Kosmos Energy has completed the sale of its non-operated interest in offshore production assets in Equatorial Guinea to Panoro Energy, reducing exposure to higher unit operating cost production and strengthening its balance sheet.
The transaction covers Kosmos Energy’s subsidiary holding a 40.375% interest in Block G, operated by Trident Energy. The block includes the Ceiba field and the Okume Complex production assets.
Under the deal agreed earlier this year, Panoro Energy was to pay $180 million upfront, subject to adjustments. The agreement also includes a $12.5 million contingent payment tied to production performance at Ceiba, plus $9 million payable in each of 2027, 2028, and 2029 if certain oil price and production thresholds are met.
After post-closing adjustments, the final cash consideration at completion was approximately $127 million. Kosmos Energy will use the proceeds to repay borrowings under its reserves-based lending credit facility.
The acquisition increases Panoro Energy’s stake in Block G from 14.25% to 54.625%. The next crude lifting from the block, and the first after completion, is expected to be about 546,000 barrels at the beginning of July.
Panoro Energy Executive Chairman Julien Balkany said the company’s experience in Block G since 2021 supports its confidence in the asset’s quality, cash flow potential, and remaining upside. He said the acquisition fits Panoro Energy’s strategy to expand in Equatorial Guinea, where the company sees further internal and external investment opportunities.
According to Panoro Energy, closing adjustments reflect cash received from the assets in the first half of 2026 through completion on 16 June 2026. Future contingent payments of up to about $40 million remain subject to oil price and production thresholds.
Kosmos Energy Chairman and Chief Executive Officer Andrew G. Inglis said the transaction improves portfolio quality, supports capital discipline, lowers costs, and improves liquidity. He added that the sale allows Kosmos Energy to focus its capital and expertise on assets where it expects to create the most long-term value. He also thanked CEMAC and the government of Equatorial Guinea for timely approvals.
Year-to-date production from the assets has been around 5,800 barrels of oil per day net to Kosmos Energy. The company also expects about $140 million in asset retirement obligation liability to be removed from its balance sheet.
