REG - Kosmos Energy Ltd - Yakaar-Teranga Update

Kosmos EnergyAnnouncement

06/11/2023 07:00

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RNS Number : 4084S  Kosmos Energy Limited  06 November 2023

 

KOSMOS ENERGY INCREASES WORKING INTEREST

AND ASSUMES OPERATORSHIP OF YAKAAR-TERANGA

Advances Significant Future Gas / LNG Development Opportunity

 

DALLAS - November 6, 2023 - Kosmos Energy Ltd. ("Kosmos" or the "Company")
(NYSE/LSE: KOS) announced today that it has increased its working interest to
90% and assumed operatorship, subject to customary government approvals, of
the world-scale Yakaar-Teranga gas discoveries offshore Senegal. The increase
in working interest follows BP's exit from the field.

 

Yakaar-Teranga is one of the world's largest gas discoveries in recent years
and holds around 25 trillion cubic feet (Tcf) of advantaged gas in place, with
negligible carbon dioxide content and minimal impurities, reducing the need
for processing ahead of transportation/liquefaction.

 

Kosmos has been working closely with PETROSEN and the Government of Senegal on
an innovative development concept that prioritizes cost-competitive gas to the
rapidly growing domestic market, combined with an offshore liquefied natural
gas (LNG) facility targeting exports into international markets.

 

The currently envisioned development concept is an offshore development
producing approximately 550 million standard cubic feet of gas per day with
domestic gas transported via pipeline to shore and export volumes liquified on
a floating LNG vessel. The concept is now being optimized to best meet the
domestic and international requirements, after which the project will move
into front-end design and engineering (FEED).

 

As concept optimization progresses, our aim is for PETROSEN to participate as
an equal partner in the full value chain with a greater working interest.
Kosmos and PETROSEN plan to evaluate potential partnership strategies with the
objective of creating an aligned partnership possessing the necessary upstream
and midstream expertise, coupled with access to cost effective financing and
exposure to end markets.

 

Kosmos Energy's Chairman and Chief Executive Officer Andrew G. Inglis said:
"Increasing our working interest and assuming operatorship of Yakaar-Teranga
is a major value creation opportunity for Kosmos. Yakaar-Teranga is one of the
crown jewels of Senegal's growing energy sector and this aligned partnership
allows Kosmos and PETROSEN to accelerate the development of a cost-competitive
gas project supporting Senegal's goal of providing universal and reliable
access to low-cost energy. The project is also expected to lower emissions by
displacing heavy fuel oil in the country's energy mix. In addition, the
project is expected to deliver LNG export volumes to global markets, further
establishing Senegal as an important and reliable supplier of energy to the
world. I would like to thank PETROSEN for their support to progress this
opportunity. Kosmos looks forward to delivering a project that is aligned with
the country's strategic development plan, 'Plan Sénégal Emergent,' to drive
social progress and inclusive economic growth in Senegal for many years to
come."

 

PETROSEN's Director General, Upstream, Thierno Seydou Ly said: "We are pleased
to work with Kosmos who has brought a new approach to the development of
Yakaar-Teranga, as well as fresh thinking on how PETROSEN can participate as
an equal partner. Yakaar-Teranga is a strategic project and a key asset for
the government's 'Gas-To-Power' and 'Gas-To-Industry' initiatives, which aim
to provide affordable, abundant, and cleaner energy as part of the country's
'Plan Sénégal Emergent.' With a simplified and aligned partnership, we look
forward to advancing the project, increasing PETROSEN's expertise through
knowledge and skills transfer, and providing economic, social, and
environmental benefits to the people of Senegal."

 

 

About Kosmos Energy

 

Kosmos is a full-cycle deepwater independent oil and gas exploration and
production company focused along the Atlantic Margins. Our key assets include
production offshore Ghana, Equatorial Guinea and the U.S. Gulf of Mexico, as
well as a world-class gas development offshore Mauritania and Senegal. We also
maintain a sustainable proven basin exploration program in Equatorial Guinea,
Ghana and the U.S. Gulf of Mexico. Kosmos is listed on the New York Stock
Exchange and London Stock Exchange and is traded under the ticker symbol KOS.
As an ethical and transparent company, Kosmos is committed to doing things the
right way. The Company's Business Principles articulate our commitment to
transparency, ethics, human rights, safety and the environment. Read more
about this commitment in the Kosmos Sustainability Report. For additional
information, visit www.kosmosenergy.com.

 

Investor Relations

Jamie Buckland

+44 (0) 203 954 2831

jbuckland@kosmosenergy.com

 

 

Media Relations

Thomas Golembeski

+1-214-445-9674

tgolembeski@kosmosenergy.com

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