Seplat Energy Plc, through its subsidiaries, Seplat Energy Offshore Limited (SEOL) and Seplat Energy Producing Nigeria Unlimited (SEPNU) have now signed a legally binding Agreement with the Nigerian National Petroleum Company Limited (NNPC) for the sale of a 10% working interest in the assets held within the Joint Venture of NNPC Limited and SEPNU for a headline transaction value of approximately US$281.6 million.

According to the company’s Chief Financial Officer, Eleanor Adaralegbe, “The commercial terms represent approximately 25% of the gross transaction consideration paid and any contingent consideration payable by SEOL for its acquisition of SEPNU.

“Following completion of the Transaction, SEPNU will retain a 30% working interest in the joint venture assets and will continue as Operator. NNPC Limited’s working interest in the JV will increase from 60% to 70%. Seplat Energy will continue to own 100% of the share capital of SEPNU.

“The Transaction is subject to applicable regulatory approvals and other customary conditions. Completion is expected in 2H 2026. The effective date for the Transaction is 1 April 2026.”

Roger Brown, CEO of Seplat Energy, said, “The NNPCL/SEPNU JV is one of the pre-eminent licence areas in Nigeria and of strategic importance to the country. Our relations with our partner NNPCL are strong, and we are fully aligned on the agreed work programmes. Together, we are focused on delivering significant value from the JV, which has responded very well to increased development activity since we became operator and has clear potential to deliver strong production growth well into the next decade.

“Seplat Energy is on a strong financial footing, enabling us to use the proceeds of this disposal to enhance shareholder distributions and further reduce financial leverage, ultimately freeing up future cash flows for shareholders.”

Seplat Energy says it intends to apply the proceeds of the Transaction in line with its capital allocation framework. Given the Company’s strong financial position, the intention is to use approximately 50% of proceeds to reduce debt, and 50% to enhance shareholder returns.