By Ali Elias
After over two years of delays, Seplat Energy Plc, Nigeria’s leading energy company listed on both the Nigerian Exchange Limited and the London Stock Exchange, has announced the successful completion of its acquisition of Mobil Producing Nigeria Unlimited (MPNU) from ExxonMobil.
This acquisition marks a transformative milestone for Seplat Energy, doubling its production capacity and positioning the company for significant growth and profitability. Additionally, it bolsters Seplat’s contributions to Nigeria’s energy sector and economic development.
With this deal, Seplat Energy has become Nigeria’s leading independent energy company, acquiring equity in 11 oil blocks located onshore and in shallow waters, along with 48 producing oil and gas fields, five gas processing facilities, and three export terminals. The acquisition also adds MPNU’s assets to Seplat’s portfolio, including a 40% operated interest in four Oil Mining Leases (OMLs 67, 68, 70, and 104), a 40% operated interest in the Qua Iboe export terminal and the Yoho Floating Storage and Offloading (FSO) facility, and a 51% operated interest in the Bonny River Terminal (BRT) NGL recovery plant. Moreover, 9.6% participation in the Aneman-Kpono field and the onboarding of approximately 1,000 staff and 500 contractors further strengthen Seplat’s capabilities.
Leadership Comments
Senator Udoma Udo Udoma, Chairman of Seplat Energy, expressed gratitude to President Bola Ahmed Tinubu, GCFR, for his support in enabling the transaction, and acknowledged the contributions of various ministries and regulators. He remarked:
“We are delighted to welcome the MPNU employees to Seplat Energy. We are excited to begin our journey in a new region of the country, and we look forward to replicating the positive impacts we have achieved within our communities in our current areas of operations. Seplat’s mission is to deliver value to all our stakeholders, and we treasure the good relationships we have developed with the Government, regulators, communities, and our staff.”
Roger Brown, Chief Executive Officer of Seplat Energy, described the acquisition as a historic milestone for the company, saying:
“Today we have achieved a major milestone in the history of Seplat Energy and I extend my thanks to the entire Seplat team for their hard work and perseverance to complete this transaction. MPNU’s employees and contractors have a strong reputation for safety and operational excellence, and I welcome them to the Seplat Energy Group.”
He further highlighted the strategic value of MPNU’s assets:
“We have acquired a company with one of the best portfolios of assets and related infrastructure in a world-class basin, providing enormous potential for the Seplat Group. Our commitment is to invest to increase oil and gas production while reducing costs and emissions, maximizing value for all our stakeholders. MPNU is a perfect fit with our strategy to build a sustainable business that can deliver affordable, accessible, and reliable energy for Nigeria alongside attractive returns to our shareholders.”
Strategic Priorities and Outlook
The acquisition brings substantial reserves and production capacity to Seplat Energy, with 409 million barrels of oil equivalent (MMboe) in 2P reserves, 670 MMboe in 2P + 2C reserves and resources, and an average daily production of 71.4 kboepd as of mid-2024.
Seplat’s immediate focus includes a seamless transition for MPNU staff and a targeted approach to operational growth. The company aims to maximize the value of its newly acquired assets through increased production and efficiency improvements. Detailed guidance for the expanded group’s 2025 operations will be shared with Seplat’s full-year 2024 results in February 2025.
This acquisition underscores Seplat Energy’s vision of fostering a sustainable energy business while enhancing Nigeria’s energy independence. As the company integrates MPNU’s assets and workforce, stakeholders can look forward to transformative growth and expanded opportunities. The successful completion of this deal positions Seplat Energy as a trailblazer in the sector, demonstrating resilience, strategic foresight, and a commitment to delivering value across the board.
Further updates will be shared in compliance with regulatory requirements.