Seplat Energy, Nigeria's Seplat Energy, is hit by a strike in response to a push for higher production

Workers at Seplat Energy - Nigeria's largest independent oil and natural gas producer - began an indefinite strike Friday. This could have a negative impact on production, as rising oil prices are increasing pressure on Nigeria to maximize supply.

In two letters sent to the CEO, the union stated that the action was taken by the members of the Petroleum and Natural Gas Senior Staff Association of Nigeria, a union of oil professionals, following a breakdown in the talks regarding a collective bargaining agreement for 2026 and staff welfare concerns.

The action stated was "until notice".

Seplat Energy didn't immediately respond to a comment request.

PENGASSAN announced that its members would suspend the majority of their operations, including export reporting and production activities, and only maintain essential safety and power functions.

From Friday, the strike notice will cover all assets onshore and off shore, joint ventures and offices in every state. A second union, which is not on strike, covers other less-skilled workers.

According to the latest audited results, Seplat Energy will produce 131,506 barrels per day of oil equivalent in 2025. This is equivalent to 7%-9% Nigeria's total liquids output.

The company expects to increase its output to 155,000 boepd. Any sustained disruption to Nigeria's supply outlook is therefore of particular importance.

Nigeria is Africa's biggest?oil-producing country. Higher oil prices, fiscal pressures, and the expansion of the Dangote Refinery have heightened the government's desire to increase crude production and foreign exchange earnings. (Reporting and editing by Alison Williams; Reporting by Isaac Anyaogu)

(source: Reuters)