Seplat Completes Conversion Of Onshore Assets To PIA Fiscal Regime

Seplat Energy Plc has completed the conversion of its operated onshore assets to the Petroleum Industry Act (PIA) fiscal regime, marking a major regulatory and strategic milestone for the Nigerian independent energy company.

In a notice issued in Lagos and London on Tuesday, the company said its subsidiaries, Seplat West Limited and Seplat East Onshore Limited, successfully transitioned from the Petroleum Profit Tax framework to the PIA regime following the conclusion of all technical and regulatory processes with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

The conversion covers assets previously held under Oil Mining Leases (OMLs) 4, 38, 41 and 53. These assets accounted for an average working interest production of 42,591 barrels of oil equivalent per day (boepd) in the first nine months of 2025, representing about 31 per cent of Seplat Energy’s total production over the period.

Seplat said new Petroleum Mining Lease (PML) and Petroleum Prospecting Licence (PPL) numbers have now been issued by the regulator. Subject to final regulatory guidance, operations under the PIA framework are expected to formally commence from January 1, 2026.

The company noted that the conversion aligns with its long-term strategy to enhance investment attractiveness, drive production growth and improve operational efficiency.

The anticipated financial and operational impact of the transition was already factored into Seplat’s medium-term guidance presented to investors at its Capital Markets Day in September 2025.

Chief Executive Officer of Seplat Energy, Roger Brown, described the completion of the conversion as a key achievement for the company and its joint venture partners.

“Conversion to the PIA fiscal regime has been an important focus for Seplat, and we are delighted to have delivered, along with our respective JV partners, the conversion of our onshore operated assets within the timeline outlined at our recent Capital Markets Day,” Brown said.

He added that the company expects the new fiscal framework to unlock enhanced value creation opportunities.

“PIA conversion lays a clear path to improved profitability and stronger cashflow margins in our onshore business,” he said.

Seplat Energy, which is listed on both the Nigerian Exchange Limited and the London Stock Exchange, said it remains on track to convert its offshore assets to the PIA regime by 2027, in line with its broader growth and regulatory compliance strategy.

The Petroleum Industry Act, enacted to reform Nigeria’s oil and gas sector, is designed to create a more transparent, competitive and investor-friendly fiscal environment, replacing legacy tax regimes that governed upstream operations for decades