Seplat Energy Plc, a foremost Nigerian indigenous energy company with dual listings on the Nigerian Exchange Limited and the London Stock Exchange, has announced the successful transition of its onshore operating assets to the fiscal framework of the Petroleum Industry Act (PIA).
This was disclosed in a notice made available on the Nigerian Exchange Limited (NGX) website on Tuesday and signed by the company’s Chief Financial Officer, Elbe Eleanor Adaralegbe.
According to Adaralegbe, the conversion was carried out through the company’s subsidiaries, Seplat West Limited and Seplat East Onshore Limited, replacing the former Petroleum Profit Tax regime.
The assets affected by the transition were previously operated under Oil Mining Leases (OMLs) 4, 38, 41, and 53. Over the first nine months of 2025, these assets recorded an average working interest production of 42,591 barrels of oil equivalent per day, accounting for roughly 31 per cent of Seplat’s overall output during the period, the Chief Financial Officer noted.
The shift to the PIA fiscal system is expected to encourage fresh investments, enhance production growth, and strengthen operational performance in line with the company’s long-term strategy.
The expected financial and operational implications of the conversion were already reflected in Seplat’s medium-term outlook unveiled at its Capital Markets Day held in September 2025. The company has also reiterated its plan to migrate its offshore assets to the PIA framework by 2027.
The transition follows the signing of Conversion Contracts in February 2023, in accordance with the provisions of the PIA. Since then, Seplat and its joint venture partners have concluded all technical processes and secured the necessary regulatory approvals from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). Fresh Petroleum Mining Lease (PML) and Petroleum Prospecting Licence (PPL) numbers have now been issued, with operations under the PIA regime expected to commence from January 1, 2026, subject to regulatory directives.
Commenting on the development, Seplat Energy Chief Executive Officer, Roger Brown, said:
“Conversion to the PIA fiscal regime has been an important focus for Seplat, and we are delighted to have delivered, along with our respective JV partners, the conversion of our onshore operated assets to the PIA regime within the timeline outlined at our recent Capital Markets Day.
“We recognise the enhanced value creation opportunities that we can benefit from, post conversion. PIA conversion was factored into our recent medium-term guidance and lays a path to improved profitability and cashflow margins in our onshore business.”
