DALLAS–(BUSINESS WIRE)–Kosmos Energy (NYSE/LSE: KOS) (“Kosmos” or the “Firm”) in the present day introduced that it has closed the beforehand introduced transaction with B.V. Dordtsche Petroleum Maatschappij (“Shell”), a wholly-owned subsidiary of Royal Dutch Shell PLC (LSE: RDSA), to farm down pursuits in Suriname, Sao Tome & Principe and Namibia for roughly $95 million, plus future contingent funds of as much as $100 million. The switch of pursuits in South Africa is anticipated to happen in 2021.
Andrew G. Inglis, Kosmos Power’s chairman and chief govt officer mentioned: “We’re happy to finish this transaction with Shell on schedule. The proceeds allow Kosmos to strengthen the stability sheet whereas accelerating excessive graded exploration alternatives in confirmed basins. The contingent funds locked into the settlement with Shell guarantee we retain upside from frontier exploration with no additional funding.”
Kosmos has allotted as much as one-third of the preliminary proceeds for 2 high-quality infrastructure-led exploration prospects within the Gulf of Mexico, every providing hub scale potential with a low-cost, lower-carbon growth scheme. The primary take a look at on the Winterfell prospect is at present drilling with outcomes anticipated early subsequent yr. The corporate expects to make use of the rest of the proceeds to cut back borrowings excellent underneath its credit score amenities.
Publish completion of the transaction, Kosmos retains a targeted exploration portfolio with over six billion barrels of gross useful resource potential in confirmed basins in West Africa and the Gulf of Mexico.
About Kosmos Power
Kosmos is a full-cycle deepwater unbiased oil and gasoline exploration and manufacturing firm targeted alongside the Atlantic Margins. Our key belongings embrace manufacturing offshore Ghana, Equatorial Guinea and U.S. Gulf of Mexico, in addition to a world-class gasoline growth offshore Mauritania and Senegal. Kosmos is listed on the New York Inventory Change and London Inventory Change and is traded underneath the ticker image KOS. As an moral and clear firm, Kosmos is dedicated to doing issues the proper method. The Firm’s Enterprise Rules articulate our dedication to transparency, ethics, human rights, security and the atmosphere. Learn extra about this dedication within the Kosmos 2018 Company Duty Report. For added info, go to www.kosmosenergy.com.
This press launch incorporates forward-looking statements inside the that means of Part 27A of the Securities Act of 1933 and Part 21E of the Securities Change Act of 1934. All statements, apart from statements of historic details, included on this press launch that handle actions, occasions or developments that Kosmos expects, believes or anticipates will or could happen sooner or later are forward-looking statements. Kosmos’ estimates and forward-looking statements are primarily based mostly on its present expectations and estimates of future occasions and developments, which have an effect on or could have an effect on its companies and operations. Though Kosmos believes that these estimates and forward-looking statements are based mostly upon affordable assumptions, they’re topic to a number of dangers and uncertainties and are made in mild of data at present accessible to Kosmos. When used on this press launch, the phrases “anticipate,” “imagine,” “intend,” “count on,” “plan,” “will” or different comparable phrases are supposed to determine forward-looking statements. Such statements are topic to numerous assumptions, dangers and uncertainties, a lot of that are past the management of Kosmos, which can trigger precise outcomes to vary materially from these implied or expressed by the forward-looking statements. Additional info on such assumptions, dangers and uncertainties is offered in Kosmos’ Securities and Change Fee (“SEC”) filings. Kosmos undertakes no obligation and doesn’t intend to replace or right these forward-looking statements to mirror occasions or circumstances occurring after the date of this press launch, besides as required by relevant legislation. You’re cautioned to not place undue reliance on these forward-looking statements, which communicate solely as of the date of this press launch. All forward-looking statements are certified of their entirety by this cautionary assertion.