Nigerian energy titans Orjiako, Avuru to pocket $6.46 million in dividends

Nigerian energy tycoons Ambrosie Bryant Orjiako and Austin Avuru are poised to receive a substantial dividend payout of $6.46 million from their equity stake in Seplat Energy, a top player in Nigeria’s energy sector.

The news comes on the heels of a total dividend of $6.46 million that the duo received from the company in 2022, highlighting their continued success and prominence in the Nigerian oil and gas industry.

The $6.46-million dividend, which will be paid directly from Seplat Energy’s retained earnings of $1.19 billion as of Dec. 31, 2022, equals the total dividend of $6.46 million which the Nigerian energy magnates received throughout 2022, as Seplat pays its shareholders a final dividend once and an interim dividend three times a year.

Seplat Energy is a privately held oil and gas company with active operations and oil assets in Nigeria’s Niger Delta region. The energy company intends to acquire ExxonMobil’s oil and gas assets in Nigeria in order to expand its operations.

Orjiako and Avuru, who played instrumental roles in establishing Seplat Energy in 2009 and driving its growth in the Nigerian energy industry, own sizeable 6.43- and 8.2-percent stakes, respectively, in the company.

Seplat Energy’s revenue surged by 29.8 percent to $951.8 million in the fiscal year 2022, which ended on Dec. 31, 2022.

The increase was primarily driven by a 35.8-percent rise in crude oil revenue to $839.5 million, underpinned by stronger average realized oil prices of $101.7 per barrel, up from $70.5 per barrel in 2021.

Despite a dip in profit from $117.17 million to $104.7 million, owing to a 71.5-percent hike in general and administrative expenses and a deferred income tax of $32 million, Seplat Energy’s board of directors recommended a special dividend of $0.05 per share, in addition to the final dividend of $0.025 per share.

Scheduled for April 18, the dividend payout will see Orjiako and Avuru receive $2.83 million and $3.6 million, respectively, taking their combined dividend earnings to $6.46 million.