Kosmos Energy tightens costs, ramps up West African output as it refinances debt
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Kosmos Energy ( (KOS) ) has shared an update.
Kosmos Energy reported a fourth-quarter 2025 net loss of $377 million, or $0.79 per diluted share, and an adjusted net loss of $78 million amid higher production and continued ramp-up of the Greater Tortue Ahmeyim LNG project. Net production rose to about 67,900 barrels of oil equivalent per day, while full-year capital expenditure came in at $292 million, roughly 25% below initial guidance, reflecting tight cost control and lower spending in Ghana.
Operationally, the Jubilee field drilling campaign is lifting output, with current gross production above 70,000 barrels per day and five more wells planned to support an expected 15% year-on-year production increase in 2026. GTA reached around 2.7 million tonnes per annum equivalent in December and is running at about 2.9 mtpa so far in 2026, with partners targeting over 50% cuts in operating costs and advancing Phase 1+ to supply domestic gas markets in Senegal and Mauritania.
The company strengthened its balance sheet by refinancing near-term debt, including redeeming 2026 notes, issuing $350 million of new secured bonds, and securing more flexible reserve-based lending covenants to manage GTA start-up costs. Kosmos exited 2025 with about $3.0 billion in net debt, hedged a significant portion of 2026–2027 oil production, and is targeting at least a 10% reduction in debt in 2026, alongside a roughly 20% cut in operating costs.
Year-end 1P reserves stood at roughly 250 million barrels of oil equivalent and 2P reserves at 500 million, supported by Ghanaian approvals extending Jubilee and TEN licenses to 2040 and providing an estimated 10- and 20-year reserve life, respectively. The company is simplifying its portfolio by selling its interest in Equatorial Guinea’s Ceiba and Okume fields for up to $220 million and working with partners to exit the Yakaar-Teranga block, reinforcing a strategic focus on higher-return core assets.
More about Kosmos Energy
Kosmos Energy is an independent oil and gas exploration and production company listed in New York and London, with core operations in offshore West Africa and the Gulf of Mexico. The company focuses on producing and developing oil and liquefied natural gas assets, notably the Jubilee and TEN fields in Ghana and the Greater Tortue Ahmeyim LNG project offshore Mauritania and Senegal.
Learn more about KOS stock on TipRanks’ Stock Analysis page.
