Seplat Petroleum Development Co PLC - oil producer in Nigeria - Inks crude purchase agreement with Waltersmith Petroman Oil Ltd for the supply of 2,000 and 4,000 barrels of oil per day from its existing working-interest production from the Ohaji South Field within license OML53. Oil is for Waltersmith's new 5,000 bopd modular refinery at Ibigwe Field in Imo State, Nigeria.
"We are delighted to sign this crude purchase agreement with Waltersmith as it ensures that Nigerian crude will be refined locally by a Nigerian refiner. The agreement will eliminate losses we previously experienced on the export pipeline, meaning more revenue will be booked by Seplat for the same amount of oil produced from the field," says Seplat Chief Executive Roger Brown.
Separately, Seplat confirms its production guidance of 48,000 to 52,000 barrels of oil equivalent per day for 2020. For 2019, it produced 46,498 boepd.
Current stock price: 65.32 pence
Year-to-date change: down 47%
By Ife Taiwo; ifetaiwo@alliancenews.com
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Seplat Energy (SEPL)