Seplat Energy’s Profit Rises To N411.3bn In 9 Months

Seplat Energy Plc, has released its unaudited results for the nine months ended 30 September 2024.
The result shows strong underlying business performance which supports an increase to core dividend by 20 per cent to US3.6 Cents per share in 3Q 2024 alone.

The company’s core dividend to date in 2024 was put at US9.6 cents per share.

The leading indigenous energy company grew its revenue for the period to N1.071tn from N478.1bn Year-on-Year with cash generated from its operations rising to N633.8bn from N213.8bn Year-on-Year), while working interest production averaged 47,525 boepd (9M 2023: 48,152 boepd), around the midpoint of guidance.

Seplat Energy’s operating profit also rose to N411.3bn from N91.3bn Year-on-Year, as the company achieved 8.2 million-man hours without Lost Time Injury (LTI).

Commenting on the results, chief executive officer, Seplat Energy, Roger Brown, said: “The first nine months of 2024 has seen Seplat Energy deliver a strong operational performance. Production has been consistent, drilling has improved and our main maintenance activities have been executed successfully.

We have brought two new fields on stream, most recently Abiala, and are approaching completion of the Sapele gas plant.

Further delays to the start up at ANOH are frustrating, but we have been pleased to see the commitment of our government partner in tackling the technically challenging river crossing.”

Brown said “Based on the latest estimates received, and maintaining a cautious stance on any risk of further delays, we update our guidance for first gas to Q2 2025. Commodity prices remained supportive, combined with operational uptime and timely cash calls from our joint venture partner, helped cash generation improve year over year, enhancing our balance sheet position. As a result, we are pleased to announce a 20% increase in the core quarterly dividend and note that this is reflective of the strength of the underlying business.”

He said the increase does not factor in the organic (ANOH) and inorganic (MPNU) growth opportunities that the company is currently pursuing. We were delighted in recent days to receive Ministerial consent for the acquisition of MPNU.

He added, “The transaction will be transformational for Seplat Energy, and every effort is now on completing the transaction.”