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Nigeria’s Seplat Petroleum Plan Dual Public Listing To Raise $500 Mln

Nigeria’s Seplat Petroleum Plan Dual Public Listing To Raise $500 Mln

Nigerian oil company Seplat Petroleum Development is planning a dual listing on the London Stock Exchange and the local bourse to raise $500 million from the public, making it the first company for the Africa’s largest oil producing country to list on the British bourse.

Seplat, which bought assets in the Niger delta from Royal Dutch Shell Plc, plans to use the amount raised from the public share sale to acquire more assets or enter joint ventures, Bloomberg quotes an email statement it sent.

“The global offer proceeds will allow us to further implement our business strategy, which includes acquiring new assets,” Bryant Orjiako, Seplat’s chairman, said in the statement. “Seplat has a disciplined approach to acquiring new onshore and shallow-water assets in the Niger delta, which will be strictly adhered to.”

Seplat bought a 45 percent interest in 2010 in three oil leases from Shell and was appointed the operator by the Nigerian oil industry authority. Seplat’s average crude output tripled after the acquisition, to more than 50,000 barrels a day in 2013 along with 99 million standard cubic feet of gas, Bloomberg said.

“Our target is to grow gross operated production of oil and condensate to 85,000 barrels per day by the end of 2016, with at least 100 percent annual reserves replacement from our existing assets,” Orjiako said in the statement.

Seplat said in the statement it had appointed BNP Paribas SA and Standard Bank Group Ltd. as joint coordinators and book runners. Renaissance Securities Cyprus Ltd., Citigroup Inc. and RBC Europe Ltd. will act as joint book runners while Stanbic IBTC Plc and Renaissance Securities Nigeria Ltd. were appointed as Nigerian joint issuing houses.