Jubilee Producing at Record Level
DALLAS--(BUSINESS WIRE)--Dec. 19, 2012--
Kosmos
Energy (NYSE: KOS) today provided an update on the Company’s global
operations and announced record production from the Jubilee field
offshore Ghana.
Ghana
Jubilee field production is currently in excess of 105,000 barrels of
oil per day. Significant production growth has resulted from additional
acid stimulation operations performed on some of the Phase 1 wells, as
well as the startup of the Jubilee Phase 1A development plan. Two
additional acid stimulation operations on Jubilee Phase 1 production
wells have been recently performed, at a gross cost of approximately $8
million per well. In total, seven acid stimulation operations have been
performed in 2012, with all treated wells showing substantial
productivity increases.
The first of five Phase 1A production wells was recently completed and
has commenced production to the Jubilee floating, production, storage
and offloading (FPSO) vessel. A second Phase 1A production well is
expected to be online by the end of January 2013, with the remainder to
be drilled, completed, and commissioned in the first half of 2013. The
Company has a 24 percent participating interest in the Jubilee field.
Darrell McKenna, Chief Operating Officer, stated, “Exiting the year with
Jubilee production at its highest-ever level highlights Kosmos’ and the
entire Jubilee team’s successful execution of our Phase 1 enhancement
program, as well as the drilling and completion of new wells in Phase
1A. We have now produced over 50 million barrels of oil at the field.
The new production capacity demonstrates not only that we have solved
the well productivity issues, but further confirms excellent reservoir
performance. Delivery of our project objectives at this world-class
field positions us extremely well from an operational and financial
standpoint as we exit the year and commence 2013.”
On the Deepwater Tano Block, the TEN (Tweneboa, Enyenra, Ntomme fields)
Plan of Development was submitted to the government for approval in the
fourth quarter of 2012. The TEN development will be Kosmos’ second FPSO
project in Ghana. In addition, the Deepwater Tano companies are
preparing to spud the Sapele-1 exploration prospect, with results
anticipated by the end of February 2013. The Company’s participating
interest in the Deepwater Tano Block is 18 percent.
Cameroon
Final preparations to begin drilling at the Sipo-1 prospect, located on
the Ndian River Block, onshore Cameroon, are underway. The drilling rig
is currently being assembled on location, with plans to initiate
drilling around the end of 2012 and results expected in the first
quarter of 2013. Kosmos operates the Ndian River Block with a 100
percent participating interest.
Suriname
The Company’s joint exploration agreement with Chevron, whereby Kosmos
agreed to assign half of its participating interest in Blocks 42 and 45,
offshore Suriname, was formally approved by Staatsolie Maatschappii
Suriname N.V., the national oil company of Suriname. Following the
approvals, Kosmos retains a 50 percent participating interest and
remains operator of both deepwater blocks during the exploration phase.
Chevron will be development operator of any commercial discoveries. The
Company completed acquisition of a large 3D seismic survey early in the
fourth quarter of 2012, and data processing and interpretation will be
conducted during 2013.
Mauritania
Offshore Mauritania, Kosmos anticipates initiating a large 2D seismic
data acquisition, covering portions of the Company’s deepwater blocks
C8, C12, and C13, in the first half of 2013. A 3D seismic program is
expected to commence later in the year. Kosmos operates Blocks C8, C12,
and C13 with a 90 percent participating interest.
Morocco
Further processing and interpretation of the 3D seismic data covering
the Company’s Essaouira and Foum Assaka blocks is ongoing. Kosmos
operates the Foum Assaka Block with a 56.25 percent participating
interest. In addition, the Company has recently executed an agreement to
acquire an additional 37.5 percent interest in the Essaouira Block,
which will increase the Company’s operated participating interest to 75
percent, subject to final government approvals.
About Kosmos Energy
Kosmos Energy is a leading independent oil and gas exploration and
production company focused on frontier and emerging areas in Africa and
South America. The Company’s asset portfolio includes existing
production, major discoveries and exploration prospects offshore Ghana,
as well as exploration licenses with significant hydrocarbon potential
offshore Mauritania, Morocco and Suriname and onshore Cameroon. Kosmos
is listed on the New York Stock Exchange and is traded under the ticker
symbol KOS. For additional information, visit www.kosmosenergy.com.
Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934. All statements, other than
statements of historical facts, included in this press release that
address activities, events or developments that the Company expects,
believes or anticipates will or may occur in the future are
forward-looking statements. The Company’s estimates and
forward-looking statements are mainly based on its current expectations
and estimates of future events and trends, which affect or may affect
its businesses and operations. Although the Company believes that these
estimates and forward-looking statements are based upon reasonable
assumptions, they are subject to several risks and uncertainties and are
made in light of information currently available to the Company. When
used in this press release, the words “anticipate,” “believe,” “intend,”
“expect,” “plan,” “will” or other similar words are intended to identify
forward-looking statements. Such statements are subject to a number of
assumptions, risks and uncertainties, many of which are beyond the
control of the Company, which may cause actual results to differ
materially from those implied or expressed by the forward-looking
statements. Further information on such assumptions, risks and
uncertainties is available in the Company’s Securities and Exchange
Commission (“SEC”) filings. The Company’s SEC filings are
available on the Company’s website at www.kosmosenergy.com.
Kosmos undertakes no obligation and does not intend to update or
correct these forward-looking statements to reflect events or
circumstances occurring after the date of this press release, except as
required by applicable law. You are cautioned not to place undue
reliance on these forward-looking statements, which speak only as of the
date of this press release. All forward-looking statements are qualified
in their entirety by this cautionary statement.
Source: Kosmos Energy
Kosmos Energy
Investor Relations
Brad Whitmarsh,
+1-214-445-9772
bwhitmarsh@kosmosenergy.com
