The first half of this year has been challenging one for Seplat Petroleum Development Company as it declared N37.8 billion loss during this period.
The local petroleum exploring company revenue was down 26.5 per cent to N80.1 billion in the first quarter of 2020 from N109 billion in the corresponding period last, adversely affected by the significant drop in oil prices, which fell to $15 per barrel during this period, the financial result released to the Nigerian Stock Exchange showed.
Although it was able to grow other income by 566.5 per cent to N17.6 billion, this was overshadowed by operating expenses and cost of sales which were up by 194.7 per cent and 47.9 per cent to N69.3 billion and N67.2 billion respectively.
Seplat spent 105.8 per cent more to N11.9 billion in H1 2020 compared to N5.8 billion expended for the same purpose last year.
With the global economy on its knees due to the impact of COVID-19 pandemic which resulted in a slowdown in oil demand, Seplat inventory was up 10.9 per cent to N28.8 billion.