Exhibit 99.1 NEWS RELEASE KOSMOS ENERGY ANNOUNCES FIRST QUARTER 2024 RESULTS DALLAS--(BUSINESS WIRE)—May 7, 2024-- Kosmos Energy Ltd. ("Kosmos" or the "Company") (NYSE/LSE: KOS) announced today its financial and operating results for the first quarter of 2024. For the quarter, the Company generated a net income of $92 million, or $0.19 per diluted share. When adjusted for certain items that impact the comparability of results, the Company generated an adjusted net income of $99 million, or $0.21 per diluted ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-35167 Kosmos Energy Ltd. (Exact name of registrant as specified in its charter) | Delaware 98-0686001 | | --- | | (St ...

Kosmos Energy Ltd. (NYSE:KOS) Q4 2023 Results Conference Call February 26, 2024 11:00 AM ET Company Participants Jamie Buckland - Vice President of Investor Relations Andrew Inglis - Chairman and CEO Neal Shah - CFO Conference Call Participants David Round - Stifel Neil Mehta - Goldman Sachs Matt Smith - Bank of America Charles Meade - Johnson Rice Bob Brackett - Bernstein Research Subash Chandra - Benchmark Company Matt Cooper - Peel Hunt Mark Wilson - Jefferies Operator Good day, everyone. Welcome to Kosm ...

[Financial and Operating Highlights](index=1&type=section&id=Financial%20and%20Operating%20Highlights) Kosmos Energy reported a Q4 2023 net income of $22 million ($0.04/share) and an adjusted net income of $149 million ($0.31/share), driven by a 12% year-over-year increase in Q4 production and significant progress on key development projects expected to boost future production and cash flow Q4 and Full Year 2023 Key Metrics | Metric | Q4 2023 | Full Year 2023 | | :--- | :--- | :--- | | **Net Income** | $22 million | $214 million | | **Adjusted Net Income** | $149 million | $380 million | | **Diluted EPS** | $0.04 | $0.44 | | **Adjusted Diluted EPS** | $0.31 | $0.79 | | **Net Production** | ~66,000 boepd | - | | **Revenues** | $508 million | $1.7 billion | | **Capital Expenditures** | $281 million | - | - The company is advancing key development projects, including the start-up of Jubilee Southeast, with upcoming production from Winterfell (Gulf of Mexico) and first gas at Greater Tortue Ahmeyim, aiming to deliver around **50% production growth** from H2 2022 levels[3](index=3&type=chunk) - Portfolio strength was enhanced by a significant oil discovery at Tiberius in the Gulf of Mexico and by assuming operatorship and a larger working interest at the Yakaar-Teranga gas project in Senegal[5](index=5&type=chunk) - As of year-end 2023, 1P reserves were **~280 million boe**, representing a **104% replacement rate ratio**, primarily due to increased reserves at Jubilee[4](index=4&type=chunk)[9](index=9&type=chunk) [Financial Review](index=2&type=section&id=Financial%20Review) The company ended Q4 2023 with $2.3 billion in net debt and $0.7 billion in available liquidity, reporting a full-year 2023 net income of $213.5 million, a decrease from 2022, mainly due to lower oil and gas revenues, with projected 2024 capital expenditures of $700-$750 million [Financial Position and Capital Expenditures](index=2&type=section&id=Financial%20Position%20and%20Capital%20Expenditures) At the end of Q4 2023, Kosmos had total long-term debt of $2.4 billion, net debt of $2.3 billion, and available liquidity of $0.7 billion, with Q4 net capital expenditure at $281 million, and projected 2024 net capital expenditures between $700-$750 million focused on key development projects Debt and Liquidity (End of Q4 2023) | Metric | Amount | | :--- | :--- | | Total Long-Term Debt | ~$2.4 billion | | Net Debt | ~$2.3 billion | | Available Liquidity | ~$0.7 billion | Capital Expenditures | Period | Amount | | :--- | :--- | | Q4 2023 (Actual) | $281 million | | FY 2024 (Guidance) | $700 - $750 million | - The company is seeking to recover up to **$160.0 million** (net share) in damages from the original subsea contractor for the Tortue Phase 1 project due to the contractor's failure to perform its contractual obligations[8](index=8&type=chunk) [Consolidated Financial Statements](index=9&type=section&id=Consolidated%20Financial%20Statements) The consolidated financial statements show a full-year 2023 revenue of $1.70 billion, down from $2.25 billion in 2022, with net income for 2023 at $213.5 million, and total assets increasing to $4.94 billion from $4.58 billion at year-end 2022, while net cash provided by operating activities decreased to $765.2 million Consolidated Statement of Operations (Full Year, Millions USD) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Oil and gas revenue | $1,701.6 | $2,245.4 | | Total revenues | $1,701.5 | $2,299.8 | | Net income | $213.5 | $226.6 | | Diluted EPS | $0.44 | $0.48 | Consolidated Balance Sheet (Year-End, Millions USD) | Metric | Dec 31, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | Total current assets | $422.7 | $468.7 | | Total assets | $4,938.1 | $4,579.9 | | Total current liabilities | $554.8 | $574.3 | | Long-term debt, net | $2,390.9 | $2,195.9 | | Total stockholders' equity | $1,032.3 | $787.8 | Consolidated Statement of Cash Flow (Full Year, Millions USD) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $765.2 | $1,130.5 | | Net cash used in investing activities | $(994.9) | $(703.9) | | Net cash provided by (used in) financing activities | $141.6 | $(414.7) | [Non-GAAP Financial Measures and Reconciliations](index=12&type=section&id=Non-GAAP%20Financial%20Measures%20and%20Reconciliations) For the full year 2023, EBITDAX was $1.24 billion, and adjusted net income was $380 million ($0.79 per diluted share), compared to 2022 figures of $1.45 billion and $475 million ($1.00 per diluted share), respectively, with free cash flow for 2023 being negative $167.4 million, a significant decrease from 2022 due to higher capital expenditures EBITDAX Reconciliation (Full Year, Millions USD) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Net income (loss) | $213.5 | $226.6 | | EBITDAX | $1,238.2 | $1,452.1 | Adjusted Net Income Reconciliation (Full Year, Millions USD) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Adjusted net income | $379.9 | $475.2 | | Adjusted net income per diluted share | $0.79 | $1.00 | Free Cash Flow Reconciliation (Full Year, Millions USD) | Metric | 2023 | 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $765.2 | $1,130.5 | | Free cash flow | $(167.4) | $343.2 | [Reserves Update](index=2&type=section&id=Reserves%20Update) As of year-end 2023, Kosmos reported 1P (proved) reserves of approximately 280 million barrels of oil equivalent (boe), achieving a 104% reserve replacement ratio, mainly due to increased reserves at the Jubilee field, with 2P (proved and probable) reserves at approximately 520 million boe, not yet including recent discoveries Year-End 2023 Reserves | Metric | Value | | :--- | :--- | | 1P Reserves | ~280 million boe | | 1P Reserve Replacement Ratio | 104% | | 1P Reserves-to-Production Ratio | ~12 years | | 2P Reserves | ~520 million boe | | 2P Reserves-to-Production Ratio | >20 years | - The **104% 1P reserve replacement** was primarily driven by increased reserve recognition at the Jubilee field, which more than offset downward revisions at the TEN field[9](index=9&type=chunk)[16](index=16&type=chunk) - Year-end 2P reserves do not yet include any recognition for the Tiberius (U.S. Gulf of Mexico) and Yakaar-Teranga (Senegal) discoveries[9](index=9&type=chunk) [Operational Review](index=4&type=section&id=Operational%20Review) Total net production for Q4 2023 averaged approximately 66,000 boepd, a 12% year-over-year increase, as the company advances key projects in Ghana, the U.S. Gulf of Mexico, and Mauritania & Senegal, despite an impairment charge on the TEN asset and a temporary halt in Equatorial Guinea drilling [Overall Production](index=4&type=section&id=Overall%20Production) Q4 2023 net production averaged approximately 66,000 boepd, up ~12% YoY, with production expected to increase throughout 2024 driven by new wells at Jubilee and the startup of the Winterfell and Tortue LNG projects Q4 2023 Production | Metric | Value | | :--- | :--- | | Net Production | ~66,000 boepd | | YoY Growth | ~12% | - Production is expected to rise through 2024, driven by additional wells at Jubilee and the startup of the Winterfell and Tortue LNG projects[10](index=10&type=chunk) [Ghana](index=4&type=section&id=Ghana) Ghana production averaged 43,300 boepd net in Q4 2023, with Jubilee achieving record water injection levels post-quarter, while a full impairment charge of $222.3 million was recorded for the TEN asset due to a reduced development work scope Ghana Q4 2023 Production | Asset | Production (Gross) | | :--- | :--- | | **Total Net to Kosmos** | **~43,300 boepd** | | Jubilee | ~92,400 bopd | | TEN | ~18,500 bopd | - At Jubilee, water injection is currently at record levels of approximately **285,000 bwpd**, compared to **~150,000 bwpd** in Q4, providing necessary pressure support for elevated production levels[13](index=13&type=chunk) - A **$222.3 million impairment charge** was recorded for the TEN Fields, resulting in a full impairment of the remaining book value and reducing its carrying value to zero[16](index=16&type=chunk) [U.S. Gulf of Mexico](index=5&type=section&id=U.S.%20Gulf%20of%20Mexico) Production in the U.S. Gulf of Mexico averaged 13,900 boepd net in Q4, with the Winterfell development progressing towards first production in early Q2 2024, and a significant discovery at the Tiberius ILX well targeting a phased tie-back development later in 2024 - The Winterfell development is progressing, with first production expected early in the second quarter of 2024[17](index=17&type=chunk) - The Tiberius ILX well discovered approximately **250 feet of net oil pay**, and a sanction decision for a phased tie-back development is targeted for later in 2024[18](index=18&type=chunk)[19](index=19&type=chunk) - The Odd Job subsea pump project, designed to sustain long-term production, was **~90% complete** and is on track to be in service by mid-2024[20](index=20&type=chunk) [Equatorial Guinea](index=5&type=section&id=Equatorial%20Guinea) Production averaged 8,700 boepd net in Q4, but the 2023 drilling campaign was halted in early February 2024 due to the operator terminating the rig contract for safety issues, leading to uncertainty in 2024 production guidance as the partnership seeks an alternative rig Equatorial Guinea Q4 2023 Production | Metric | Production | | :--- | :--- | | Gross | ~24,800 bopd | | Net to Kosmos | ~8,700 bopd | - The 2023 drilling campaign was suspended in early February 2024 after the operator terminated the rig contract due to safety issues, and the partnership is seeking a replacement rig to resume work[22](index=22&type=chunk) [Mauritania & Senegal](index=6&type=section&id=Mauritania%20%26%20Senegal) The Greater Tortue Ahmeyim project is progressing toward first gas in Q3 2024 and first LNG in Q4 2024, with the FPSO arrival being the critical path, while Kosmos assumed operatorship and a 90% working interest in the Yakaar-Teranga gas project, planning to farm down its interest to around 33% in H2 2024 - The Greater Tortue Ahmeyim project expects first gas in Q3 2024 and first LNG in Q4 2024, with the arrival of the FPSO, expected in early Q2, as the critical path item[23](index=23&type=chunk)[26](index=26&type=chunk) - Kosmos assumed operatorship and increased its **90% working interest** in the Yakaar-Teranga project, with plans to farm down its interest to **~33%** in the second half of 2024 while retaining operatorship[24](index=24&type=chunk) Greater Tortue Ahmeyim Project Status | Component | Status | | :--- | :--- | | Drilling | All 4 wells completed | | Hub Terminal | Construction complete | | Subsea | Completion expected end of Q2 2024 | | FLNG | Arrived on location, hookup underway | | FPSO | Expected on site early Q2 2024 for hookup | [2024 Outlook](index=16&type=section&id=2024%20Outlook) For fiscal year 2024, Kosmos guides for production between 71,000 - 77,000 boepd and capital expenditures of $700 - $750 million, having hedged 10 million barrels of its 2024 oil production using various collar structures to manage price volatility [2024 Guidance](index=16&type=section&id=2024%20Guidance) The company forecasts full-year 2024 production to be between 71,000 and 77,000 boepd, with capital expenditures guided at $700-$750 million, and operating expenses expected to be approximately $15-$17 per boe, excluding costs for the Greater Tortue Ahmeyim project 2024 Full Year Guidance | Metric | FY 2024 Guidance | | :--- | :--- | | Production | 71,000 - 77,000 boe per day | | Opex | ~$15 - $17 per boe | | G&A | $100 - $120 million | | Capital Expenditure | $700 - $750 million | [Hedging Summary](index=16&type=section&id=Hedging%20Summary) As of December 31, 2023, Kosmos has hedged 10 million barrels of its 2024 oil production, utilizing a portfolio of three-way and two-way collars on Dated Brent crude with floors ranging from $65 to $70 per barrel and ceilings from $85 to $100 per barrel 2024 Oil Hedging Summary (Dated Brent) | Instrument | Volume (MBbl) | Floor | Ceiling | | :--- | :--- | :--- | :--- | | Three-way collars | 6,000 | $70.00 | $90.00 - $96.25 | | Two-way collars | 4,000 | $65.00 - $70.00 | $85.00 - $100.00 | [Appendix](index=7&type=section&id=Appendix) This section contains standard disclosures, including definitions of non-GAAP measures like EBITDAX and free cash flow used for performance assessment, along with a forward-looking statements disclaimer and general information about the company's operations and commitment to transparency and sustainability [About Kosmos Energy](index=7&type=section&id=About%20Kosmos%20Energy) Kosmos Energy is a full-cycle deepwater independent oil and gas exploration and production company focused along the Atlantic Margins, with key assets including production facilities offshore Ghana, Equatorial Guinea, and the U.S. Gulf of Mexico, and a major gas development offshore Mauritania and Senegal - Kosmos is a full-cycle deepwater independent E&P company focused on the Atlantic Margins[28](index=28&type=chunk) - Key assets include production in Ghana, Equatorial Guinea, U.S. Gulf of Mexico, and a world-class gas development in Mauritania and Senegal[28](index=28&type=chunk) [Non-GAAP Financial Measures Definition](index=7&type=section&id=Non-GAAP%20Financial%20Measures%20Definition) The company defines and utilizes supplemental non-GAAP financial measures, including EBITDAX, Adjusted net income (loss), free cash flow, and net debt, which are employed by management and external users to evaluate performance and assess comparability within the oil and gas sector - The company defines and uses non-GAAP measures such as EBITDAX, Adjusted net income (loss), free cash flow, and net debt[29](index=29&type=chunk) - These measures are considered useful for investors and analysts in the evaluation of companies in the oil and gas sector and for assessing comparability between periods[30](index=30&type=chunk) [Forward-Looking Statements](index=8&type=section&id=Forward-Looking%20Statements) This press release contains forward-looking statements based on current expectations, estimates, and trends, which are subject to various risks and uncertainties beyond the company's control that may cause actual results to differ materially, with no obligation to update these statements except as required by law - The press release includes forward-looking statements that are subject to numerous assumptions, risks, and uncertainties, many of which are beyond the company's control[32](index=32&type=chunk)

PART I. FINANCIAL INFORMATION [Glossary and Select Abbreviations](index=3&type=section&id=Glossary%20and%20Select%20Abbreviations) Defines key industry-specific terms and abbreviations for clarity throughout the report - The report includes a comprehensive glossary defining technical and financial terms relevant to the oil and gas industry, ensuring clarity for readers[12](index=12&type=chunk) [Financial Statements](index=7&type=section&id=Item%201.%20Financial%20Statements) Presents unaudited financial statements showing decreased revenue and net income due to lower oil prices [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) Details the company's financial position, showing growth in total assets, liabilities, and equity Consolidated Balance Sheet Highlights (as of Sep 30, 2023 vs. Dec 31, 2022) | Account | Sep 30, 2023 (in thousands) | Dec 31, 2022 (in thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | $138,742 | $183,405 | | Oil and gas properties, net | $4,174,239 | $3,837,437 | | **Total assets** | **$4,969,401** | **$4,579,988** | | Long-term debt, net | $2,389,197 | $2,195,911 | | **Total liabilities** | **$3,969,732** | **$3,792,140** | | **Total stockholders' equity** | **$999,669** | **$787,848** | [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) Summarizes operational performance, highlighting a year-over-year decline in net income and revenue Statement of Operations Summary (Unaudited) | Metric | Q3 2023 (in thousands) | Q3 2022 (in thousands) | Nine Months 2023 (in thousands) | Nine Months 2022 (in thousands) | | :--- | :--- | :--- | :--- | :--- | | Oil and gas revenue | $526,348 | $456,056 | $1,193,843 | $1,735,439 | | **Net income** | **$85,185** | **$222,254** | **$191,839** | **$340,827** | | Diluted EPS | $0.18 | $0.47 | $0.40 | $0.72 | [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Outlines cash movements, showing a significant decrease in operating cash flow and a net decrease in cash Cash Flow Summary (Nine Months Ended Sep 30) | Activity | 2023 (in thousands) | 2022 (in thousands) | | :--- | :--- | :--- | | Net cash provided by operating activities | $471,394 | $863,236 | | Net cash used in investing activities | ($658,546) | ($474,039) | | Net cash provided by (used in) financing activities | $142,489 | ($332,196) | | **Net increase (decrease) in cash** | **($44,663)** | **$57,001** | [Notes to Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Provides detailed disclosures on accounting policies, debt structure, derivatives, and segment performance - The company is a deepwater independent oil and gas E&P company with key assets and production offshore Ghana, Equatorial Guinea, the U.S. Gulf of Mexico, and gas projects in Mauritania and Senegal[29](index=29&type=chunk) - In September 2023, the company **fully repaid the remaining $137.5 million** of its GoM Term Loan using cash on hand, and the loan was subsequently terminated[65](index=65&type=chunk) Debt Principal Balances (as of Sep 30, 2023) | Debt Instrument | Principal Balance (in thousands) | | :--- | :--- | | Facility | $925,000 | | 7.125% Senior Notes | $650,000 | | 7.750% Senior Notes | $400,000 | | 7.500% Senior Notes | $450,000 | | GoM Term Loan | $0 | | **Total long-term debt** | **$2,425,000** | Segment Revenue and Income (Q3 2023) | Segment | Oil and Gas Revenue (in thousands) | Net Income (Loss) (in thousands) | | :--- | :--- | :--- | | Ghana | $348,366 | $78,076 | | Equatorial Guinea | $75,014 | $16,346 | | U.S. Gulf of Mexico | $102,968 | $27,209 | | Mauritania/Senegal | $0 | $21,563 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=29&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Analyzes financial results, attributing revenue changes to sales volumes and commodity price fluctuations - The company's 2023 capital budget is approximately **$800 million**, allocated to maintenance, development, and exploration projects[153](index=153&type=chunk)[154](index=154&type=chunk)[155](index=155&type=chunk) - An oil discovery was announced at the **Tiberius exploration prospect** in the U.S. Gulf of Mexico, with approximately 75 meters of net oil pay[122](index=122&type=chunk) - The **Jubilee South East project** in Ghana successfully started up in July 2023 with two producer wells online[116](index=116&type=chunk) Sales Volume and Price Comparison | Metric | Q3 2023 | Q3 2022 | Nine Months 2023 | Nine Months 2022 | | :--- | :--- | :--- | :--- | :--- | | Total Sales (MBoe) | 6,727 | 4,685 | 16,344 | 16,877 | | Avg. Sales Price ($/Boe) | $78.24 | $97.34 | $73.04 | $102.83 | [Quantitative and Qualitative Disclosures about Market Risk](index=43&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) Details exposure to commodity price and interest rate risks and the use of derivatives for mitigation - The company actively uses **derivative contracts** (collars, puts, calls) to manage exposure to volatile oil prices[182](index=182&type=chunk) - A hypothetical **10% increase in commodity prices** would decrease future pre-tax earnings by approximately **$44.9 million** due to hedge positions[185](index=185&type=chunk) - A **10% increase in the floating market rate** would add an estimated **$4.9 million** in annual interest expense on its **$925.0 million** of variable-rate debt[186](index=186&type=chunk) [Controls and Procedures](index=44&type=section&id=Item%204.%20Controls%20and%20Procedures) Confirms the effectiveness of disclosure controls and procedures with no material changes to internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of September 30, 2023[188](index=188&type=chunk) - **No material changes** occurred in the company's internal control over financial reporting during the most recent fiscal quarter[189](index=189&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=45&type=section&id=Item%201.%20Legal%20Proceedings) Reports no material changes to legal proceedings from the latest Annual Report - There have been **no material changes** to legal proceedings since the last annual report[190](index=190&type=chunk) [Risk Factors](index=45&type=section&id=Item%201A.%20Risk%20Factors) States no material changes to risk factors since the 2022 Annual Report - There have been **no material changes** to the company's risk factors since the 2022 Form 10-K[191](index=191&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=45&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Reports no unregistered sales of equity securities during the period - None[192](index=192&type=chunk) [Other Information](index=45&type=section&id=Item%205.%20Other%20Information) Indicates no material changes requiring disclosure that were not previously reported - **No material changes** have occurred that have not been previously disclosed[195](index=195&type=chunk) [Exhibits](index=46&type=section&id=Item%206.%20Exhibits) Lists exhibits filed with the report, including key agreements and required certifications - Filed exhibits include the **Amended and Restated Facility Agreement** dated October 19, 2023, and CEO/CFO certifications[200](index=200&type=chunk)

Kosmos Energy Ltd. (NYSE:KOS) Q2 2023 Earnings Conference Call August 7, 2023 11:00 AM ET Corporate Participants Jamie Buckland - Vice President of Investor Relations Andrew Inglis - Chairman and Chief Executive Officer Neal Shah - Chief Financial Officer Conference Call Participants Charles Meade - Johnson Rice James Hosie - Barclays Neil Mehta - Goldman Sachs Subash Chandra - Benchmark Mark Wilson - Jefferies Operator Good day, everyone. Welcome to Kosmos Energy's Second Quarter 2023 Conference Call. As a ...

Potential drilling locations and resource potential estimates have not been risked by the Company. Actual locations drilled and quantities that may be ultimately recovered from the Company's interest may differ substantially from these estimates. There is no commitment by the Company to drill all of the drilling locations that have been attributed these quantities. Factors affecting ultimate recovery include the scope of the Company's ongoing drilling program, which will be directly affected by the availabi ...

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Glossary and Select Abbreviations](index=3&type=section&id=Glossary%20and%20Select%20Abbreviations) This section defines technical, industry-specific, and company-specific terms and abbreviations used throughout the report - The report includes a comprehensive glossary defining key oil and gas industry terminology, financial metrics like **EBITDAX**, and project-specific abbreviations to aid in understanding the document's content[12](index=12&type=chunk)[13](index=13&type=chunk)[14](index=14&type=chunk) [Financial Statements](index=7&type=section&id=Item%201.%20Financial%20Statements) This section presents Kosmos Energy Ltd.'s unaudited interim consolidated financial statements for Q2 and H1 2023, including balance sheets, statements of operations, equity, cash flows, and notes [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) Total assets increased to **$4.81 billion** by June 30, 2023, driven by oil and gas properties, with total liabilities rising to **$3.90 billion** and stockholders' equity to **$903.9 million** Consolidated Balance Sheet Highlights (as of June 30, 2023 vs. Dec 31, 2022) | Balance Sheet Item | June 30, 2023 ($ thousands) | December 31, 2022 ($ thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | 85,729 | 183,405 | | Oil and gas properties, net | 4,073,399 | 3,837,437 | | **Total assets** | **4,807,619** | **4,579,988** | | Long-term debt, net | 2,358,689 | 2,195,911 | | **Total liabilities** | **3,903,715** | **3,792,140** | | **Total stockholders' equity** | **903,904** | **787,848** | [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) Q2 2023 net income decreased to **$23.3 million** from **$117.2 million** in Q2 2022 due to lower revenue, while H1 2023 net income was **$106.7 million** Q2 & H1 2023 vs 2022 Performance | Metric | Q2 2023 | Q2 2022 | H1 2023 | H1 2022 | | :--- | :--- | :--- | :--- | :--- | | Oil and gas revenue ($ thousands) | 273,255 | 620,368 | 667,495 | 1,279,383 | | Net income ($ thousands) | 23,345 | 117,173 | 106,654 | 118,573 | | Diluted EPS ($) | 0.05 | 0.25 | 0.22 | 0.25 | [Consolidated Statements of Stockholders' Equity](index=9&type=section&id=Consolidated%20Statements%20of%20Stockholders%27%20Equity) Stockholders' equity increased to **$903.9 million** by June 30, 2023, primarily due to **$106.7 million** in net income - Stockholders' equity grew to **$903.9 million** by June 30, 2023, up from **$787.8 million** at year-end 2022, mainly due to the net income earned during the first half of the year[23](index=23&type=chunk) [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) H1 2023 net cash from operations decreased to **$222.0 million**, with increased investing activities and a net cash decrease of **$97.7 million** Cash Flow Summary (Six Months Ended June 30) | Cash Flow Activity ($ thousands) | 2023 | 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | 221,963 | 608,186 | | Net cash used in investing activities | (450,162) | (234,727) | | Net cash provided by (used in) financing activities | 130,523 | (324,696) | | **Net (decrease) increase in cash** | **(97,676)** | **48,763** | [Notes to Consolidated Financial Statements](index=11&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail accounting policies, debt facilities totaling **$2.41 billion**, derivative instruments, and segmented financial results across key operating regions Total Long-Term Debt Principal (as of June 30, 2023) | Debt Instrument | Principal Balance ($ thousands) | | :--- | :--- | | Facility | 775,000 | | 7.125% Senior Notes | 650,000 | | 7.750% Senior Notes | 400,000 | | 7.500% Senior Notes | 450,000 | | GoM Term Loan | 137,500 | | **Total** | **2,412,500** | - As of June 30, 2023, the company had outstanding oil derivative contracts (collars) covering **9.5 MMBbl** for the remainder of 2023 and 2024 to hedge against price volatility[71](index=71&type=chunk) Segment Oil & Gas Revenue (Six Months Ended June 30, 2023) | Geographic Segment | Revenue ($ thousands) | | :--- | :--- | | Ghana | 380,100 | | Equatorial Guinea | 104,629 | | U.S. Gulf of Mexico | 182,766 | | Mauritania/Senegal | — | | **Total** | **667,495** | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=29&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 2023 revenue decline, operational updates including Jubilee South East and Greater Tortue Ahmeyim (first gas Q1 2024), a **$700-$750 million** capital budget, and **$705 million** in liquidity - The Greater Tortue Ahmeyim Phase 1 project's first gas is now targeted for the **first quarter of 2024** due to delays in the subsea work scope[122](index=122&type=chunk) - The Jubilee South East project in Ghana successfully started up in **July 2023** with two producer wells online, and three additional wells are expected in H2 2023[114](index=114&type=chunk) - The company estimates a capital expenditure budget of approximately **$700-$750 million** for 2023, allocated to maintenance, development projects (Jubilee South East, Greater Tortue, Winterfell), and infrastructure-led exploration[152](index=152&type=chunk)[153](index=153&type=chunk) Sales Volumes and Average Prices | Metric | Q2 2023 | Q2 2022 | H1 2023 | H1 2022 | | :--- | :--- | :--- | :--- | :--- | | Total Sales (MBoe) | 4,116 | 5,677 | 9,618 | 12,191 | | Average Sales Price ($/Boe) | 66.38 | 109.28 | 69.40 | 104.94 | - Q2 2023 oil and gas revenue decreased by **$347.1 million** compared to Q2 2022, primarily due to the timing of international oil liftings, lower average oil prices, and natural field decline[130](index=130&type=chunk) Liquidity Position (as of June 30, 2023) | Liquidity Source | Amount ($ thousands) | | :--- | :--- | | Availability under the Facility | 370,083 | | Availability under the Corporate Revolver | 250,000 | | Cash and cash equivalents | 85,729 | | **Total Available Liquidity** | **705,812** | [Quantitative and Qualitative Disclosures about Market Risk](index=43&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This section details market risk exposure from commodity price and interest rate fluctuations, with derivative contracts used to mitigate price volatility and significant floating-rate debt - As of June 30, 2023, a hypothetical **10%** increase in commodity futures prices would decrease future pre-tax earnings by approximately **$27.5 million**, while a **10%** decrease would increase earnings by **$36.1 million**, reflecting the impact on the company's hedge portfolio[186](index=186&type=chunk) - The company is exposed to interest rate risk on **$912.5 million** of variable-rate debt. A **10%** increase in the floating market rate would result in an estimated additional **$4.8 million** in annual interest expense[187](index=187&type=chunk) Outstanding Oil Derivative Contracts (as of June 30, 2023) | Term | Type | Volume (MBbl) | Floor Price ($/Bbl) | Ceiling Price ($/Bbl) | | :--- | :--- | :--- | :--- | :--- | | Jul - Dec 2023 | Three-way collars | 3,000 | 71.67 | 107.58 | | Jul - Dec 2023 | Two-way collars | 2,500 | 72.00 | 112.00 | | Jan - Dec 2024 | Three-way collars | 2,000 | 70.00 | 97.50 | | Jan - Jun 2024 | Two-way collars | 2,000 | 65.00 | 85.00 | [Controls and Procedures](index=45&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of June 30, 2023, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of **June 30, 2023**[188](index=188&type=chunk) - No changes occurred during the quarter that materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[189](index=189&type=chunk) [PART II. OTHER INFORMATION](index=45&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=45&type=section&id=Item%201.%20Legal%20Proceedings) There have been no material changes to legal proceedings since the last annual report on Form 10-K - There have been no material changes to legal proceedings since the last annual report[190](index=190&type=chunk) [Risk Factors](index=45&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the company's risk factors since the 2022 Annual Report on Form 10-K - There have been no material changes to the company's risk factors since the 2022 Form 10-K[191](index=191&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=45&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None[192](index=192&type=chunk) [Defaults Upon Senior Securities](index=45&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities - None[193](index=193&type=chunk) [Mine Safety Disclosures](index=45&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[194](index=194&type=chunk) [Other Information](index=45&type=section&id=Item%205.%20Other%20Information) No material changes required to be disclosed under this item that were not previously reported in the annual report - There have been no material changes required to be reported under this Item that have not previously been disclosed[195](index=195&type=chunk)

Financial Data and Key Metrics Changes - The company reported net production of approximately 59,000 barrels of oil equivalent per day, consistent with guidance, with full-year guidance remaining unchanged at 65,000 to 69,000 barrels of oil equivalent per day [10][17][27] - Realized pricing was lower quarter-on-quarter due to lower commodity prices during Q1, offset by lower operating expenses [27][40] Business Line Data and Key Metrics Changes - Jubilee gross oil production averaged around 72,000 barrels per day, down from the previous quarter due to reduced water injection [10][17] - TEN gross oil production averaged just over 20,000 barrels per day, with plans for additional wells to maintain production levels [3] - Equatorial Guinea's gross oil production averaged just over 27,000 barrels per day, with a three-well infill drilling campaign expected to begin in Q4 [4] Market Data and Key Metrics Changes - The company expects production growth primarily from Jubilee, with gross production anticipated to rise over 50% from Q1 to more than 110,000 barrels of oil per day in Q4 [20][21] - The Gulf of Mexico net production was approximately 16,000 barrels of oil equivalent per day, in line with guidance [5] Company Strategy and Development Direction - The company is focused on near-term development projects, including Jubilee Southeast, Tortue Phase 1, and Winterfell, which are expected to collectively increase production by around 50% from now to 2024 [17][18] - The company plans to drill the Tiberius ILX well in the Gulf of Mexico next quarter and is progressing on the second phase of Tortue with partners in Mauritania and Senegal [18][24] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of maintaining production levels and extending the plateau at Jubilee, with a target to keep gross production above 100,000 barrels per day through the end of the decade [21][22] - The company anticipates a free cash flow inflection point in the second half of the year as production increases and capital expenditures decrease [40] Other Important Information - The company has identified over 30 development drilling opportunities at Jubilee, aiming to maintain production levels [21] - Recent transactions in the sector have underscored the value of strategic gas assets, with the company emphasizing its unique portfolio across Mauritania and Senegal [37][38] Q&A Session Summary Question: Update on free cash flow outlook for the year - Management indicated that free cash flow is expected to ramp up in the second half of the year as production increases and capital expenditures decrease [40][70] Question: Insights on Jubilee production guidance - Management confirmed that reaching 110,000 barrels per day by Q4 is consistent with operator guidance, with better knowledge of well performance contributing to confidence [48][49] Question: Update on Tortue Phase 1 and critical path items - Management clarified that the subsea installation is now the critical path to first gas, with good progress being made [55][94] Question: Expectations for Equatorial Guinea infill campaign - Management expects marginal growth from the infill campaign, with significant production increases anticipated from the Akeng Deep well [62] Question: Update on LNG forward selling - Management stated that there are currently no plans for forward selling LNG from Phase 1, with ongoing discussions with various parties [93]

1 First Quarter 2023 Results Forward-Looking Statements This presentation 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 presentation that address activities, events or developments that Kosmos Energy Ltd. ("Kosmos" or the "Company") expects, believes or anticipates will or may occur in the future are forward-looking statemen ...