Kosmos Energy Announces $500 Million Equity Funding
Kosmos Energy announced that the company has secured an additional $500 million equity funding program led by Warburg Pincus and Blackstone Capital Partners (an affiliate of The Blackstone Group), two of the world's largest and most highly regarded private equity firms. The equity expands Kosmos' capital base and provides substantial financial resources for ongoing oil and gas exploration, appraisal and development activities in West Africa, including first-phase development of the Jubilee Field, the company's significant oil discovery offshore the Republic of Ghana. Warburg Pincus and Blackstone, as well as the Kosmos management team, previously committed $300 million to the company.
"We are grateful to Warburg Pincus and Blackstone, our funding partners, for their steadfast support. They are providing us with the financial means to aggressively pursue our organic growth strategy and build an exploration and production company of scale in West Africa," said James C. Musselman, Kosmos Chairman and Chief Executive Officer. "We believe that their strategic and financial backing, together with Kosmos' strong technical abilities and operational expertise, positions us well for continued success.
"We are dedicated to producing oil from the Jubilee Field for the government and people of the Republic of Ghana as soon as practicable," Musselman added. "In addition, we are eager to continue the evaluation of our recent Odum discovery and explore for additional potential in Ghana. It is our objective to assist the Ghanaians with the development of their natural resources as efficiently and effectively as possible."
Kosmos expects to be an active driller in Ghana with as many as four rigs under contract. The "Eirik Raude," a dynamically positioned semi-submersible rig, is under a three-year minimum commitment to the Jubilee Field unit operator. The "Blackford Dolphin" and "Aban Abraham" drillships also are under contract to drill offshore Ghana, while the "Songa Saturn" drillship is completing its last well on Kosmos' Ghanaian acreage, the successful Mahogany-2 appraisal well that further validated the size and scope of the Jubilee Field. In addition to pursuing an active exploration, appraisal and development drilling program, Kosmos will conduct a high-resolution 3D seismic survey this summer over the Odum Field, the company's most recent discovery. Kosmos manages an African exploration portfolio that includes large acreage positions in Morocco, Cameroon, Nigeria and Benin, in addition to the company's licenses offshore Ghana.
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