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The CEO of Seplat Energy Plc, Roger Brown, stated that the Nigerian National Petroleum Company Limited (NNPCL) has settled its legacy debts and now operates with better financial organization and discipline, a change he called “a game changer” for local oil producers.
During a prominent panel titled “Harnessing Africa’s Energy Shift – From Acquisition to Optimisation” at the 2025 Nigerian Oil and Gas conference in Abuja, Brown commended NNPCL for its renewed emphasis on operational efficiency and collaboration.
He mentioned, “On Tuesday, the GCEO of NNPC discussed the company’s current initiatives. A key focus is ensuring cash flows, and I have a story to share. When we went public in 2014, we secured $500 million, whereas NNPC owed us $550 million, exceeding our IPO raise. That’s behind us now.”
He added that NNPC has since revamped its payment and cash flow systems, creating opportunities for smoother collaborations with independent producers.
Recall that NNPC previously grappled with substantial debts, owed to both local and international petroleum suppliers, which hampered operations, delayed payments, and diminished investor confidence in the oil and gas sector.
In 2024, both local and foreign petroleum suppliers ceased provision due to a $6 billion debt.
Reflecting on Seplat’s purchase of ExxonMobil’s onshore assets last year, Brown noted that local firms are now better positioned to manage and enhance divested assets.
“When we completed the Mobil acquisition last year, we were well-prepared. The local sector is flourishing because we have a grasp of the landscape, engage with communities directly, and focus on the long term,” he remarked.
He further stated, “When challenges arise, which they inevitably do, we remain composed. In 2016, our pipeline faced a shutdown. In 2017, we didn’t abandon our efforts. You can’t flee from your own home. That’s the perspective we adopt for these highly productive assets, both onshore and in shallow offshore waters.” Brown highlighted that Seplat currently manages 11 blocks, eight of which it operates, with an increasing emphasis on domestic gas monetization and LNG and CNG exports.
“We are already supplying NLNG, and we are also gearing up for LNG projects in development, investing significantly in domestic gas to satisfy local demand,” he noted.
During the panel, Dr. Ainojie Irune, Managing Director of Oando Energy Resources Nigeria Limited, praised NNPC’s strategic emphasis and enhanced cooperation with independent operators.
“This is the first time we have a national energy company focused on production goals, rather than being sidetracked by unrelated tasks. It’s staffed by qualified individuals in suitable positions,” Irune remarked.
“Charity begins at home, and NNPC has initiated that effort. They are addressing security, operating expenses, and standardizing contracting processes. The rest of us must align.”
He asserted that indigenous firms, once viewed as minor players, are now central to Nigeria’s energy future.
“Independent companies have transitioned from the bottom tier to leading Nigeria’s upstream strategy. With a dependable partner like NNPCL, a bright future is achievable,” he stated.
Meanwhile, Ronald Adams, the Managing Director of Shell Nigeria, announced that the Ubonga North oil project, which received Final Investment Decision in December 2024, is projected to contribute up to 100,000 barrels of crude oil per day to Nigeria’s production capacity by mid-2027.
