KOS · Kosmos Energy Ltd.

Kosmos Energy delivered record quarterly production of approximately 74,800 boepd in Q1 2026, a 25% increase from Q1 2025, primarily driven by the full ramp-up at Greater Tortue Ahmeyim (GTA) averaging 2.85 mtpa gross LNG, exceeding nameplate capacity, and new wells at Jubilee field. Ghana production rose to 35,400 boepd net, supported by J74 and J75 wells online and upcoming J76, J77, J50 producers expected to add 20,000 bopd gross. Revenues reached $371 million at $55.81 per boe, while production expenses fell 22% year-over-year to $131 million ($19.66/boe), reflecting cost discipline. Despite a GAAP net loss of $226 million, adjusted net loss was $36 million, impacted by certain non-recurring items. CEO Andrew G. Inglis highlighted achievement of 2026 goals: production growth, cost reduction, debt paydown, and portfolio advancement. Financially, the company raised $350 million in senior secured bonds to repurchase 2027 notes and repay RBL, plus $200 million equity for debt acceleration, exiting Q1 with $2.8 billion net debt (down 7% from year-end 2025) and $488 million liquidity. RBL borrowing base set at $1.25 billion, to reduce to $1.2 billion post-Equatorial Guinea asset sale. Full-year capex guidance unchanged at $350 million. Operationally, GTA Phase 1+ expansion advances with domestic gas sales heads of terms expected in 2026; Tiberius FID taken targeting first oil H2 2028; strategic alliance with Shell for Norphlet exploration. Kosmos raised its full-year net debt reduction target to ~20%, directing excess free cash flow to balance sheet strengthening amid higher oil prices and hedges (5.7 mmbbl 2026 at $66/bbl floor). The Equatorial Guinea divestiture for up to $220 million, TEN FPSO acquisition, and license extensions to 2040 further enhance leverage and cost profile.