Elumelu-backed Seplat posts $260m profit, raises dividend by 58%

Seplat Energy has reported a 174 per cent increase in nine-month net profit to $260.2 million, raising its dividend payout by 58 per cent as higher production and stronger gas sales boosted earnings.

The London- and Lagos-listed oil and gas company, backed by Nigerian billionaire Tony Elumelu, recorded the profit for the nine months ended September 30, 2026, compared with the corresponding period last year.

Its pre-tax profit rose 72 per cent to $982.6 million from $570.1 million, while adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) increased by 38 per cent to $1.53 billion.

In a move to reward shareholders, the board declared a third-quarter dividend of 19 cents per share, comprising a five-cent ordinary dividend and a 14-cent special payout.

The $114 million distribution represents a 58 per cent increase from the previous quarter and brings dividends declared so far this year to 40 cents per share.

Revenue climbed 27 per cent to $2.76 billion from $2.18 billion, supported by stronger prices for crude oil, condensates and natural gas.

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Crude oil and condensate generated $2.47 billion, up from $2 billion in the same period last year. Seplat said it realised an average crude price of $96.19 per barrel, representing an $8.12 premium over the Brent benchmark.

Its export sales reached buyers across several markets, with Asian refiners accounting for $1.1 billion, followed by Europe at $833.6 million, African markets at $764.3 million and the Americas at $64.3 million.

Gas revenue also increased to $165.1 million, while daily working-interest gas volumes reached 194.9 million standard cubic feet.

The company attributed the improvement partly to commercial deliveries through the OB3 trunkline from its newly commissioned ANOH gas processing facility, which expanded supply to domestic utility customers.

Revenue from natural gas liquids rose almost fourfold to $124.1 million from $33 million following the replacement of the Inlet Gas Exchanger at the EAP offshore complex.

Total group working-interest production increased by seven per cent to 144,999 barrels of oil equivalent per day, with onshore operations leading the growth.

Despite higher production expenses, which rose to $1.58 billion from $1.30 billion, Seplat said its financial position improved significantly during the period.

Operating cash flow stood at $1.48 billion, while cash balances reached $556.9 million and total assets rose to $6.16 billion.

Net debt fell by 65 per cent to $234.9 million, reducing net leverage to 0.14 times EBITDA.

The company also cleared the remaining $100 million tranche of its advance payment facility on October 27, settling the outstanding debt associated with its 2024 acquisition of Mobil Producing Nigeria Unlimited.

Seplat’s ownership structure also shifted in September, when entities controlled by incoming chairman Tony Elumelu, including Heirs Energies Limited, increased their combined stake to 21.07 per cent.

The development further strengthened Elumelu’s position in the company as it expands its oil and gas operations and increases domestic gas supply.