Continental Focus, International Reach

Seplat Takes FID on Pipeline

Sunday, May 19, 2019

Dr. Ambrosie Orjiako, chairman of Seplat Petroleum, revealed that the company’s board had taken the FID for the ANOH and Amukpe to Escravos alternate export pipeline.

Addressing journalists at the firm’s yearly general meeting he said: “As you are aware, our results from the previous two years were characterized by the extended period of force majeure at the Forcados Terminal from February 2016 to June 2017.

“As we enter 2019, our reliable production base, low unit cost of production and discretion over capital commitments will allow the business to remain highly free cash flow generative and profitable. In the absence of any major interruption or force majeure event, this will enable Seplat to honor its dividend policy and provide an attractive yield to our shareholders in addition to the potential for capital appreciation.”

Orjiako added that the company will selectively invest in low-risk oil production drilling opportunities within the existing portfolio and continue the expansion of its gas business, with 2019 set to be the year that activity intensifies at the large scale Assa-North and Ohaji-South (ANOH) gas and condensate development.