An energy company owned by Nigerian billionaire Tony Elumelu has become the largest shareholder in one of Nigeria’s biggest oil producers in a deal that highlights the growing role of indigenous capital in the country’s hydrocarbon industry.
Heirs Energies bought a 20% stake in Seplat, a Lagos- and London-listed firm, for $500 million after securing a $750 million loan from the African Export-Import Bank last month to expand an existing oil field. Heirs has been seeking to grow its portfolio since acquiring an oil block in July 2021 by buying stakes held by Shell, ENI, and Total. Seplat, meanwhile, took over US oil giant Exxon’s operations in Nigeria following a $1.3 billion deal in 2024 that saw it become a major player in Africa’s top oil-producing country.
Nigerian oil companies are increasingly taking over onshore exploration and production operations following the exit of international oil companies that have moved offshore in response to risks associated with theft along pipelines. Local firms are benefiting from a favorable financing environment for the oil sector, encouraged by Washington’s investment push away from clean energy.
