Relief for Nigeria’s Oil Sector as Seplat Workers Halt Strike Action

There was a sense of relief in Nigeria’s oil and gas sector at the weekend after senior workers at one of Nigeria’s most prolific energy companies, Seplat, called off a strike action that would have negatively impacted Nigeria’s efforts to raise oil production.

The workers had walked out on Friday after wage negotiations stalled, raising concerns about oil and gas output at a time when Nigeria is seeking to maximise output amid rising global oil ⁠prices amid the ongoing Middle East crisis.

In an April 4 letter to Seplat’s Chief Executive Roger Brown seen by Reuters, Nigeria’s Petroleum and Natural Gas Senior Staff Association (PENGASSAN) said it had directed members at Seplat Energy to immediately suspend industrial action after negotiations resumed with the Nigerian National Petroleum Company Limited (NNPC).

The union said talks on a 2026 collective bargaining agreement would continue, with the ‌aim ⁠of concluding outstanding issues by April 13. The union has not disclosed what pay demands it is seeking.

This year, Seplat is targeting an ⁠output of up to 155,000 barrels of oil equivalent per day this year, up from an average of 131,506 ⁠boepd last year as it seeks to scale production while remaining a major supplier of gas to Nigeria’s domestic power market.

PENGASSAN, in the letter addressed to members across the company’s locations, said the suspension followed constructive and productive engagements involving the management, union leaders, and key stakeholders.