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DALLAS--(BUSINESS WIRE)--August 04, 2025--

Kosmos Energy Ltd. ("Kosmos" or the "Company") (NYSE/) announced today its financial and operating results for the second quarter of 2025. For the quarter, the Company generated a net loss of $88 million, or $0.18 per diluted share. When adjusted for certain items that impact the comparability of results, the Company generated an adjusted net loss(1) of $93 million, or $0.19 per diluted share for the second quarter of 2025.

SECOND QUARTER 2025 HIGHLIGHTS

• Net Production(2): 63,500 barrels of oil equivalent per day (boepd), with sales of 73,200 boepd
• Revenues: $393 million, or $58.93 per boe (excluding the impact of derivative cash settlements)
• Production expense: $243 million ($28.22 per boe excluding $69.1 million of production expenses associated with the Greater Tortue Ahmeyim (GTA) liquefied natural gas (LNG) project
• Capital expenditures: $86 million, with full year capital expenditure guidance revised down to $350 million (from $400 million)
• Cash flow from operations of $127 million with free cash flow(1) of $45 million
• "Commercial Operations Date" (COD) was successfully achieved on the Gimi floating LNG (FLNG) vessel at GTA, another key milestone for the project
• During the second quarter 3.5 gross LNG cargos were lifted from the GTA project offshore Mauritania and Senegal
• Drilled and completed the first of two planned producer wells at Jubilee in 2025, with 10,000 bopd gross initial production
• Post quarter end, indicative terms agreed for Gulf of America term loan up to $250 million to re-pay 2026 maturities

Commenting on the Company's second quarter 2025 performance, Chairman and Chief Executive Officer Andrew G. Inglis said: "We set out this year with three clear priorities: Increase production, reduce costs and enhance the resilience of the balance sheet. During the period we have continued to make good progress across all three areas. On production, the GTA ramp up has gone well, achieving FLNG "Commercial Operations Date" in the second quarter, and 6.5 gross LNG cargos lifted year-to-date. We are approaching Kosmos' record high production levels with further near-term growth expected as we push GTA towards the FLNG's 2.7 mtpa nameplate capacity and bring on more wells at Jubilee and Winterfell.

On costs, we have lowered our capital budget for the year from $400 million to around $350 million and are working hard to reduce operating costs across the portfolio, namely on GTA through the FPSO re-financing and through exploring lower-cost operating models with our partners. We also remain on track to deliver the targeted $25 million of overhead reduction by year-end.

On the balance sheet, we are enhancing resilience through increasing liquidity and additional hedges for 2026 with further progress expected as we pursue additional initiatives through the second half of the year. With production rising, costs falling and balance sheet resilience improving, we look forward to delivering long-term value for our shareholders through the second half of the year and beyond."

FINANCIAL UPDATE

Net capital expenditure for the second quarter of 2025 was $86 million, below guidance primarily due to lower spend in Mauritania and Senegal and in the Gulf of America. In line with the Company's focus on reducing costs, full year capital expenditure is now expected to be around $350 million (from $400 million previously). We also remain on track to deliver the targeted $25 million overhead reduction by year-end.

Operating costs per barrel of oil equivalent in the second quarter were slightly higher than guidance, reflecting lower production than expected, and were higher quarter-on-quarter due to Kosmos' one scheduled TEN lifting in Ghana for 2025, which occurred in the second quarter.

The Company generated net cash provided by operating activities of approximately $127 million and free cash flow(1) of approximately $45 million.

Kosmos exited the second quarter of 2025 with approximately $2.85 billion of net debt(1) and available liquidity of approximately $400 million.

During the second quarter and into the third quarter, Kosmos continued to take advantage of periods of higher oil prices, adding more hedges as part of our rolling hedging program to provide downside protection against a volatile sector backdrop. The company now has 5 million barrels of remaining 2025 oil production hedged with a floor of approximately $62/barrel and a ceiling of approximately $77/barrel. Kosmos has also commenced hedging next year's oil production with 7 million barrels hedged for 2026 so far with a floor of approximately $66/barrel and a ceiling of approximately $75/barrel, targeting around 50% of 2026 oil production to be hedged by year-end.

The Company successfully amended the debt cover ratio calculation for the Reserve-Based Lending (RBL) Facility, to increase the ratio for the next two scheduled financial test dates, reflecting the impact of start-up timing of the GTA project on the leverage calculation. The debt cover ratio will return to the originally agreed upon level of 3.5x for testing dates thereafter, when full year revenues from the GTA project are aligned with operating expenses.

In early August, Kosmos agreed to indicative terms for a senior secured term loan facility ("Term Facility") with an investment grade counterparty for up to $250 million, to be used for general corporate purposes, including the repayment of the Company's outstanding 2026 unsecured notes. The Term Facility is expected to be secured against Kosmos' assets in the Gulf of America with a final maturity date four years after closing. Closing is anticipated by the end of the third quarter of 2025, subject to certain conditions including the negotiation and execution of fully-termed definitive loan documentation and certain crude oil marketing and offtake agreements.

OPERATIONAL UPDATE

Production

Total net production(2) in the second quarter of 2025 averaged approximately 63,500 boepd, lower than guidance due to the previously communicated ramp up timing on GTA and lower production at Jubilee. Full year 2025 production guidance for GTA is around 20 gross LNG cargos with production expected to increase towards the FLNG vessel's 2.7 million tonnes per annum (mtpa) nameplate capacity in the fourth quarter. Reflecting the slower GTA ramp up and lower Jubilee production in the second quarter, full year production guidance is now expected to be between 65,000 — 70,000 boepd.

The Company exited the quarter in a net underlift position of approximately 0.3 mmboe.

Mauritania and Senegal

On GTA, the FLNG vessel successfully achieved COD in June, a significant milestone for the project, with production volumes now at a level equivalent to the annual contracted volumes of approximately 2.45 mtpa. With COD achieved, Kosmos has concluded funding a share of GTA's capital expenditure on behalf of the national oil companies of Mauritania and Senegal.

Production in the second quarter averaged approximately 7,100 boepd net. During the quarter 3.5 gross LNG cargos were lifted with an additional 2.5 gross LNG cargos lifted post quarter end.

The partnership continues to target lower operating costs for GTA Phase 1 through startup and commissioning cost reductions, the FPSO re-financing (targeted for completion in the second half of 2025), and also through exploring alternative lower-cost operating models.

With GTA Phase 1 fully operational, we are targeting an increase in production towards the FLNG vessel's 2.7 mtpa nameplate capacity in the fourth quarter. The partnership is also focusing on future expansion phases of the field. Phase 1+, a low-cost brownfield expansion, is expected to double gas throughput by leveraging the existing infrastructure in place. With the subsurface in Phase 1 performing well, we expect future expansion phases to further reduce operating costs/boe.

Ghana

Production in Ghana averaged approximately 29,100 boepd net in the second quarter of 2025. Kosmos lifted 3 cargos from Ghana during the quarter.

At Jubilee (38.6% working interest), oil production in the second quarter averaged approximately 55,300 bopd gross, reflecting nine days of scheduled FPSO shutdown, a period of riser instability, which has since been addressed with riser base gas lift, and underperformance of certain wells in the eastern side of the field, including Jubilee Southeast. Facility uptime was 97% with voidage replacement around 104%.

The Noble Venturer rig successfully drilled and completed the first well of the 2025/26 drilling campaign. This Jubilee main field producer (J-72) encountered more pay than expected and is currently producing around 10,000 bopd gross. The 2025 rig program has been optimized to drill a second producer in the Jubilee main field. As a result the rig will now undergo a period of scheduled maintenance before drilling the second well, which is expected online around the end of the year. Following completion of the second well, the rig is scheduled to drill four additional wells on Jubilee in 2026, targeting well-defined Jubilee main field producers, supported by good adjacent well control, similar to J-72.

As previously communicated, to achieve the full production potential of the Jubilee field, a consistent drilling program is required, informed by the latest seismic technology, alongside high facility uptime and sustained water injection. The narrow-azimuth (NAZ) seismic acquired in the first quarter is now being processed and the fast-track results show a significant uplift in imaging quality. We expect the imaging quality to be further enhanced through the acquisition of ocean bottom node (OBN) seismic, which is planned for later this year. The OBN data is expected to upgrade the velocity model to further improve the NAZ processing. These enhanced seismic products are expected to benefit future drilling campaigns, identifying undrilled lobes, unswept oil, and new opportunities in Jubilee Southeast.

During the second quarter, Kosmos and partners signed a Memorandum of Understanding (MoU) with the Government of Ghana to extend the production licenses to 2040. The partnership anticipates submitting the documentation to the government shortly with formal approval expected later in the year. On completion, Kosmos expects a material uplift in 2P reserves in Ghana.

In the second quarter of 2025, Jubilee gas production net to Kosmos was approximately 5,700 boepd.

At TEN (20.4% working interest), oil production averaged approximately 15,900 bopd gross for the second quarter.

Gulf of America

Production in the Gulf of America averaged approximately 19,600 boepd net (84% oil) during the second quarter, at the upper end of guidance. The Winterfell-4 well was successfully drilled with completion work ongoing and is expected online later in the third quarter of 2025.

On Tiberius, Kosmos (operator, 50% working interest) continues to progress the development plan with our partner Oxy (50% working interest), evaluating opportunities to improve the development through lower capital costs. Final investment decision is targeted for 2026.

On Gettysburg, a discovered resource opportunity acquired in a previous lease sale, Kosmos (25% working interest) has partnered with Shell (operator, 75% working interest), to plan and progress a low-cost, single well tie-back development to Shell's operated-Appomattox facility.

Equatorial Guinea

Production in Equatorial Guinea averaged approximately 22,000 bopd gross and 7,700 bopd net in the second quarter. Kosmos lifted one cargo from Equatorial Guinea during the quarter. Second quarter production was impacted by subsea pump mechanical failures. The operator expects the first replacement pump to be installed in the fourth quarter with production expected to rise thereafter.

 
(1)   A Non-GAAP measure, see attached reconciliation of non-GAAP measure. 
(2)   Production means net entitlement volumes. In Ghana, Equatorial Guinea, 
      and Mauritania and Senegal this means those volumes net to Kosmos' 
      working interest or participating interest and net of royalty or 
      production sharing contract effect. In the Gulf of America, this means 
      those volumes net to Kosmos' working interest and net of royalty. 
 

Conference Call and Webcast Information

Kosmos will host a conference call and webcast to discuss second quarter 2025 financial and operating results today, August 4, 2025, at 10:00 a.m. Central time (11:00 a.m. Eastern time). The live webcast of the event can be accessed on the Investors page of Kosmos' website at http://investors.kosmosenergy.com/investor-events. The dial-in telephone number for the call is +1-877-407-0784. Callers in the United Kingdom should call 0800 756 3429. Callers outside the United States should dial +1-201-689-8560. A replay of the webcast will be available on the Investors page of Kosmos' website for approximately 90 days following the event.

About Kosmos Energy

Kosmos Energy is a leading deepwater exploration and production company focused on meeting the world's growing demand for energy. We have diversified oil and gas production from assets offshore Ghana, Equatorial Guinea, Mauritania, Senegal and the Gulf of America. Additionally, in the proven basins where we operate we are advancing high-quality development opportunities, which have come from our exploration success. Kosmos is listed on the NYSE and LSE 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.

Non-GAAP Financial Measures

EBITDAX, Adjusted net income (loss), Adjusted net income (loss) per share, free cash flow, and net debt are supplemental non-GAAP financial measures used by management and external users of the Company's consolidated financial statements, such as industry analysts, investors, lenders and rating agencies. The Company defines EBITDAX as Net income (loss) plus (i) exploration expense, (ii) depletion, depreciation and amortization expense, (iii) equity based compensation expense, (iv) unrealized (gain) loss on commodity derivatives (realized losses are deducted and realized gains are added back), (v) (gain) loss on sale of oil and gas properties, (vi) interest (income) expense, (vii) income taxes, (viii) debt modifications and extinguishments, (ix) doubtful accounts expense and (x) similar other material items which management believes affect the comparability of operating results. The Company defines Adjusted net income (loss) as Net income (loss) adjusted for certain items that impact the comparability of results. The Company defines free cash flow as net cash provided by operating activities less Oil and gas assets, Other property, and certain other items that may affect the comparability of results and excludes non-recurring activity such as acquisitions, divestitures and National Oil Company ("NOC") financing. NOC financing refers to the amounts funded by Kosmos under the Carry Advance Agreements that the Company has in place with the national oil companies of each of Mauritania and Senegal related to the financing of the respective national oil companies' share of certain development costs at Greater Tortue Ahmeyim. The Company defines net debt as total long-term debt less cash and cash equivalents and total restricted cash.

We believe that EBITDAX, Adjusted net income (loss), Adjusted net income (loss) per share, free cash flow, Net debt and other similar measures are useful to investors because they are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the oil and gas sector and will provide investors with a useful tool for assessing the comparability between periods, among securities analysts, as well as company by company. EBITDAX, Adjusted net income (loss), Adjusted net income (loss) per share, free cash flow, and net debt as presented by us may not be comparable to similarly titled measures of other companies.

This release also contains certain forward-looking non-GAAP financial measures, including free cash flow. Due to the forward-looking nature of the aforementioned non-GAAP financial measures, management cannot reliably or reasonably predict certain of the necessary components of the most directly comparable forward-looking GAAP measures, such as future impairments and future changes in working capital. Accordingly, we are unable to present a quantitative reconciliation of such forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures. Amounts excluded from these non-GAAP measures in future periods could be significant.

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 Kosmos expects, believes or anticipates will or may occur in the future are forward-looking statements. Kosmos' 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 Kosmos 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 Kosmos. 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 Kosmos, 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 Kosmos' Securities and Exchange Commission ("SEC") filings. 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.

 
                       Kosmos Energy Ltd. 
              Consolidated Statements of Operations 
       (In thousands, except per share amounts, unaudited) 
 
                      Three Months Ended      Six Months Ended 
                           June 30,               June 30, 
                     --------------------  ---------------------- 
                       2025       2024        2025        2024 
                     ---------  ---------  ----------  ---------- 
Revenues and other 
income: 
   Oil and gas 
    revenue          $392,635   $450,900   $ 682,770   $870,003 
   Gain on sale of 
    assets                600         --         600         -- 
   Other income, 
    net                   283         36         579         72 
                      -------    -------    --------    ------- 
     Total revenues 
      and other 
      income          393,518    450,936     683,949    870,075 
 
Costs and 
expenses: 
   Oil and gas 
    production        243,118    150,733     410,426    244,351 
   Exploration 
    expenses            4,069     13,235      13,738     25,295 
   General and 
    administrative     19,074     25,161      45,329     53,426 
   Depletion, 
    depreciation 
    and 
    amortization      151,268     90,094     271,935    191,022 
   Interest and 
    other financing 
    costs, net         54,834     37,279     106,676     53,727 
   Derivatives, net   (21,566)    (2,852)    (14,834)    20,970 
   Other expenses, 
    net                 6,481      2,162       8,470      4,191 
                      -------    -------    --------    ------- 
     Total costs 
      and expenses    457,278    315,812     841,740    592,982 
                      -------    -------    --------    ------- 
 
Income (loss) 
 before income 
 taxes                (63,760)   135,124    (157,791)   277,093 
   Income tax 
    expense            23,980     75,354      40,555    125,637 
                      -------    -------    --------    ------- 
Net income (loss)    $(87,740)  $ 59,770   $(198,346)  $151,456 
                      =======    =======    ========    ======= 
 
Net income (loss) 
per share: 
Basic                $  (0.18)  $   0.13   $   (0.42)  $   0.32 
                      =======    =======    ========    ======= 
Diluted              $  (0.18)  $   0.12   $   (0.42)  $   0.32 
                      =======    =======    ========    ======= 
 
 
Weighted average 
number of shares 
used to compute 
net income (loss) 
per share: 
Basic                 478,068    471,599     476,881    469,821 
                      =======    =======    ========    ======= 
Diluted               478,068    480,172     476,881    479,824 
                      =======    =======    ========    ======= 
 
 
                          Kosmos Energy Ltd. 
                Condensed Consolidated Balance Sheets 
                       (In thousands, unaudited) 
 
                                           June 30,     December 31, 
                                             2025           2024 
                                          ----------  ---------------- 
Assets 
Current assets: 
   Cash and cash equivalents              $   51,694   $      84,972 
   Receivables, net                          117,819         164,959 
   Other current assets                      193,867         196,201 
                                           ---------      ---------- 
Total current assets                         363,380         446,132 
 
Property and equipment, net                4,357,812       4,444,221 
Other non-current assets                     491,814         418,635 
                                           ---------      ---------- 
Total assets                              $5,213,006   $   5,308,988 
                                           =========      ========== 
 
Liabilities and stockholders' equity 
Current liabilities: 
   Accounts payable                       $  312,928   $     349,994 
   Accrued liabilities                       240,585         244,954 
   Current maturities of long-term debt      250,000              -- 
   Other current liabilities                   5,770              -- 
                                           ---------      ---------- 
Total current liabilities                    809,283         594,948 
 
Long-term liabilities: 
   Long-term debt, net                     2,600,553       2,744,712 
   Deferred tax liabilities                  314,359         313,433 
   Other non-current liabilities             471,027         455,471 
                                           ---------      ---------- 
Total long-term liabilities                3,385,939       3,513,616 
 
Total stockholders' equity                 1,017,784       1,200,424 
                                           ---------      ---------- 
Total liabilities and stockholders' 
 equity                                   $5,213,006   $   5,308,988 
                                           =========      ========== 
 
 
                            Kosmos Energy Ltd. 
              Condensed Consolidated Statements of Cash Flow 
                         (In thousands, unaudited) 
 
                            Three Months Ended        Six Months Ended 
                                 June 30,                 June 30, 
                          ----------------------  ------------------------ 
                             2025        2024        2025         2024 
                          ----------  ----------  ----------  ------------ 
Operating activities: 
Net income (loss)         $ (87,740)  $  59,770   $(198,346)  $ 151,456 
Adjustments to 
reconcile net income to 
net cash provided by 
operating activities: 
   Depletion, 
    depreciation and 
    amortization 
    (including deferred 
    financing costs)        153,157      92,350     275,708     195,677 
   Deferred income taxes       (175)     12,515       1,636       5,199 
   Unsuccessful well 
    costs and leasehold 
    impairments              (1,741)      2,219         162       2,685 
   Change in fair value 
    of derivatives          (15,469)     (5,904)     (7,883)     21,106 
   Cash settlements on 
    derivatives, net(1)       5,787      (1,172)      6,281      (7,366) 
   Equity-based 
    compensation              7,346      10,487      15,707      17,815 
   Gain on sale of 
    assets                     (600)         --        (600)         -- 
   Debt modifications 
    and extinguishments          --      22,531          --      22,531 
   Other                     (2,909)     (6,280)     (8,506)    (11,988) 
Changes in assets and 
liabilities: 
   Net changes in 
    working capital          69,512      37,141      42,121      99,105 
                           --------    --------    --------    -------- 
Net cash provided by 
 operating activities       127,168     223,657     126,280     496,220 
 
Investing activities 
Oil and gas assets          (82,521)   (238,171)   (172,766)   (552,993) 
Notes receivable and 
 other investing 
 activities                 (42,743)        (47)    (86,791)     (2,575) 
                           --------    --------    --------    -------- 
Net cash used in 
 investing activities      (125,264)   (238,218)   (259,557)   (555,568) 
 
Financing activities: 
Borrowings under 
 long-term debt             100,000          --     200,000     175,000 
Payments on long-term 
 debt                      (100,000)    (50,000)   (100,000)   (350,000) 
Net proceeds from 
 issuance of senior 
 notes                           --          --          --     390,430 
Purchase of capped call 
 transactions                    --          --          --     (49,800) 
Other financing costs            (1)    (19,234)         (1)    (30,925) 
                           --------    --------    --------    -------- 
Net cash provided by 
 (used in) financing 
 activities                      (1)    (69,234)     99,999     134,705 
                           --------    --------    --------    -------- 
 
Net increase (decrease) 
 in cash, cash 
 equivalents and 
 restricted cash              1,903     (83,795)    (33,278)     75,357 
Cash, cash equivalents 
 and restricted cash at 
 beginning of period         50,096     257,913      85,277      98,761 
                           --------    --------    --------    -------- 
Cash, cash equivalents 
 and restricted cash at 
 end of period            $  51,999   $ 174,118   $  51,999   $ 174,118 
                           ========    ========    ========    ======== 
 
 
___________________________ 
(1)   Cash settlements on commodity hedges were $11.4 million and $(4.5) 
      million for the three months ended June 30, 2025 and 2024, respectively, 
      and $9.7 million and $(7.4) million for the six months ended June 30, 
      2025 and 2024, respectively. 
 
 
                            Kosmos Energy Ltd. 
                                 EBITDAX 
                         (In thousands, unaudited) 
 
                                                                 Twelve 
                                                                 Months 
                  Three Months Ended     Six months ended        Ended 
                 --------------------  ---------------------  ------------ 
                 June 30,   June 30,    June 30,   June 30,     June 30, 
                   2025       2024        2025       2024         2025 
                 ---------  ---------  ----------  ---------  ------------ 
Net income 
 (loss)          $(87,740)  $ 59,770   $(198,346)  $151,456   $(159,951) 
  Exploration 
   expenses         4,069     13,235      13,738     25,295     108,350 
  Depletion, 
   depreciation 
   and 
   amortization   151,268     90,094     271,935    191,022     537,687 
  Equity-based 
   compensation     7,346     10,487      15,707     17,815      35,843 
  Derivatives, 
   net            (21,566)    (2,852)    (14,834)    20,970     (23,705) 
  Cash 
   settlements 
   on commodity 
   derivatives     11,414     (4,489)      9,664     (7,423)      4,600 
  Other 
   expenses, 
   net(1)           6,481      2,162       8,470      4,191      21,982 
  Gain on sale 
   of assets         (600)        --        (600)        --        (600) 
  Interest and 
   other 
   financing 
   costs, net      54,834     37,279     106,676     53,727     141,547 
  Income tax 
   expense         23,980     75,354      40,555    125,637      74,879 
                  -------    -------    --------    -------    -------- 
EBITDAX          $149,486   $281,040   $ 252,965   $582,690   $ 740,632 
 
___________________________ 
 

The following table presents our net debt as of June 30, 2025 and December 31, 2024:

 
                                 June 30,    December 31, 
                                ----------  -------------- 
                                   2025          2024 
                                ----------  -------------- 
   Total long-term debt         $2,900,274   $   2,800,274 
   Cash and cash equivalents        51,694          84,972 
   Total restricted cash               305             305 
                                 ---------      ---------- 
Net debt                        $2,848,275   $   2,714,997 
                                 =========      ========== 
 
 
                        Kosmos Energy Ltd. 
                    Adjusted Net Income (Loss) 
        (In thousands, except per share amounts, unaudited) 
 
                      Three Months Ended      Six Months Ended 
                           June 30,               June 30, 
                     --------------------  ----------------------- 
                       2025       2024        2025        2024 
                     ---------  ---------  ----------  ----------- 
Net income (loss)    $(87,740)  $ 59,770   $(198,346)  $151,456 
 
   Derivatives, net   (21,566)    (2,852)    (14,834)    20,970 
   Cash settlements 
    on commodity 
    derivatives        11,414     (4,489)      9,664     (7,423) 
   Gain on sale of 
    assets               (600)        --        (600)        -- 
   Other, net(2)        6,364      2,130       8,029      3,927 
   Debt 
    modifications 
    and 
    extinguishments        --     22,531          --     22,531 
                      -------    -------    --------    ------- 
Total selected 
 items before tax      (4,388)    17,320       2,259     40,005 
                      -------    -------    --------    ------- 
 
Income tax 
 (expense) benefit 
 on adjustments(1)       (569)     3,392      (2,034)    (3,917) 
Impact of valuation 
 adjustments and 
 other tax items           --         --          --     (7,963) 
                      -------    -------    --------    ------- 
Adjusted net income 
 (loss)              $(92,697)    80,482    (198,121)   179,581 
                      =======    =======    ========    ======= 
 
Net income (loss) 
 per diluted share   $  (0.18)  $   0.12   $   (0.42)  $   0.32 
 
  Derivatives, net      (0.05)     (0.01)      (0.03)      0.04 
  Cash settlements 
   on commodity 
   derivatives           0.02      (0.01)       0.02      (0.02) 
  Gain on sale of 
  assets                   --         --          --         -- 
  Other, net(2)          0.02         --        0.02       0.01 
  Debt 
   modifications 
   and 
   extinguishments         --       0.05          --       0.05 
                      -------    -------    --------    ------- 
Total selected 
 items before tax       (0.01)      0.03        0.01       0.08 
                      -------    -------    --------    ------- 
 
Income tax 
 (expense) benefit 
 on adjustments(1)         --       0.02       (0.01)     (0.01) 
Impact of valuation 
 adjustments and 
 other tax items           --         --          --      (0.02) 
                      -------    -------    --------    ------- 
Adjusted net income 
 (loss) per diluted 
 share               $  (0.19)  $   0.17   $   (0.42)  $   0.37 
                      =======    =======    ========    ======= 
 
Weighted average 
 number of diluted 
 shares               478,068    480,172     476,881    479,824 
 
 
___________________________ 
(1)   Income tax expense is calculated at the statutory rate in which such 
      item(s) reside. Statutory rates for the U.S., Equatorial Guinea and 
      Ghana are 21%, 25% and 35%, respectively. 
 
 
                          Kosmos Energy Ltd. 
                            Free Cash Flow 
                       (In thousands, unaudited) 
 
                         Three Months Ended        Six Months Ended 
                              June 30,                 June 30, 
                        ---------------------  ------------------------ 
                          2025        2024        2025         2024 
                        ---------  ----------  ----------  ------------ 
Reconciliation of free 
cash flow: 
   Net cash provided 
    by operating 
    activities          $127,168   $ 223,657   $ 126,280   $ 496,220 
   Net cash used for 
    oil and gas assets 
    - base business      (68,886)   (120,525)   (109,188)   (275,385) 
                         -------    --------    --------    -------- 
Base business free 
 cash flow                58,282     103,132      17,092     220,835 
   Net cash used for 
    oil and gas assets 
    - 
    Mauritania/Senegal   (13,635)   (117,646)    (63,578)   (277,608) 
                         -------    --------    --------    -------- 
Free cash flow          $ 44,647   $ (14,514)  $ (46,486)  $ (56,773) 
                         =======    ========    ========    ======== 
 
___________________________ 
 
 
                         Kosmos Energy Ltd. 
                         Operational Summary 
     (In thousands, except barrel and per barrel data, unaudited) 
 
                    Three Months Ended          Six Months Ended 
                         June 30,                   June 30, 
                 ------------------------  -------------------------- 
                   2025           2024       2025            2024 
                 --------       ---------  --------       ----------- 
Net Volume Sold 
   Oil (MMBbl)      5.363          5.210      9.023         10.099 
   Gas (MMcf)       7.120          4.101     11.292          8.437 
   NGL (MMBbl)      0.113          0.060      0.204          0.148 
                  -------        -------    -------        ------- 
     Total 
      (MMBoe)       6.663          5.954     11.109         11.653 
                  =======        =======    =======        ======= 
     Total 
      (Mboepd)     73.216         65.423     61.376         64.028 
                  =======        =======    =======        ======= 
 
Revenue 
     Oil sales   $354,518       $435,100   $624,923       $837,217 
     Gas sales     36,049         14,494     53,678         29,632 
     NGL sales      2,068          1,306      4,169          3,154 
                  -------        -------    -------        ------- 
   Total oil 
    and gas 
    revenue       392,635        450,900    682,770        870,003 
   Cash 
    settlements 
    on 
    commodity 
    derivatives    11,414         (4,489)     9,664         (7,423) 
                  -------        -------    -------        ------- 
   Realized 
    revenue      $404,049       $446,411   $692,434       $862,580 
                  =======        =======    =======        ======= 
 
 
Oil and Gas 
 Production 
 Costs           $243,118  (1)  $150,733   $410,426  (1)  $244,351 
 
Sales per 
Bbl/Mcf/Boe 
     Average 
      oil sales 
      price per 
      Bbl        $  66.10       $  83.51   $  69.26       $  82.90 
     Average 
      gas sales 
      price per 
      Mcf            5.06           3.53       4.75           3.51 
     Average 
      NGL sales 
      price per 
      Bbl           18.30          21.77      20.44          21.31 
   Average 
    total sales 
    price per 
    Boe             58.93          75.73      61.46          74.66 
   Cash 
    settlements 
    on 
    commodity 
    derivatives 
    per Boe          1.71          (0.75)      0.87          (0.64) 
   Realized 
    revenue per 
    Boe             60.64          74.98      62.33          74.02 
 
Oil and gas 
 production 
 costs per Boe   $  36.49       $  25.31   $  36.94       $  20.97 
 
 
___________________________ 
(1)   Includes $69.1 million and $127.2 million for the three and six months 
      ended June 30, 2025, respectively, related to the LNG production at the 
      GTA Phase I project in Mauritania and Senegal. First LNG was achieved in 
      February 2025 and the first LNG cargo was successfully completed in 
      April 2025. 
 
Kosmos was underlifted by approximately 0.3 million barrels of oil equivalent 
(mmboe) as of June 30, 2025. 
 
 
                        Kosmos Energy Ltd. 
                         Hedging Summary 
                      As of June 30, 2025(1) 
                            (Unaudited) 
 
                                   Weighted Average Price per Bbl 
                                  -------------------------------- 
 
                 Index     MBbl     Floor(2)     Sold Put  Ceiling 
                --------   -----  -------------  --------  ------- 
2025: 
   Two-way         Dated 
    collars        Brent    4,000    $     60.00        --  $ 74.94 
   Three-way       Dated 
    collars        Brent    1,000          70.00     55.00    85.00 
2026: 
   Two-way 
    collars        Dated 
    1H26           Brent    1,000    $     60.00        --  $ 74.75 
   Three-way 
    collars        Dated 
    FY26           Brent    2,000          60.00     50.00    75.51 
                   Dated 
   Swaps 1H26      Brent    1,000          72.90        --       -- 
                   Dated 
   Swaps FY26      Brent    3,000          70.62        --       -- 
 
 
___________________________ 
(1)   Please see the Company's filed 10-Q for additional disclosure on hedging 
      material. Includes hedging position as of June 30, 2025 and hedges put 
      in place through filing date. 
(2)   "Floor" represents floor price for collars and strike price for 
      purchased puts. 
Note: Excludes 2.0 MMBbls of sold calls with a strike price of $80.00 per Bbl 
and 2.0 MMBbls of sold puts with a strike price of $55.00 in 2026. 
 
 
                                2025 Guidance 
 
                                   3Q 2025               FY 2025 Guidance 
                          -------------------------  ------------------------- 
 
                           65,000 - 71,000 boe per    65,000 - 70,000 boe per 
Production(1,2,3)                    day                        day 
 
Opex(4)                    $18.50 - $20.50 per boe    $22.00 - $24.00 per boe 
 
DD&A                       $22.00 - $24.00 per boe    $22.00 - $24.00 per boe 
 
G&A(66% cash)                  $20 million            $80 - $100 million 
 
Exploration Expense(5)          $10 million             $25 - $45 million 
 
Net Interest Expense(6)         $55 million               $200 million 
 
Tax                         $3.00 - $5.00 per boe      $4.00 - $6.00 per boe 
 
Capital Expenditure          $75 - $100 million            $350 million 
 
 
___________________________ 
Note: Ghana / Equatorial Guinea / Mauritania & Senegal revenue calculated by 
number of cargos. 
(1)   3Q 2025 net cargo forecast -- Ghana: 2 cargos / Equatorial Guinea: 0.7 
      cargo. FY 2025 Ghana: 10 cargos / Equatorial Guinea 2.5-3.0 cargos. 
      Average cargo sizes 950,000 barrels of oil. 
(2)   3Q 2025 gross cargo forecast - Mauritania & Senegal: 6-8 cargos. FY 
      2025: 20 cargos. Average cargo size 170,000 m(3) with Kosmos NRI of 
      24%. 
(3)   Gulf of America Production: 3Q 2025 forecast 15,500-17,000 boe per day. 
      FY 2025: 17,000-20,000 boe per day. Oil/Gas/NGL split for 2025: 
      83%/11%/6%. 
(4)   FY 2025 opex excludes operating costs associated with GTA, which are 
      expected to total approximately $225 - $245 million net ($60 - $70 
      million in 3Q 2025). These values include cost associated with the FPSO 
      lease which total approximately $60 million FY 2025 and $15 million 3Q 
      2025. 
(5)   Excludes leasehold impairments and dry hole costs 
(6)   Includes capitalized interest 
 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250803082205/en/

CONTACT: 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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