Kosmos exits Equatorial Guinea with $127mn sale of Ceiba and Okume assets to Panoro

Kosmos Energy (NYSE/ LSE: KOS) has completed the sale of its interests in the Ceiba field and Okume Complex offshore Equatorial Guinea to Panoro Energy ASA (OSE: PEN), raising about $127mn in final cash consideration after closing adjustments.

The deepwater oil and gas company said the transaction closed on June 16. The final amount reflects cash received from the assets during the first half of 2026 up to completion. Kosmos may also receive future contingent payments of up to about $40mn, depending on oil price and production thresholds.

The proceeds will be used to repay borrowings under Kosmos' reserves-based lending credit facility. The sale will also remove an asset retirement obligation liability of about $140mn from the company's balance sheet.

Kosmos chairman and chief executive Andrew G. Inglis said the deal would allow the company to strengthen its balance sheet and focus capital on larger core assets, in Ghana, Mauritania and Senegal.

“We are pleased to have closed this transaction, a win-win for Kosmos and Panoro. For Kosmos, the transaction high grades our portfolio by divesting high unit operating cost production and increases balance sheet resilience, with retained exposure to future upside from the assets,” Inglis said.

“Strategically, it also enables Kosmos to focus our capital and expertise on our world-class assets where we can add the most value for our stakeholders over the long-term,” he added.

Kosmos said production from the Equatorial Guinea assets had averaged around 5,800 barrels per day (bpd) net to the company so far this year. The company will provide updated 2026 guidance when it releases second-quarter results in August.

The transaction marks Kosmos' exit from Equatorial Guinea and further concentrates its portfolio around deepwater assets offshore Ghana, Mauritania, Senegal and the Gulf of America. Kosmos produces from the Jubilee and TEN fields in Ghana and is a partner in the Greater Tortue Ahmeyim LNG project on the maritime border between Mauritania and Senegal.

Panoro, an independent oil and gas company focused on Africa, has been expanding its production base in Equatorial Guinea, Gabon and Tunisia, where it produced approximately 12,000-13,000 barrels of oil equivalent per day (boepd) in 2025.

The Ceiba and Okume assets are mature oil-producing fields in Block G offshore Equatorial Guinea and are expected to strengthen Panoro's regional portfolio. Block G was developed by Triton Energy before ownership passed through Hess and Kosmos. Ceiba came onstream in 2000 and Okume in 2003.

Equatorial Guinea's overall crude production has declined steadily from peaks above 350,000bpd in the mid-2000s to around 60,000-70,000bpd in recent years, according to OPEC and industry estimates, reflecting the maturity of its offshore fields. Authorities are seeking to arrest the decline through redevelopment projects and by attracting fresh investment into existing producing blocks and new exploration acreage.