Seplat Energy Plc has agreed to sell a 10 percent working interest in its joint venture with NNPC Limited for $281.6 million, a move aimed at strengthening its finances while rewarding shareholders.
The transaction will reduce Seplat’s stake in the NNPCL-SEPNU joint venture from 40 percent to 30 percent. However, the company will continue to operate the assets, meaning it will remain responsible for the day-to-day management of the oil and gas fields.
According to Seplat’s unaudited financial results for the first half of 2026, the agreement takes effect from April 1, 2026, with completion expected later this year. The company noted that the value of the deal represents about a quarter of the amount it paid to acquire the SEPNU assets.
Chief Executive Officer Roger Brown described the first half of the year as one of the company’s strongest financial performances, driven by improved production levels, higher oil prices, and solid cash generation.
Brown said Seplat took advantage of favourable market conditions to improve its financial position by reducing debt. During the first six months of the year, the company repaid and cancelled $200 million from its Advanced Payment Facility, helping to cut its net debt by 45 percent to $370.7 million at the end of June.
He added that production continued to improve after the first quarter and remains on track to increase further before the end of the year.
The company plans to use the proceeds from the sale in two major ways. About half of the money will be used to reduce debt, while the remaining half will be distributed to shareholders as a special transaction dividend once the sale is completed.
Seplat announced that shareholders are expected to receive a $140 million transaction dividend, equivalent to 23.3 US cents per share, in addition to the regular dividends generated from business operations.
If the transaction is completed as planned, total dividends for 2026 are expected to reach $410 million, or 68.3 US cents per share, making it one of the company’s biggest shareholder payouts.
The company also reported strong financial growth during the first half of 2026. Revenue increased to $1.82 billion, compared to $1.4 billion during the same period last year. Profit after tax rose sharply to $164 million, representing a remarkable 498 percent increase
