Seplat Energy Sells 10% JV Stake to NNPC for $281.6m
Seplat Energy Plc has announced that its subsidiaries SEOL and SEPNU have signed a legally binding Heads of Agreement with NNPC Limited for the sale of a 10% working interest in the NNPCL/SEPNU Joint Venture for approximately US$281.6 million. The filing discloses the transaction terms, planned use of proceeds, and the impact on production guidance, reserves, and shareholder returns.
Seplat Energy Plc disclosed on 30 July 2026 that its subsidiaries — Seplat Energy Offshore Limited (SEOL) and Seplat Energy Producing Nigeria Unlimited (SEPNU) — have executed a legally binding Heads of Agreement with NNPC Limited to sell a 10% working interest in the NNPCL/SEPNU Joint Venture for a headline value of approximately US$281.6 million. The effective date for the transaction is 1 April 2026, with completion expected in the second half of 2026, subject to regulatory approvals.
Following completion, SEPNU will retain a 30% working interest and continue as Operator, while NNPC Limited's stake increases from 60% to 70%. Seplat Energy will continue to own 100% of SEPNU's share capital.
On use of proceeds, the company disclosed plans to pay approximately $140 million (23.3 US cents per share) as a transaction-related cash dividend to shareholders. Up to $300 million in gross debt is targeted for repayment, of which $200 million of the Advanced Payment Facility was already repaid in Q2 2026.
The transaction adjusts the company's 2030 net production target from 200 kboepd to 170 kboepd and reduces group 2P reserves by approximately 13% to 872.9 million boe. The company maintained its commitment to distribute 40–50% of free cash flow through the 2026–2030 cycle.
