SEPLAT Petroleum Development Co PLC Notification on License Renewal (4914H)

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RNS Number : 4914H

SEPLAT Petroleum Development Co PLC

15 November 2018

20-year License renewal for OMLs 4, 38 and 41 confirmed

Lagos and London, 15 November 2018: Seplat Petroleum Development Company Plc ("Seplat" or the "Company"), a leading Nigerian indigenous oil and gas company listed on both the Nigeria Stock Exchange and London Stock Exchange, today announces that the President and Honourable Minister of Petroleum Resources has given consent for the renewal of OMLs 4, 38 and 41 to a new expiry date of 21 October 2038. Seplat holds a 45% working interest in OMLs 4, 38 and 41 and in the first nine months of 2018 production from the licenses accounted for 92% of Seplat's total oil production and 100% of Seplat's gas production. In connection with the license renewal Seplat has paid in full a Renewal Bonus of US$25.9 million, thus ensuring all conditions for license renewal have been met. The Company is now working with the Department of Petroleum Resources to obtain the updated title deeds in connection with the renewal.

Commenting on the license renewal Austin Avuru, Seplat's Chief Executive Officer, said:

"We are delighted to have concluded the early renewal of our core producing licenses, OMLs 4, 38 and 41. With the extension of the license to 2038 secured, we can now invest with confidence long into the future as we seek to further realise the full oil and gas potential of the licenses and continue to deliver value to all of our stakeholders".

Enquiries

 
 Seplat Petroleum Development Company 
  plc 
 Roger Brown, CFO                             [phone] 
 Andrew Dymond, Head of Investor Relations 
 Ayeesha Aliyu, Investor Relations            [phone] 
 Chioma Nwachuku, GM - External Affairs 
  and Communications 
 
 FTI Consulting 
 Ben Brewerton / Sara Powell                  [phone] 
                                              [e-mail] 
 
 Citigroup Global Markets Limited 
 Tom Reid / Luke Spells                       [phone] 
 
 Investec Bank plc 
 Chris Sim / Jonathan Wolf                    [phone] 
 

Important notice

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation. Upon the publication of this announcement via Regulatory Information Service, this inside information is now considered to be in the public domain.

Certain statements may contain forward-looking information concerning Seplat's strategy, operations, financial performance or condition, outlook, growth opportunities or circumstances in the countries, sectors or markets in which Seplat operates. By their nature, forward-looking statements involve uncertainty because they depend on future circumstances, and relate to events, not all of which are within Seplat's control or can be predicted by Seplat. Although Seplat believes that the expectations and opinions reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations and opinions will prove to have been correct. Actual results and market conditions could differ materially from those set out in the forward-looking statements. No part of these results constitutes, or shall be taken to constitute, an invitation or inducement to invest in Seplat or any other entity, and must not be relied upon in any way in connection with any investment decision. Seplat undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.

Notes to editors

Seplat Petroleum Development Company Plc is a leading indigenous Nigerian oil and gas exploration and production company with a strategic focus on Nigeria, listed on the Main Market of the London Stock Exchange ("LSE") (LSE:SEPL) and Nigerian Stock Exchange ("NSE") (NSE:SEPLAT).

Seplat is pursuing a Nigeria focused growth strategy and is well-positioned to participate in future divestment programmes by the international oil companies, farm-in opportunities and future licensing rounds. For further information please refer to the company website, http://seplatpetroleum.com/

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

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November 15, 2018 06:00 ET (11:00 GMT)