Operations at Seplat Energy Plc have begun to normalise across its assets following the suspension of an indefinite strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), bringing temporary relief to Nigeria’s oil and gas sector after a day of disruption concerns.

The industrial action, which commenced on Friday, was triggered by a breakdown in negotiations between the company and the union over a new 2026 collective bargaining agreement, alongside unresolved issues relating to staff welfare and pay.

PENGASSAN had directed its members to embark on the strike “until further notice,” scaling down critical operations including production reporting and export activities, while maintaining only essential services such as safety and power functions.

The action affected Seplat’s onshore and offshore assets, as well as joint venture operations and offices nationwide, raising concerns about potential disruptions to crude oil output at a time when Nigeria is under pressure to ramp up production and boost foreign exchange earnings.

Seplat Energy, one of Nigeria’s largest independent oil and gas producers, accounts for an estimated 7 to 9 per cent of the country’s total liquids production, with average output of over 130,000 barrels of oil equivalent per day.

Amid fears of prolonged disruption, particularly given rising global oil prices and tightening supply conditions, the suspension of the strike is seen as a critical intervention to stabilise operations.

In a response made to The Guardian, Seplat Energy confirmed that the union had agreed to halt the industrial action following constructive engagements.

“Following sustained and constructive engagement with PENGASSAN and relevant parties, we can confirm that the union has suspended its notice of industrial action to allow negotiations to conclude on outstanding items within an agreed framework.

“We can confirm that operations are re-commencing at our various locations. We appreciate the collaborative efforts of all involved and remain confident of a satisfactory conclusion in line with established processes.” the company stated.

For now, the resumption of operations across Seplat’s facilities offers a reprieve, while both parties continue negotiations aimed at resolving outstanding issues around pay, welfare and working conditions.