Savannah Energy PLC, has released its operational and financial update on its Nigerian operations and other markets in Africa for the seven months to 31 July 2026, including up-to-date cash collections in its Nigerian business.

The update shows that its group daily gross production averaged 16.3 Kboepd for 7M 2026, compared to 18.8 Kboepd during the same period in FY 2025. With its Uquo 13 now on stream, it expects its average gross daily production to exceed 20 Kboepd over the remaining five months of the year, with FY 2026 average gross daily production anticipated to be in the range of 18-20 Kboepd, including further upside potential from the Uquo South exploration well.

The company reported that following the completion of the SIPEC Acquisition in March 2025, the production expansion programme underway at Stubb Creek has delivered a 29% year-on-year increase in average gross daily production to 3.7 Kbopd for 7M 2026 (7M 2025: 2.8 Kbopd). Average production in July 2026 was in excess of 5.0 Kbopd.

The report also shows that its cash collections in Nigeria increased by 13% year-on-year to US$247.9 million during the 7-month period, compared to US$219.2 million during the same period in FY 2025.
According to the report, Savannah’s Revenue increased by 10% year-on-year to US$160.6 million, compared to US$146.0 million during the first seven months of 2025. As at 31 July 2026, its cash balances totalled US$62.0 million (it was US$42.7 million as at 31 December 2025), and net debt stood at US$672.0 million (31 December 2025: US$658.8 million). Its Trade Receivables balance as at 31 July 2026 was US$394.6 million, a 22% reduction on year-end 2025 (31 December 2025) of US$508.5 million.

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Savannah also provided new updates on its Uquo 13, formerly known as Uquo NE and Uquo South exploration well. It reports that drilling and completion activities at the Uquo 13 well location have been concluded. The well which was tied back to the Uquo Central Processing Facility (“CPF”), achieved first gas in July and is on stream, after having successfully been tested at approximately 50 MMscfd.

The Uquo South exploration well spudded in early August 2026 and is currently being completed. Gas has been confirmed in most of the targeted reservoirs through pressure measurements, fluid sampling and logging. The Uquo South discovery is expected to be fully evaluated following completion of the well and the planned testing programme.

On Niger, Savannah reported that it continues to engage with the country’s Government in relation to the R1234 PSC and the forward work programme. These discussions, it said, are aimed at resolving disputed issues arising under this contract and notably cover the contractual and operational framework for recommencing activity, including the treatment of periods during which operations have been materially constrained. It said it continues to reserve its rights under the R1234 PSC and is seeking to agree a mutually acceptable basis with the Government for future operations, and that work will only recommence on these assets if, and when, the Company reaches such a satisfactory agreement with the Government.

The report also provides updates on ongoing arbitration in Chad where its wholly owned subsidiaries, SCI and SMIL, commenced arbitral proceedings in 2023 against the Government of the Republic of Chad. It would be recalled that SCI had sued the Chadian Government in response to the March 2023 nationalisation of SCI’s rights in the Doba fields in Chad, and other breaches of SCI’s rights. SMIL had also commenced arbitral proceedings in 2023 in relation to the nationalisation of its investment in TOTCo, the Chadian company which owns and operates the section of the Chad-Cameroon pipeline located in Chad. SMIL had also commenced arbitral and other legal proceedings for breaches of SMIL’s rights in relation to COTCo, the Cameroon company which owns and operates the section of the Chad-Cameroon pipeline located in Cameroon. Savannah said it expects these arbitral proceedings to be concluded in H2 2026.

SCI is also involved in further arbitral proceedings in which designates of Société des Hydrocarbures du Tchad allege breaches by SCI of the Doba fields joint operating agreement. SCI is defending the claims vigorously. Savannah expects these arbitral proceedings to be concluded in H1 2027.

Andrew Knott, CEO of Savannah Energy, said: “2025 was a year of execution for Savannah with good progress delivered across the nine focus areas we set out at the start of the year. In Nigeria, we increased our rate of cash collections year-on-year by 12%, a trend which we hope to continue into 2026, and have made significant progress in refinancing our debt facilities.

In our Hydrocarbons Division, the completion of the SIPEC acquisition in March enabled us to commence an expansion programme at Stubb Creek, increasing 2025 production materially above 2024 levels. At Uquo we delivered the new compression system under budget and advanced site construction ahead of the planned commencement of drilling of the new Uquo NE well. During the year, we also announced a 21% 2P Reserves upgrade at the Uquo gas field and a 29% upgrade to Stubb Creek oil field 2P Reserves. In Niger, we remain actively engaged with the Government on future activity, with the R3 East development plan significantly enhanced during the year.

“In the power sector, we repositioned our business model and advanced both operating and development opportunities, including the proposed acquisition of interests in three East African hydropower projects, which is targeted for completion in H1 this year. We have also continued to progress on our wind, solar and hydro portfolio. Alongside this, we continue to pursue further value-accretive acquisitions across both hydrocarbons and power, with several other opportunities under active discussion.

“We also continued to progress our arbitration claims, with the Savannah Chad Inc (“SCI”) and Savannah Midstream Investment Limited (“SMIL”) proceedings currently expected to be concluded in the first half of 2026.

“Overall, this progress provides a strong platform for continued delivery in 2026.”

There are allegations that secret drilling of crude oil has begun in some Ogoni communities, even as talks between the Federal Government and representatives of the people on the planned resumption of oil exploration in the area remain inconclusive.

Though the Movement for the Survival of the Ogoni People (MOSOP), in a statement released in Port Harcourt on Sunday by the Secretary-General of MOSOP, Stephen Nmane, insist that the citizens have embraced the idea of oil resumption because of the integrity of its leaders involved in the talks.

According to MOSOP reports of alleged compromise and alleged corruption are worrisome.

Also, MOSOP said it wanted the names of 40 Ogoni youths employed by the Nigerian National Petroleum Company Limited (NNPC Ltd) published for the sake of transparency, alleging that names of foreigners were smuggled onto the list.

Nmane specifically said oil drilling had been noticed in Ogoni communities in Tai and Eleme local government areas without the knowledge of the people, saying MOSOP condemned any forced re-entry into Ogoni, describing it as a betrayal of the spirit of the dialogue process.

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The statement was titled ‘Alarming Compromise of The Ogoni Oil Production Resumption Process: The Reported Massive Corruption of Leaders of The ODC’.

“It is appalling as it is disappointing that while dialogue between Abuja and Ogoni is ongoing, preliminary oil production is operationalised in parts of Ogoni by the Federal Government without the consent and social licence of the Ogoni community.

“In Ban-Ogoi and Alesa-Eleme areas, oil drilling with its attendant health and environmental toxicity is ongoing.

“To us, this is in bad faith as it betrayed the godly spirit of the dialogue.

“Therefore, we cannot but condemn this forced re-entry through the back door. Thus, we demand immediate halt of the operations and the needful done,” the statement read.

It added, “The Movement for the Survival of the Ogoni People, MOSOP, is alarmed at a damning report circulating in Ogoni and across social media platforms, alleging massive economic corruption of some key leaders of the Ogoni oil resumption dialogue process.

“This is most concerning as it is at the expense of our people. Since the allegations impugn the credibility and trustworthiness of these facilitators, the Ogoni Dialogue Committee (ODC) and its leadership, MOSOP would urge the body to publicly clear its name of the weighty allegations.

“It equally warned of dire consequences as Ogoni will not sit idly by while accrued benefits to the community are illicitly cornered by a greedy, heartless few pretending to work for our common good.

“Notwithstanding acknowledged doubtful integrity of some of these leaders, our people had embraced the process in the hope that envisaged opportunities offered would create enduring succour.

“The feeling that the hope would not materialise owing to corruption, occasioning anger and tension, is understandable. Hence, we call on the people to remain calm and law-abiding while efforts are made to address the issues.

“Saddeningly, information available to MOSOP indicates that some bigwigs of the Ogoni Dialogue Committee had been compromised to facilitate the re-entry. In fact, Ogoni youths who had protested at the operational bases reported that engineers at these sites told them to approach an ODC chieftain instead.

“Furthermore, the report also implicated the ODC facilitators in other shoddy deals. It revealed their involvement in another multi-million-dollar oil pipeline contract to be executed across Ogoni oil fields preparatory to oil resumption proper.”

It warned the Federal Government and investors interested in investing in Ogoni to be wary of predators.

“We would further counsel against hasty agreement with anyone or group without appropriate due diligence, as such will not be binding on us.

“We wish to make it categorically clear that all entered agreements on behalf of Ogoni are shoddy, unacceptable, and null and void,” the statement added.

In a move expected to reduce distribution costs for independent petroleum marketers and create room for lower petrol prices at the pump, the Dangote Petroleum Refinery & Petrochemicals (DPRP) has expanded its free petroleum product delivery initiative to Kano, Imo, Anambra and Nasarawa States.

A company statement on Sunday in Lagos, has it that the initiative, which began with deliveries to Lagos, Ogun, Rivers, Kaduna, Abuja and Delta States, is designed to bring petroleum products closer to marketers and retailers while removing the cost of transporting products over long distances from the refinery to various parts of the country. By absorbing the delivery cost, the refinery is reducing one of the key expenses built into the downstream distribution chain.

Group Executive Director, Commercial Operations, Oil & Gas, WAEP and Fertiliser, Fatima Aliko Dangote, said the initiative was designed to ensure that the benefits of domestic refining translate into tangible savings for businesses and consumers. “The value of domestic refining must ultimately be felt beyond the refinery gate. By absorbing the cost of delivering petroleum products to our customers, we are removing a significant component of the distribution burden and creating room for those savings to flow through the value chain to consumers. Our goal is to make fuel distribution more efficient, reduce avoidable costs and support more competitive pump prices across Nigeria.”

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The expansion has been welcomed by the Independent Petroleum Marketers Association of Nigeria (IPMAN), which said the initiative would significantly reduce some of the financial and logistical pressures confronting independent marketers and contribute to lower prices for consumers.

National Publicity Secretary and Public Relations Officer of IPMAN, Chinedu Ukadike, said the initiative addresses a longstanding challenge in the petroleum products distribution chain, where marketers commit substantial funds to product purchases and may then have to wait for extended periods before their orders are loaded and transported.

“This gesture, if sustained, will be able to alleviate the sufferings of independent marketers,” Ukadike said. “There has been the issue of financial hold-up, whereby marketers pay for products and are not loaded for days and weeks, and they suffer unnecessary hardship bringing the product down.”

According to him, the refinery’s delivery arrangement reduces the period for which marketers’ funds remain tied up, improves cash flow and allows businesses to deploy their capital more efficiently.

“This time around, Dangote has made it very, very easy for marketers. Marketers are jubilating, and you will see the return on investment as an independent marketer. Your money will not be tied down,” he said.

Ukadike said the initiative could also have a direct impact on pump prices because transportation represents a cost that ultimately forms part of the price paid by consumers.

“You also have less risk, and you have petroleum products at your doorstep. Other consumers will also see that our pump price will not continue to go up. The more Dangote brings down its pump price, the more independent marketers will bring down theirs,” he said.

The reduction in distribution costs is particularly significant for marketers serving locations far from the refinery. Under conventional distribution arrangements, petroleum products transported over long distances incur additional costs associated with haulage, vehicle operations, driver expenses, insurance, road risks and other logistics. Removing or reducing these costs can improve the economics of supplying those markets and create greater scope for competitive retail pricing.

The initiative also reduces the operational risks associated with moving large volumes of petroleum products over long distances. By taking products closer to their destination markets, the refinery is helping to shorten the supply chain and improve the reliability and efficiency of product distribution.

Ukadike commended the management of Dangote Refinery for the initiative and urged the company to extend the programme to more locations across the country, particularly in the northern states, to promote wider access to competitively priced petroleum products.
He described the development as a practical demonstration of the benefits of competition and deregulation in Nigeria’s downstream petroleum sector.

“This is the beauty of deregulation and competition,” he said.

The expansion comes as Nigeria’s downstream petroleum sector continues to adjust to the growth of domestic refining capacity and a more competitive market environment. The Dangote Petroleum Refinery, with a capacity of 700,000 barrels per day, is increasingly supplying refined petroleum products to the domestic market while also expanding its presence in international markets.

The free delivery initiative adds another dimension to the refinery’s impact on the downstream sector. Beyond increasing domestic supply, the refinery is now taking steps to reduce the cost of moving those products from the refinery to consumers.

For motorists and households, the potential benefit is straightforward: the lower the cost of moving petrol through the supply chain, the greater the opportunity for marketers to reduce the price consumers pay at the pump.