The Chief Executive Officer of Seplat Energy Plc, Roger Brown, has hailed the Nigerian National Petroleum Company Limited (NNPC Ltd.) for clearing its longstanding legacy debts and ushering in a new era of financial discipline and operational alignment.
Speaking during a high-level panel session titled “Harnessing Africa’s Energy Shift – From Acquisition to Optimisation” at the 2025 Nigeria Oil and Gas Conference in Abuja, Brown described the development as transformative, especially for indigenous oil producers.
“Yesterday, you heard the GCEO talk about NNPC’s direction. One of the big things is cash flow. When we listed in 2014 and raised $500 million, NNPC owed us $550 million more than our IPO. But that’s now a thing of the past,” Brown said.
He noted that NNPC’s revamped approach to payment structures and operational partnerships is already creating tangible benefits for independent producers.
“Cash flows have been paid. The new NNPC is aligned. It’s a partnership now and that’s what indigenous players are bringing to the table,” Brown added.
A New Era of Partnership and Operational Efficiency
For years, NNPC’s multi-billion-dollar backlog of unpaid debts to both local and international petroleum suppliers hampered operations, discouraged investment, and strained joint venture relationships. In 2024, that crisis reached a breaking point when suppliers halted product delivery over a $6 billion outstanding bill.
However, since then, NNPC has restructured its operations and finances, a change that energy leaders say is restoring confidence across the sector.
Reflecting on Seplat’s 2024 acquisition of ExxonMobil’s onshore assets, Brown highlighted how indigenous firms are now better equipped to take over and optimise divested fields.
“The indigenous sector is thriving. We understand the terrain. We don’t panic when things go wrong we stay. That’s the mindset we bring to these prolific onshore and shallow water assets.”
Seplat currently holds 11 oil and gas blocks, eight of which it operates. Brown said the company is ramping up its investments in both export gas via LNG and domestic gas supply, including Compressed Natural Gas (CNG) for the local market.
“We are already supplying NLNG and positioning for future LNG opportunities. But we’re also doubling down on domestic gas, which is crucial for Nigeria’s energy future,” he added.
Industry Backing for NNPC’s Transformation
Also on the panel was the Managing Director of Oando Energy Resources, Dr. Ainojie Irune, who applauded NNPC’s renewed focus on core production goals and operational efficiency.
“This is the first time we’ve seen a national energy company focused squarely on production. They are tackling security, operating costs, and even contract bottlenecks. The rest of us must now align,” Irune said.
He emphasised the rising influence of indigenous producers, stating: “We’ve moved from being fringe players to the backbone of Nigeria’s upstream strategy. With a reformed NNPC as a reliable partner, the future is very achievable.”
Ubonga North to Add 100,000 Barrels per Day by 2027 — Shell
Meanwhile, Shell Nigeria’s Managing Director, Ronald Adams, revealed that the Ubonga North oil project, which reached Final Investment Decision (FID) in December 2024, is projected to contribute an additional 100,000 barrels of crude oil per day to Nigeria’s output by mid-2027.
The announcement adds further momentum to Nigeria’s upstream sector, which continues to experience renewed investor interest under the Petroleum Industry Act and ongoing government reforms.
