Kosmos Energy has signed an agreement to sell its 40.4% non-operating working interest in the Ceiba Field and Okume Complex production assets offshore Equatorial Guinea to Panoro Energy for $180 million, plus contingent payments of up to $39.5 million, for total consideration of up to $219.5 million.
Under the agreement, Panoro Energy will acquire the Kosmos Energy subsidiary that holds an interest in Block G, where the Ceiba and Okume assets are located. Consideration comprises an upfront cash payment of $180 million, subject to certain adjustments, alongside additional payments tied to defined performance conditions. The contingent element includes $12.5 million linked to production performance at the Ceiba Field and $9 million payable in each of 2027, 2028 and 2029, subject to specified oil price and production thresholds.
The transaction is intended to enhance liquidity through the monetization of non-core assets and to accelerate debt reduction. Kosmos Energy said proceeds will be used to reduce borrowings outstanding under its reserves-based lending credit facility.
The effective date is 1 January 2025, and closing is expected in mid-year 2026. The transaction has received approval from the Government of Equatorial Guinea, with completion remaining subject to customary approval by CEMAC. Over the two-year period after completion, Kosmos Energy expects to realize approximately $100 million in total savings across capital expenditures and general and administrative expenses.
