A group consisting of shareholders with a major stake in Nigeria’s indigenous oil giant, Seplat Energy has vouched for the authenticity, sanctity and correctness of the company’s half-year results, which reported stellar performance. The group, Eagle Eye shareholders of Seplat Energy, also expressed confidence in the management’s capability to deliver superior returns and place the organization on the path of sustainable growth.
The move by Eagle Eye shareholders comes on the heels of unfounded and infantile allegations by a few shareholders against the dual-listed firm on its half-year results that ended June 2023.
In a statement, Eagle Eye shareholders described carpeted some groups of shareholders for regurgitating erroneous allegations against Seplat.
“The exercise is a continuation of the recent onslaught of a series of baseless allegations and ill-motivated lawsuits against Seplat Energy and its Chief Executive Officer Mr. Roger Brown,” it added.
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“As representatives of the majority shareholders”, the statement continued, “we were alarmed that a company in which we have made a significant investment and from which we derive ample returns will be unduly maligned and castigated in public by a clique of 13 minority shareholders holding less than 800 shares out of 589m shares (0.0001 per cent of the company’s issued shares)”.
Seplat’s half-year results showed strong cash generation of $259 million and moreover demonstrated continued operational excellence and resilience as evidenced by an unrivaled safety record having now clocked up a commendable 4.2 million hours without a Lost Time Injury.
It is clear from the excellent results for the first half of 2023 that Seplat has put its recent travails behind it, delivering good returns despite the distractions faced as a handful of shareholders orchestrated jumped-up allegations against the company and its leaders and successfully defended
A future assured company, of which every well-meaning shareholder should be proud of, Seplat extended the Share Sale and Purchase Agreement (SSPA) for the acquisition of ExxonMobil’s share capital of Mobil Producing Nigeria Unlimited (MPNU) to preserve the transaction. Evidently, revenues rose by 3.8per cent to $547.0million (including overlight of $504 million on improved production, offset by lower oil price, cash generation of $259.1 million, funding capex of $80.8 million and improved shareholder returns. The company’s balance sheet remains strong with $381.0 million cash at the bank, despite the impact of the devaluation of the Naira on USD cash balances.
The Eagle Eye shareholders of Seplat Energy, further restated its “unwavering confidence in the Board and Management of Seplat Energy. We state categorically that the action of Igbrude and his fellow litigants was ill-motivated with the intention of diminishing the value of Seplat Energy, which by its consistent superlative performance, remains at the apex of the best-performing company in Nigeria”.