Seplat Energy Records N1.071 Trillion Revenue In Nine Months
. Expects Higher Gas Production From Oben Plant Soon
Seplat Energy Plc, has grown its revenue for the period to N1.071 trillion from N478.1 billion Year-on-Year with cash generated from its operations rising to N633.8 billion from N213.8 billion.
This was disclosed in its unaudited results for the nine months ended 30 September 2024.
The oil company’s working interest production averaged 47,525 barrels of oil equivalent per day (boepd) (nine months 2023: 48,152 boepd), around the midpoint of guidance.
According to the report, 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).
The company also increased its core dividend by 20% to US3.6 Cents per share in 3Q 2024 alone. Total core dividend declared to date in 2024 is US9.6 cents per share.
The report stated: “Working interest production averaged 47,525 boepd (9M 2023: 48,152 boepd), around the midpoint of guidance. Daily average liquids production increased 6% and gas production decreased by 11% versus 9M 2023. Annual guidance narrowed to 46,000 – 50,000 boepd (previously 44,000 – 52,000 boepd).
“Oben gas plant turnaround maintenance activity successfully completed, expect higher gas production in 4Q 2024.
“Abiala first oil achieved in September. Exports to commence during Q4 2024, targeting gross production level of c.5,000 bopd in Q1 2025.
“Trans Niger Pipeline (‘TNP’) availability improving, supporting higher OML 53 production, 3Q 2024 production of 2,097 bopd +85% compared to 3Q 2023, and enabling a resumption of OML 53 crude lifting at Bonny Terminal in September,” it stated.
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.
“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.
“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. The transaction will be transformational for Seplat Energy, and every effort is now on completing the transaction.” he stated.
