Kosmos Energy to pour $400m on Jubilee and Tano blocks

The funds are expected to be spent on drilling, development and appraisals of its Deep Water Tano and West Cape Three Point’s blocks.

The company disclosed this in its Initial Public Offering prospectus filed with US Securities and Exchange Commission.

Kosmos also stated in the prospectus that it plans to list on the Ghana Stock Exchange.

The budget for Ghana will be Kosmos’ biggest capital expenditure this year in Africa. The company’s total planned expenditure on its Africa operations is about 500 million dollars.

Of the amount, 15 million dollars will be paid to the Ghana National Petroleum Corporation in settlement of past disputes.

Joy Business sources at the GNPC said the payment is in connection with a data breach that resulted in the confrontation with the government of Ghana over the sale of Kosmos’ shares to ExxonMobil.

Kosmos is planning to raise about 477 million dollars from the sale of 30 million shares after taxes and other expenses.

As part of the plan, the company also intends to apply to list its common shares on the Ghana Stock Exchange shortly after closing its US offering.

Officials at the local bourse have confirmed some preliminary approach has been made but said nothing has been formalized.

Source: Joy Business/Ghana