Seplat idle wells restoration boosts output as the energy firm revives 49 wells and plans 50 more in 2026 after ExxonMobil asset acquisition
Seplat Energy Plc, the Nigerian independent oil and gas producer listed in Lagos and London, has restored 49 previously idle wells to production following its acquisition of ExxonMobil’s onshore and shallow-water assets in a $1.28 billion deal.
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The company disclosed the development in its latest audited financial statement, describing the Seplat idle wells restoration programme as a cornerstone of its production growth strategy.
Seplat said the initiative delivered an additional 48,600 barrels of oil per day in gross production capacity during 2025 at an estimated cost of about $60 million.
The company noted that the programme demonstrated strong capital efficiency compared with greenfield drilling.
“We successfully restored 49 idle wells as part of the 2025 idle well restoration programme. The campaign delivered an additional 48.6 thousand barrels per day in gross production capacity,” Seplat stated.
The company added that the results reinforced its operational focus on unlocking value from existing assets.
Building on the momentum, Seplat plans to restore another 50 wells in 2026 under the second phase of the programme.
Management acknowledged that future output gains per well may gradually decline as the remaining idle well portfolio becomes more technically complex.
Chief Executive Officer Roger Brown earlier described the company’s offshore investments as entering a phase of “renewed vigour,” particularly after the integration of the former ExxonMobil assets.
The wells programme contributed to stronger offshore performance in 2025.
Seplat reported average daily working interest production of 76,023 barrels of oil equivalent per day from offshore assets, representing about nine percent growth on a pro-forma basis.
The company said the improvement was supported by the idle well recovery programme and improved asset performance, although planned maintenance and a fire-related outage at the Yoho platform affected output during the year.
Seplat expects the Yoho platform to return to production in the second quarter of 2026, potentially restoring about 20,000 barrels of daily output.
Financial results for 2025 reflected the company’s powerful turnaround following the acquisition.
Revenue rose 144 percent year-on-year to $2.7 billion, while adjusted EBITDA reached $1.27 billion with a margin of 47 percent.
Operating cash flow stood at $1.17 billion, while net debt fell to $673 million, leaving the company with a net debt-to-EBITDA ratio of 0.5 times.
Group production rose sharply to 131,506 barrels of oil equivalent per day, reflecting the first full year of consolidated operations after the Mobil Producing Nigeria Unlimited asset acquisition.
Looking ahead, Seplat has outlined a five-year capital expenditure programme of up to $3 billion aimed at expanding production capacity and strengthening gas infrastructure.
The company targets working-interest production of more than 200,000 barrels of oil equivalent per day by 2030, up from roughly 134,000 barrels per day recorded in mid-2025.
Growth in 2026 is expected to be driven partly by natural gas and natural gas liquids as the ANOH Gas Plant approaches full capacity and expansion at the Oso facility increases offshore gas sales capacity.
Seplat also confirmed plans to return $1 billion to shareholders over five years through dividends and other distributions linked to free cash flow.
The company projects total production of between 135,000 and 155,000 barrels of oil equivalent per day in 2026.
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Industry observers say the Seplat idle wells restoration strategy highlights the potential of mature oil assets when supported by focused operations and disciplined investment.
