have acquired a high-quality asset with significant production potential in both oil and gas, and much of this is within easy reach, close to export infrastructure that we control. We are confident we can increase production and that aligns with the Government’s target to increase liquids production to 3.0 MMbbl, and to increase gas production for both domestic energy and export markets,” he added.

Brown stressed that Seplat deliberately targets mature fields where entrepreneurial management can unlock trapped value. “We’ve already proven we can acquire assets onshore and bring them up to high levels of production, whilst keeping tight control of costs, and this has helped us build up a strong balance sheet, invest in our future and return a healthy dividend stream to investors.”

He underlined the company’s low-cost DNA and deep Nigerian talent bench. “We’re a low-cost operator, meaning we can be profitable at good oil prices and we’ve proven we can survive periods of low prices and prolonged lock-ins. We look after our staff, all of whom are very highly qualified, mostly Nigerian, and ensure they are fully aligned with our success, which in turn will bring success for Nigeria’s energy system. We’ve got a deep bench and a strong succession pipeline,” he explained.

Chief Financial Officer Eleanor Adaralegbe, addressing a separate panel on upstream financing, revealed Seplat has raised over $4 billion in debt since inception while keeping leverage below 1.5 times through every cycle.

She listed the funding vehicles: an initial public offer, revolving credit facilities, bonds, advance payment deals, a $110 million reserve-based loan assumed in the 2019 Eland purchase—now being refinanced—and a $320 million project finance package for the ANOH gas joint venture with an NNPC subsidiary.

“Nigerian banks have a high USD cost of borrowing,” Adaralegbe noted. “Corporates are always looking to access low-cost financing for development and growth, more so, Nigerian energy companies… We knew that we had to become a first mover and shape our credit profile to appeal to a wider group of banks and investors. We are the first and only dual listed Nigerian oil and gas company.”

She said repeated refinancing success stems from lender-friendly traits: balanced oil and gas output, steady volumes, prudent liquidity, tax optimisation and seasoned leadership. “Seplat Energy has repeatedly been able to refinance to extend maturities and bring down our cost of debt while keeping leverage moderate. We have been able to do this because we are focused on things that lenders are focused on – asset diversification, steady production, strong financials, low leverage, focus on tax efficiencies, strong leadership,” Adaralegbe explained.

Warning that Nigeria’s power supply and industrial growth remain tethered to upstream hydrocarbons until renewables scale, she called upstream expansion the “direct lever” on national energy security. “Until utility-scale renewables, storage, and transmission are materially larger, Nigeria’s ability to keep lights on, vehicles moving, industries running, and households cooking cleanly is fundamentally constrained by upstream oil and gas development, output and associated midstream delivery,” she said.

Adaralegbe urged policymakers to deliver a predictable fiscal regime—consistent Petroleum Industry Act enforcement, prompt joint-venture cash calls, and clear pricing rules—to unlock the long-term capital the sector needs.

Please follow and like us: