Seplat Petroleum Development Company listed on both the Nigerian Stock Exchange (NSE) and the London Stock Exchange (LSE) has announced its audited results for the financial year ended December 31, 2020.
The result revealed a revenue of $530.5m (N190.9bn) in FY 2020 as against $697.8m (N214.2bn) in 2019; down 24 per cent.
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A breakdown of the financial highlights indicates a final dividend of $0.05 per share recommended ($0.10/share for full year); Earnings before interest, taxes, depreciation and amortisation
Gross profit was $124.6m (N44.8bn) in 2020 from $395.7m (N121.5bn) in 2019; down 68.5 per cent. Cash flow from operations was $329.4m (N118.6bn) in 2020; down 3.6 per cent from $341.6m (N104.7bn) in 2019.
The operational highlights indicate a working interest production within guidance at 51,183 bopd despite demand fall and OPEC+ quotas; liquids production of 33,714 bopd, gas production of 101 MMscfd.
The company also reported the creation of a new energy unit to manage gas processing and future low carbon to zero carbon initiatives; AGPC financing signed in February, 2021, $260m raised, with commitments for $450m.
In its outlook for 2021, the company noted a full-year production guidance of 48-55 kbopd, subject to market conditions; and full-year capex expected to be around $150m with a focus on gas projects and an exploration well to meet reserves replacement targets.
Roger Brown, Chief Executive Officer of Seplat, said: “2020 was a challenging year for the company, but Seplat has once again shown its resilience and ability to overcome challenges and deliver production in line with guidance, operating with minimal incidences of COVID-19 cases.
From the $330m of cash generated from operations, we have increased our capital investment, invested in ANOH and voluntarily paid down $100m of debt, further deleveraging the balance sheet. Despite seeing the lowest oil prices in our 10-year history, we have continued to honour our commitment to shareholders of a regular income stream on their investment, by maintaining a total dividend of $0.10 per share for the year.”
