Seplat Energy Plc has raised its third quarter 2026 dividend by 58 per cent from the previous quarter to 19.0 US cents per share, after strong production and favourable oil prices delivered free cash flow of $749 million in the first nine months of the year.
The company, which is listed on both the Nigerian Exchange Group and the London Stock Exchange, disclosed this in its unaudited results for the nine months ended 30 September 2026 made available on Thursday.
Revenue rose 27 per cent to $2,764 million, compared with $2,177 million in the corresponding period of 2025. The average realised oil price for the nine months was $96.19 per barrel, a premium of $8.12 over the average Brent price. In the third quarter alone, the realised price was $100.44 per barrel, $10.21 above Brent.
Adjusted EBITDA climbed 38 per cent to $1,530 million, up from $1,111.9 million a year earlier. Net income increased 174 per cent to $260.2 million, while earnings per share rose 172 per cent to 42 US cents, from 16 cents in the first nine months of 2025. Cash generated from operations grew 6 per cent to $1,478.7 million.
The balance sheet strengthened further. Cash at bank stood at $556.9 million at the end of September, compared with $332.3 million at the end of 2025. Net debt fell 65 per cent to $234.9 million from $673.3 million at the end of last year, bringing the Net Debt to EBITDA ratio down to 0.14x from 0.53x. On 27 October, the company repaid the $100 million balance on its acquisition payment facility, meaning all debt raised to acquire MPNU in 2024 has now been cleared.
Working interest production averaged 144,999 barrels of oil equivalent per day (boepd) in the nine months, up 7 per cent from 135,636 boepd a year earlier, with onshore output up 22 per cent. Third quarter production averaged 155,801 boepd, which was 13 per cent higher than the same quarter of 2025 and 5 per cent above the previous quarter.
The company said the offshore idle well restoration programme continued to perform strongly, adding 33.7 thousand barrels of oil per day and 176 million standard cubic feet of gas per day of gross joint venture production capacity from 41 wells so far this year. Four of those wells are gas wells.
Initial debt principal repayments on the ANOH project were completed in the third quarter, and the first commercial gas was sold through the OB3 pipeline in September.
After the period ended, Seplat announced a discovery of oil and gas across five reservoir intervals in the Aku-01 exploration well in PPL 2A25. The discovery de-risks four prospects on the licence, one of which will be tested in a second exploration well planned for 2027.
On the environmental front, group carbon emissions intensity fell 14 per cent to 37.4 kg of CO2 per barrel of oil equivalent, from 43.6 a year earlier. Onshore operated emissions intensity dropped 34 per cent, which the company credited to its End of Routine Flaring programme.
The third quarter dividend of 19.0 US cents per share, worth $114 million, comprises a core dividend of 5.0 cents and a special dividend of 14.0 cents. Total dividends declared so far this year amount to 40.0 cents per share. The company retained its full year dividend guidance of $270 million, or 45.0 cents per share.
Seplat also expects to complete the sale of a 10 per cent interest in the NNPCL-SEPNU joint venture to NNPC Ltd during the fourth quarter of 2026. After completion, it intends to pay a transaction dividend of about half the consideration, equal to 23.3 US cents per share or $140 million.
The company updated its 2026 guidance. Production guidance was narrowed to 145,000 to 155,000 boepd, from 135,000 to 155,000 boepd. Capital expenditure guidance was lowered to between $280 million and $340 million, from $360 million to $440 million, mainly because of the late arrival of the offshore rig. Unit operating cost guidance was raised to between $15.5 and $16.5 per barrel of oil equivalent, from $14.5 to $15.5, owing to continuing costs related to Yoho.
Commenting on the results in his first update as Chief Executive Officer, Engr. Effiong Okon said the company was firmly on track to meet the upper half of its full year production guidance. He said onshore operations achieved record gas production in the quarter, supported by the ANOH ramp up and strong performance from Western assets.
Okon said the Yoho restoration project was completed during the quarter but start-up has been delayed because of pipeline damage that was identified and is being repaired. Production is expected online in the fourth quarter of 2026.
He added that when paid, the third quarter dividend will lift cumulative dividends declared since the company’s IPO to over $1.0 billion, and that Seplat is on course to return a second $1.0 billion to shareholders under its five-year plan.
“I believe that we are well positioned to deliver substantial growth, further reinforcing our position as a leading energy provider in Nigeria,” he said.
