Seplat Energy had little to show for an enormous surge in turnover in 2025, in terms of its impact on profit, as Nigeria’s biggest oil & gas company by market value faced a storm of cost pressures, including a huge tax liability that kept earnings growth muted.
Revenue reached a level never before seen by the corporation, rising 150.4 per cent to N4 trillion compared to the previous year, according to its audited accounts issued on Thursday.
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The stimulus came as the oil driller dramatically expanded average daily output by 148 per cent to 131,506 barrels of oil equivalent, and as Seplat marked its inaugural year of full offshore consolidation.
Onshore production grew by 14 per cent following the delivery of the Sapele Gas Plant project, an upgrade that aimed to ramp up the facility’s processing capacity by one-third to 90MMscfd.
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Cost of sales quickened by more than two-fold to N2.8 trillion, largely owing to spikes in royalties, as well as depletion, depreciation and amortisation.
General and administrative expenses enlarged by 75.5 per cent to N378.5 billion, straining operating profit.
“We benefitted from successful execution of several key offshore activities that kick-started life for Seplat as an offshore operator, while at the same time delivering onshore production performance that was the strongest in recent memory,” said Roger brown, the CEO.
He went on to state that drilling will be the cornerstone of the corporation’s long-term growth goals, as Seplat looks to deliver its first Jack-Up drilling rig in the third quarter of this year.
At the tail end of 2025, Tony Elumelu-backed Heirs Energies procured a 20.1 per cent stake in Seplat, previously held by Paris-based oil company Maurel & Prom S.A., for $500 million, becoming its top shareholder.
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Pre-tax profit stood at N755.5 billion, up from N394.7 billion in 2024. Tax liability rose steeply by 175.1 per cent to N513.9 billion, subduing earnings. Post-tax profit advanced to N241.6 billion from N207.9 billion, translating to a 16.2 per cent increase
Seplat, which is listed in both Lagos and London, also announced a fourth-quarter dividend of US5 cents per share and a special dividend of US3.3 cents on Thursday. Mr Brown said the company is on track to achieve a cumulative return of capital of $1 billion to shareholders by 2030.
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