Seplat: How Orjiako, Basil Omiyi Awarded Over $5m Contracts To Companies Linked To Them

Details have emerged of how Seplat Energy Plc’s retired founder A.B.C. Orjiakor, Chairman Basil Omiyi and other top officials awarded companies they control contracts worth over $5.03m (N2.18bn) between 2021 and 2022.

THE WHISTLER found from Seplat’s 2022 Annual Report that the biggest contracts involving the top officials of Seplat were awarded to its founder’s companies.

Barely two weeks ago, Seplat sued its former Chairman and founder Orjiakor for
transacting on behalf of the company without the approval of the board after retirement.

The indigenous oil firm announced the termination of the Consultancy Agreement between the Company’s wholly-owned subsidiary and its co-founder, Dr. A.B.C Orjiako, acting through Amaze Limited, with immediate effect.

“Under the Consultancy Agreement, Dr. Orjiako was obliged to provide defined assistance with certain external stakeholder engagements following his retirement from the Board after the 2022 Annual General Meeting in May 2022.”

However, THE WHISTLER obtained details of transactions of Orjiako acting through Amaze Limited and Shebah Petroleum Development Company Limited SPDCL (BVI).

Orjiako owns SPDCL (BVI). The former Chairman and members of his family control 6.43 per cent of Seplat Energy Plc.

Between 2021 to 2022, Orjiako was awarded consulting contract through his SPDCL to the tune of $916,500 (N409.8m), while it secured $1.1m (N450m) in 2021 when he was still the chairman.

Amaze Ltd which is controlled by Orjiako was awarded $1.457m (N651.3m) contract after he retired.

Cumulatively, Orjiako received $2.37m (N1.06bn) contract in 2022 and $1.1 (N450m) in 2021 amounting to $3.47m (N1.51bn) in two years.

Basil Omiyi replaced Orjiako as Seplat Chairman in May 2022. It is understood that a company where he is still a director and shareholder, Abbeycourt Trading Company Ltd was awarded $222,000 (N88.9m) contract to provide Seplat diesel to carry out its rig operations.

Stage leasing (Ndosumili Ventures Limited), a subsidiary of Platform Petroleum Limited has Seplat’s non-Executive Director Kazeem Raimi as the Executive Director, Commercial, of Platform Petroleum, based on findings by THE WHISTLER. It is also linked to former Seplat CEO, Avuru Ojunekwu Augustine.

He is the current Vice Chairman of Platform Petroleum, THE WHISTLER found.

The company provides transportation services to Seplat and in 2021, it received $278,000 and N111.3m worth of contracts.

The document said entities controlled by top management officials of Seplat received $1m contracts in 2022.

Ubi Eleh and Company, controlled by a Director of Sepltat, Ernest Ebi was awarded a contract of $53,700 (N24m).

According to a 2022 Bloomberg report, Seplat has spent over $540m in the last twelve years on firms linked to Orjiako.

Recently, Seplat has been going through litigations ranging from involvements with Orjiako and its former CEO Roger Brown whose work permit was withdrawn by the Nigerian government over racism allegations against Nigerian workers.

A group of shareholders also sued Brown in a court in Lagos banning him from participating in Seplat affairs but the order has been vacated.