Emmanuel Addeh in Abuja The Chief Executive Officer of Seplat Energy, Effiong Okon, has urged indigenous oil and gas operators to prioritise asset integrity, life extension and the elimination of obsolete infrastructure to maximise asset value, improve operational efficiency and deliver stronger returns on investment. Speaking during a panel session at the 49th Nigeria Annual International Conference and Exhibition (NAICE) organised by the Society of Petroleum Engineers (SPE) in Lagos, Okon said independent operators must adopt a comprehensive approach to asset management if they are to build resilient energy systems in an evolving industry landscape. Addressing the conference, themed: “Building Resilient Energy Systems in a Rapidly Evolving Energy Landscape,” the Seplat boss stressed that maintaining critical equipment at top quartile performance was essential to reducing production losses and improving reliability. According to him, operators should target equipment availability of 95 per cent, meaning critical facilities should remain operational for at least 95 per cent of the time. “When you do all that, you drive down unscheduled deferment. In fact, you must follow your oil and gas molecules from the reservoir to export. The approach is all encompassing. You must understand your reservoir capacity, well capacity, your flow line and surface facilities. These mean a total understanding of the asset,” he said. Okon identified effective water treatment, elimination of routine gas flaring, monetisation of associated gas, optimisation of evacuation routes and improved logistics management as key measures capable of lowering operating costs and improving efficiency. He said operators should focus on commercialising every molecule of gas rather than paying penalties for flaring, while also strengthening logistics capabilities and strategically outsourcing selected operations to improve performance. The Seplat CEO also underscored the importance of sustained investment in human capital, arguing that building technical expertise across subsurface operations, well management and production facilities was critical to unlocking greater value from existing assets. According to him, improved technical knowledge would strengthen capital raising efforts and ultimately enhance value optimisation across the industry. He called on the engineers to intensify efforts to produce more skilled engineers capable of addressing the industry’s manpower gap and improving operational efficiency. Speaking on Seplat Energy’s performance, Okon said the company had continued to create value for shareholders through sustained share price appreciation and consistent dividend payments, while maintaining disciplined capital allocation to support future growth. He noted that Seplat had established itself as a leading player in Nigeria’s domestic gas business, adding that its shallow water assets contain about 12 trillion cubic feet of gas that the company plans to accelerate and monetise. “We are indeed trailblazers when it comes to domestic gas development. We are also doing a lot of Liquefied Petroleum Gas in the domestic market to displace biomass and contribute to addressing carbon intensity issues,” he added.
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