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Seplat pays over $2bn taxes to FG, $12bn to venture partners

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.Records revenue increase of 38% in 2021

COMFORT EKELEME, BUSINESS EDITOR

Outgoing Board Chairman, Seplat Energy Plc, Dr ABC Orjiako Wednesday said the company has so far paid over $2 billion in taxes and royalties to the federal government and about $12 billion to its venture partners, including the Nigerian National Petroleum Company (NNPC).

Briefing newsmen in Lagos at the end of the Company’s 9th Annual General Meeting (AGM), he said the company would continue to make massive investments to grow its oil and gas production and reserves.

Orjiako noted that the real anchor success of the company is the Seplat model of community engagement, “that is why where ever we go, we make sure that we win the confidence of the people.

According to him, the 700 million dollar ANOH Gas Processing Company, being constructed by Seplat and the NNPC at Asaa, Ohaji/Egbema in Imo, was nearing completion, adding that the project, which would produce about 300 MMscfd, reinforced Seplat’s commitment towards its leading position in the transition to a cleaner source of energy, while providing sustainable development to its host communities.

Orjiako maintained that the project, when completed, would provide gas to boost the much-needed supply of power to millions of homes and businesses across Nigeria to facilitate better standard of living and drive economic growth.

He however, disclosed that Seplat was currently engaging the government and its partners to obtain the needed consent to finalise the deal.

While commenting on the `Seplat Energy Tree 4 Life Initiative’ which was launched in Abuja, he said the project would be piloted in five states with the goal of planting one million trees annually for the first five years.

“Environmental sustainability is critical to our operations. The climate change situation needs to be mitigating, and that is why we took up this initiative.

“We are also targeting to take out flares in our operations by 2024, six years ahead of the time frame of 2030 set by the Federal Government,” he said.

Describing the journey so far, “he said it has been the actualization of passion and vision for the founders and for me personally to see that we have done this great stride, this is because of the kind of people we have and the grace of God.

Also speaking, its Chief Executive Officer, Mr. Roger Brown said Seplat’s revenue increased by 38 per cent to 733 million dollars in 2021 when compared with 531 million dollars in the 2020 financial year.

He said the company made 618.4 million dollars from oil sales while 114.8 million dollars revenue was made from gas in 2021, adding that oil revenues went up on higher price of 70.54 dollars per barrel in 2021 compared to the 39.95 dollars per barrel it was sold in 2020 as a result of the COVID-19 pandemic.

Brown said the board also agreed on the payment of dividends at 10 cents per share for its shareholders, which would be paid quarterly.

He said, “So, the company has bounced back from 2020. It is in a strong footing going forward and the circumstances show that we are having a better result going into 2022.

Brown also noted that the ongoing conflict between Russia and Ukraine had provided Nigeria with a unique opportunity to take its gas into the European market.

He, however, said Seplat remained committed to meeting the domestic gas needs of the country in order to reduce lack of access to energy, which was critical to development.

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