Seplat Energy Plc, a Lagos- and London-listed independent energy company, has reported a significant increase in its nine-month net income. The company's unaudited results for the nine months ended September 30, 2026, showed a 174% surge in net income to $260.2 million. This growth was driven by stronger production, premium crude realisations, and a rapidly improving balance sheet. The company's revenue rose 27% to $2.764 billion, from $2.177 billion in the same period of 2025.
Seplat's adjusted EBITDA climbed 38% to $1.53 billion, while earnings per share increased 172% to 42 US cents. The company generated $1.479 billion in cash from operations and recorded free cash flow of $749 million for the period. This strong performance resulted in a 65% reduction in net debt to $234.9 million, from $673.3 million at the end of 2025. Additionally, net leverage improved to 0.14 times EBITDA from 0.53 times.
The company's board declared a third-quarter dividend of 19 US cents per share, a 58% sequential increase. The payout comprises a five-cent core dividend and a 14-cent special dividend, amounting to about $114 million. Seplat has declared 40 US cents per share year-to-date and retained full-year 2026 dividend guidance of $270 million, or 45 US cents per share. The company also expects to pay an additional transaction dividend of about 23.3 US cents per share, or $140 million, after the proposed sale of a 10% interest in the NNPCL-SEPNU joint venture to NNPC Limited completes in the fourth quarter.
Seplat's Chief Executive Officer, Engr. Effiong Okon, attributed the results to both operational delivery and favourable market conditions. He expressed delight in reporting another quarter of robust production growth, averaging over 155 kboepd in 3Q 2026, which puts the company firmly on track to meet the upper half of its full-year guidance. Okon added that Seplat realised $100.4 per barrel in the third quarter, $10.2 per barrel above the average Brent price during the period.
The company's working-interest production averaged 144,999 barrels of oil equivalent per day in the first nine months, up 7% from 135,636 boepd a year earlier. Onshore production rose 22%, while third-quarter output reached 155,801 boepd, up 13% year-on-year. Seplat's offshore idle-well restoration programme added 33,700 barrels per day and 176 million standard cubic feet per day of gross joint-venture production capacity year-to-date, through the restoration of 41 wells, including four gas wells.
Seplat also completed initial debt principal repayments on ANOH during the third quarter and sold its first commercial gas through the OB3 pipeline in September. The company reported an exploration discovery at the Aku-01 well in PPL 2A25, with oil and gas found across five reservoir intervals. Okon described the discovery as evidence of the strength of Nigeria's subsurface, highlighting the company's rich portfolio of prospects and the quality of the subsurface in Nigeria.
The company narrowed its 2026 production guidance to the upper end of 145,000 to 155,000 boepd, while reducing capital expenditure guidance to $280 million to $340 million, mainly due to the late arrival of an offshore rig. Unit operating cost guidance was raised to $15.5 to $16.5 per barrel of oil equivalent, reflecting ongoing costs related to Yoho. Okon stated that the company was positioned for its next growth phase, citing its people, portfolio depth, and strengthened balance sheet.
Key points
- Seplat Energy Plc reports a 174% surge in nine-month net income to $260.2 million.
- The company's revenue rose 27% to $2.764 billion, driven by stronger production and premium crude realisations.
- Seplat's board declared a third-quarter dividend of 19 US cents per share, a 58% sequential increase.
