Seplat Energy Plc has signed a legally binding agreement to sell a 10% working interest in its joint venture assets with the Nigerian National Petroleum Company Limited (NNPC Limited) for approximately $281.6 million.
- +Seplat to sell 10% stake in NNPCL joint venture for $281.6 million
The Nigerian energy company disclosed the transaction in a statement issued on July 30 and published on its official website, announcing that its subsidiaries, Seplat Energy Offshore Limited (SEOL) and Seplat Energy Producing Nigeria Unlimited (SEPNU), had signed a Heads of Agreement with NNPC Limited for the stake sale.
The Nigerian energy company disclosed the transaction in a statement issued on July 30 and published on its official website, announcing that its subsidiaries, Seplat Energy Offshore Limited (SEOL) and Seplat Energy Producing Nigeria Unlimited (SEPNU), had signed a Heads of Agreement with NNPC Limited for the stake sale.
The transaction involves a portion of the assets held within the NNPCL-SEPNU joint venture and forms part of Seplat’s broader capital allocation strategy.
Seplat said the transaction has an effective date of April 1, 2026, and is expected to be completed in the second half of 2026, subject to regulatory approvals and other customary conditions.
If completed, SEPNU’s stake in the joint venture will reduce from 40% to 30%, while NNPC Limited’s stake will increase from 60% to 70%. Despite the reduced stake, SEPNU will remain the operator of the joint venture, and Seplat will continue to own 100% of SEPNU.
Commenting on the deal, Roger Brown, Chief Executive Officer of Seplat Energy, said the joint venture remains one of Nigeria’s most strategically important oil and gas assets and that the company is aligned with NNPC on future development plans.
The transaction is expected to provide Seplat with additional financial flexibility while allowing it to retain operational control of the joint venture. The company plans to use the proceeds to reduce debt and increase shareholder returns, with roughly half of the funds earmarked for each purpose.
The announcement comes after a period of strong financial performance for Seplat.
In its first-quarter 2026 results, the company reported a 96% increase in dividend payout to 9.0 US cents per share, while profit after tax rose to $37.9 million from $23.3 million a year earlier. Cash generated during the quarter reached $243.4 million.
Seplat also reaffirmed its commitment to return 40–50% of free cash flow to shareholders between 2026 and 2030, saying it remains on track to deliver at least $1 billion in cumulative shareholder distributions over the period.
Seplat Energy has recorded several major corporate milestones in recent months.
The latest $281.6 million transaction with NNPC Limited adds to Seplat’s ongoing strategy of optimising its asset portfolio, strengthening its balance sheet, and increasing returns to shareholders while maintaining operational control of one of Nigeria’s most important upstream oil and gas ventures.
