Seplat Energy Plc, one of Nigeria’s leading independent oil and gas companies, on Tuesday released its full year audited financial numbers for 2024, announcing a revenue of N1.652 trillion and a profit of N647.9 billion.
It also declared a special dividend, which lifted the total 2024 dividend to $16.5 per share, up by 10 per cent compared to 2023.
In the audited financial statement, Seplat said it plans to invest between $280 million to $320 million in new wells and infrastructure in 2025, as part of its production forecast to double its oil output to as much as 140,000 barrels per day after acquiring Exxon Mobil’s assets in Nigeria.
The plan by Seplat to deploy those funds to drill more wells is seen as a major win for Nigeria, which desperately wants to raise oil output to 2.06 million barrels per day to fund this year’s record budget of roughly N55 trillion. Nigeria currently produces circa 1.75 million bpd.
According to the financial statement, Seplat grew its revenue for the period to N1.652 trillion from N696.9 billion year-on-year with cash generated from its operations rising to N567.5 billion from N340.6 billion year-on-year.
Production in onshore assets averaged 48,618 barrels of oil equivalent per day, up 2 per cent from 2023, which was 47,758 bpd. Besides, the company’s operating profit rose to N647.9 billion from N163.7 billion y-o-y while profit before tax surged to N561.4 billion from N125.5 billion y-o-y.
In the same vein, gross profit for the company hit N710.1 billion from N349.3 billion, as Seplat achieved more than 11 million hours without Lost Time Injury (LTI) on its operating assets in 2024 as against 8.7 million hours in 2023.
Its ANOH gas plant, Seplat said, is planning to test with third party dry gas in the first half of 2025, tunnelling operations on OB3 resumed during the first quarter of 2025, while Trans Niger Pipeline (TNP) resumed 24-hour operations in Q4, 2024.
Seplat said its balance sheet remained robust, with year-end cash at bank being $469.9 million as against $450.1 million in 2023, excluding $132.2 million restricted cash.
With initial 2025 capex of $260-320 million, including 13 new wells onshore, replacement of an inlet gas exchanger on East Area Project (EAP), NGL project offshore and other capex projects, the company pegged its unit operating costs at $14.0-15.0/boe.
Commenting on the audited financial results, Chief Executive Officer of Seplat, Roger Brown, described 2024 as a defining year, reiterating that this year the company will focus on reopening previously shut-in wells.
“2024 was truly a defining year for Seplat Energy. In addition to delivering key growth projects in our existing onshore business, we closed out 2024 by completing the acquisition of SEPNU, the largest in the company’s history, which adds significant scale and attractive low-cost growth potential.
“In the first few months since the acquisition, it has already become clear that there is significant prize in the offshore shallow water, operating a closed loop system from well-head production to hydrocarbon sales at the terminal.
“This year we will focus on re-opening previously shut-in wells in SEPNU, alongside another full drilling campaign for our onshore assets and we look forward to delivering first gas at ANOH. We will also accelerate the subsurface work and contracting needed to commence an infill drilling campaign at SEPNU.
“Our confidence in the future trajectory for the enlarged business, combined with our strong financial position, means that we are delighted to declare a special dividend again for 2024, lifting the total dividend for 2024 to $16.5 cents per share, an uplift of 10 per cent from 2023,” he stated.
Brown added that his team remained proud of its achievements in 2024 and fully intends to continue its mission to create significant shared value and enhance prosperity for all its stakeholders in Nigeria and beyond.
