Seplat Energy Plans to Double Production Following Acquisition of ExxonMobil Assets
Seplat Energy, a Nigerian oil firm listed on the London Stock Exchange, has unveiled ambitious plans to double its production to 120,000 barrels per day within the next six months. This significant increase in production follows the company’s recent acquisition of ExxonMobil’s onshore and shallow-water assets. The acquisition, which was finalized in December after a two-year regulatory delay, includes 11 oil blocks, 48 oil and gas fields, and a vast amount of infrastructure.
The acquisition, which came at a cost of $1.28 billion, now positions Seplat as one of the largest domestic oil producers in Nigeria, with control over 16% of the nation’s total output. To achieve its goal of doubling production, Seplat has outlined plans to revive numerous idle wells across the acquired assets and bring them back into production.
While some critics have raised concerns about the longevity of the acquired assets, Seplat remains confident in the untapped potential they hold. The company believes that with the right expertise and strategic management, these assets can yield significant returns and contribute to the growth of Nigeria’s oil industry.
Seplat’s acquisition of ExxonMobil’s assets also signifies a shift towards promoting local expertise and talent in managing Nigeria’s oil resources. By leveraging its knowledge of the local market and operational capabilities, Seplat aims to maximize the potential of these assets and drive sustainable growth in the industry.
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