20th Feb 2026 13:07
(Alliance News) - Kosmos Energy Ltd on Friday said the Parliament in Ghana has ratified licence extensions for the Jubilee and TEN fields through to 2040, as Kosmos reported rising output and began hedging 2027 production.
Shares in Kosmos Energy were up 5.7% at 140.00 pence in London on Friday afternoon for a market capitalisation of USD846.6 million.
The Dallas, Texas-based company is an oil and gas producer in the West African countries of Ghana and Ivory Coast.
Kosmos said the extensions of the West Cape three points and Deepwater Tano petroleum agreements are expected to support up to USD2 billion in incremental investment and increased domestic gas supply for Ghana.
As part of the revised Jubilee development plan, up to 20 additional wells are planned, which Kosmos said is expected to increase 2P reserves at the field. 2P refers to proven and probable reserves.
At Jubilee, the J74 well, which came online in early January, has ramped up to gross daily production of around 13,000 barrels of oil per day. This has lifted average gross Jubilee production to more than 70,000 barrels per day in February so far, in line with company guidance.
The first well in the 2026 five-well drilling campaign, J75, has been drilled and encountered approximately 40 metres of net pay. It is expected to be completed across three zones and brought online by the end of the first quarter.
At the TEN fields, the partnership has signed a sale and purchase agreement to acquire the floating production, storage and offloading vessel for a gross USD205 million, or around USD40 million net to Kosmos, payable on completion at the end of the first quarter of 2027. The deal is expected to reduce operating expenses from 2026 onwards.
In Mauritania and Senegal, phase 1 of the Greater Tortue Ahmeyim LNG project shipped 3.5 gross cargoes in January. Year-to-date production has averaged at a rate of around 2.9 million tonnes per annum equivalent, above the 2.7 mtpa nameplate capacity.
On the financial side, Kosmos completed a USD350 million Norwegian bond in January. Of the proceeds, USD100 million was used to repay borrowings under its reserve-based lending facility, with the remainder earmarked for repurchases of its 2027 senior unsecured notes.
The company has also begun hedging 2027 production, with two million barrels of oil hedged at a floor price of USD60 per barrel.
Chair & Chief Executive Officer Andrew Inglis said: "Parliamentary ratification of the license extensions in Ghana marks an important milestone for the country, and Kosmos is proud to have led the work with the government of Ghana to execute these agreements. Jubilee is a world‑class oil field with significant remaining potential that can be unlocked through continued investment, regular drilling and high facility reliability.
By Eva Castanedo, Alliance News reporter
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