Obinna Chima writes Heir Energies’ acquisition of Maurel & Prom’s Seplat Energy stake will foster homegrown investment and long-term economic empowerment across Africa
Nigeria’s oil and gas sector remains one of the most important pillars of the national economy, shaping revenue flows, jobs, infrastructure and investor confidence. Despite cycles of volatility, reforms around governance, transparency, local content and gas usage continue to open new avenues for growth.
Nigeria’s vast gas reserves and efforts to monetize them are presenting new opportunities as global markets shift to cleaner fuels. Indigenous businesses are taking on a greater role and demonstrating capacity, resilience and ambition. This transition will help deepen domestic value creation, strengthen sector resilience and keep more economic benefits at home.
Against this backdrop, strategic investments are beginning to redefine the narrative of ownership and value creation in energy in Africa.
Heir Energy’s decision to acquire a 20.07 per cent stake in Maurel & Prom’s Seplat Energy underlines this change and provides a strong boost to Africapitalism.
African Capitalism, advocated by Tony Elumelu, chairman of the United Bank of Africa (UBA) and Heir Holdings, advocates a form of capitalism that prioritizes long-term economic and social value in Africa. This calls for the private sector to play a leading role in the continent’s development, not just for profit but for shared prosperity. In the face of global trade uncertainty, this philosophy offers a ray of hope.
Heir Energies, one of Africa’s leading indigenous integrated energy companies, acquired during this week the 20.07 per cent stake (120.4 million ordinary shares) in Seplat Energy previously held by Maurel & Prom SA for £3.05 per share, for a transaction value of approximately $500 million.
The acquisition, one of a flurry of last-minute deals seen in the twilight of 2025, marks a further milestone in Heir Energies’ long-term strategy to strengthen indigenous participation in strategic assets and accelerate sustainable energy development and security in Nigeria and Africa.
Commenting on the deal, Elumelu, who is also Chairman of Hyers Energies, said: “This acquisition reflects our strong belief that Africa can own, develop and responsibly manage its strategic resources. This is a long-term investment in Nigeria’s and Africa’s energy future, consistent with our mission to promote energy security, industrialization and shared prosperity.”
“Seplat Energy has built a resilient and well-managed platform with an attractive long-term outlook, and we are pleased to support its continued growth and value creation for all stakeholders.”
Heirs Energies Limited is Africa’s leading indigenous-owned integrated energy company, committed to meeting Africa’s unique energy needs in line with global sustainability goals.
With a focus on safe operations, innovation-led growth, environmental responsibility and shared prosperity for all stakeholders, Heir Energy leads the evolving energy landscape and contributes to a more prosperous Africa.
Heirs Energies operates OML 17 in the Niger Delta, producing over 50,000 barrels of oil per day (50 kbopd) and 120 million cubic feet of gas per day (120 mmcfd), with a reserve base of over 1.5 billion barrels of oil (MMBo) and 2.5 trillion cubic feet of gas (Tcf).
Since its debut in 2021, Heir Energy has established itself as the preeminent leader in brownfields, successfully addressing all the challenges facing onshore operations in Nigeria and becoming a key catalyst for the revitalization of safe and reliable onshore operations in the Niger Delta.
The company is also a leading gas producer and supplier in Nigeria’s domestic gas market, providing fuel for over 400 megawatts of electricity generation, powering millions of homes, businesses and factories.
Seplat Energy Plc, on the other hand, is an independent Nigerian energy company primarily focused on oil and gas exploration, production and gas processing in the Niger Delta. The company is listed on both the Nigerian Stock Exchange and the London Stock Exchange and is a key player in Nigeria’s energy transition.
This milestone was supported by Africa’s two leading financial institutions, Afreximbank and Africa Finance Corporation, and further demonstrated Africa’s ability to finance its own transactions.
Heirs Energies last week signed a $750 million loan agreement with Afreximbank. The agreement, signed by Elumelu and Afreximbank President Dr. George Elombi on behalf of their respective entities, propelled the heirs into the next phase of growth.
Elumelu praised the Heir Energy-Afreximbank deal as “a clear demonstration of African capital working for African companies.”
He chronicled Heir Energies’ efforts in the oil and gas business, highlighting the financing barriers the company initially faced, but that Afreximbank helped play a catalytic role in financing.
He acknowledged that “this story cannot be told without mentioning Afreximbank’s support to accelerate growth in collaboration with AFC and other partners.”
The chairman also acknowledged that it is indeed tough to survive in an African company and praised Afreximbank’s unprecedented influence.
Mr. Elumelu said, “No one can develop Africa. The most catalytic and influential financial institution in Africa is Afreximbank. They have grown in capacity and boldness to support African businesses.”
“Private sector leaders, when your financial institutions support you, please meet your minimum obligations to your financial institutions. When you perform, you encourage financial institutions to do more for you and others. This is our belief.”
“Even when there was significant oil theft during our operations, we never missed a payment. There is no private African company without Afreximbank.”
He further elaborated on the acquisition of 17 Oil Mining Lease (OML), noting that the deal suffered long delays during the administration of former President Muhammadu Buhari, in part due to concerns that the assets were too large for private sector ownership.
Elumelu also reaffirmed the role of external financiers on the continent, saying not a single dollar came from UBA to finance OML 17.
“The government at the time refused to approve it because it was considered too big for the private sector, forgetting that Shell itself is a private sector entity,” he said, adding that the delay imposed significant financial costs on the company.
Mr Elombi said the bank’s support for Heir Energy is in line with its broader commitment to strengthening Africa’s energy sector and is essential to economic stability across Africa.
“If we do not support the energy sector, about 23 African countries will face serious problems,” said Afreximbank’s president.
He added that Afreximbank’s ownership in Africa strengthens its resolve to remain a reliable partner in good times and difficult times.
Heir and Chief Financial Officer Samuel Nwanze provided further insight into the deal, saying the funding is aimed at “taking the company to its next phase of growth” by doubling production.
“We are an ambitious group and are always looking for growth opportunities. The main reason we are in the oil and gas business at Heir Energy is to promote energy sufficiency on the African continent,” he added.
“Whenever there is an opportunity to acquire assets that are consistent with that broader vision, we intend to pursue them. That said, Elumelu’s Afrikapitalism concept is not talking about specific acquisitions. It recognizes that the public sector is insufficient to drive Africa’s development and offers an alternative to government-only methods of regulating markets and providing necessary social services.”
It calls for creating a new Africa through resurgent private sector initiatives that address social challenges by building businesses and creating wealth for communities.
Indeed, Africa, as capitalism’s final frontier, offers countless untapped economic opportunities. That is why the African continent needs an endogenous growth model, with an initial base of manufacturing goods for the market and from that base spreading regionally to emerge as an economic powerhouse in its own right through competitive advantage.
One way to do so is to simultaneously invest heavily in job creation strategies and education systems that produce skilled workers to seize the opportunities created by economic expansion.
Africa’s growth profile is driven, among other things, by rapidly expanding consumer markets and the private sector. From Lagos to Nairobi, Accra to Lusaka and other major cities on the continent, with innovations in oil and gas, the mobile payments sector, e-commerce, technology, agriculture and other key sectors on the continent, proponents of Africapitalism strongly believe that with the necessary support, Africa can compete with its peers in global markets and thereby expand regional trade. This will help lift the continent out of its current economic predicament.
Proponents of Africapitalism also argue that the private sector can also contribute to the continent’s development by making long-term investments in key areas that promote social well-being and economic prosperity.
The founder of the Tony Elumelu Foundation strongly believes that entrepreneurship is an important tool to eradicate poverty in Africa. More importantly, for him, entrepreneurship not only keeps the continent’s youth busy and away from social vices, but also creates job opportunities for the continent.
Africa’s development requires massive private global capital to drive investment in infrastructure, create jobs and eradicate poverty, according to the founder and chairman of Hyers Holdings.
Therefore, if Africa wants to create enough wealth to sustain economic growth, it needs to strengthen entrepreneurship on the continent and encourage long-term investments with social impact that can offer superior earning opportunities compared to the short-sighted, rent-seeking type of economic activity that has been Africa’s private sector for decades.
Overall, Heir Energies’ $500 million acquisition of Maurel & Plom’s Seplat Energy stake clearly demonstrates Africapitalism in action and demonstrates the continent’s ability to drive high-impact, locally-led investments. This landmark agreement not only strengthens energy infrastructure but also highlights the potential for African capital to shape sustainable economic growth across the region.
