Continental Focus, International Reach

Seplat Sees Nigerian Renewals

Monday, November 19, 2018

Seplat has extended its stay on three OMLs in Nigeria following Nigerian President Muhammadu Buhari’s approval of the renewals. In a disclosure to the Nigerian Stock Exchange (NSE) the company said that the renewals were for OMLs 4, 38, and 41.

The OMLs now have a new expiry date of October 21, 2038; the renewal was contingent on Seplat paying a renewal bonus of $25.9 million.

CFO, Roger Brown, said the company holds a 45% working interest in all three of these blocks. Brown also added that during the first nine months of 2018, production from the licenses accounted for 92% of Seplat’s total oil production and 100% of its gas production.

“In connection with the license renewal Seplat has paid in full a Renewal Bonus of $25.9 million, thus ensuring all conditions for license renewal have been met. The company is now working with the Department of Petroleum Resources (DPR) to obtain the updated title deeds in connection with the renewal,” the company said in its NSE disclosure.