Kosmos Energy Ltd. · NYSE:KOS
Kosmos Energy — Q3 2022 Earnings Presentation
13 slides from Kosmos Energy's earnings presentation, Nov 7, 2022
Slide 1: 3Q 2022 Results
3Q 2022 Results 7 November 2022 NYSE/LSE: KOS 1
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts, included in this presentation
Slide 3: Our Role In Responding To Global Energy Challenges
Our Role In Responding To Global Energy Challenges Kosmos has the right strategy and portfolio at the right time… Global Energy Affordability Challenges KOSMOS’ • Growing energy supply to meet increasing global demand ROLE • Providing affordable gas to Africa Security • Growing domestic production i
Slide 4: Why Invest In Kosmos?
Why Invest In Kosmos? A differentiated strategy, quality portfolio and proven track record Investment Case for Kosmos Quality and longevity Focus on capital of the reserve base discipline Highly cash Accelerated generative assets de-leveraging Targeting 50% production Highly experienced growth to 20
Slide 5: 3Q22: Continued Execution
3Q22: Continued Execution Delivering on our key strategic priorities Production Growing Value Assets Performing of Oil Portfolio • ~61,000 boepd • Jubilee Southeast Development • In line with guidance • Winterfell Development • Infrastructure-led Exploration Growing Value Financial Position of Gas P
Slide 6: Production Assets Performing
Production Assets Performing 3Q production of ~61,000 boepd – in line with guidance Ghana Equatorial Guinea Gulf of Mexico 3Q net production 3Q net production 3Q net production ~36,900 bopd ~9,300 bopd ~14,700 boepd • Jubilee gross production averaged ~89,000 • Gross production averaged ~30,000 bopd
Slide 7: Growing The Value Of Our Oil Portfolio
Growing The Value Of Our Oil Portfolio High-margin oil projects driving near-term production growth • >50% complete with drilling of first wells commenced in the fourth quarter Jubilee • Initial production expected mid-2023 Southeast • Targeting increase in gross production to ~100,000 bopd • First
Slide 8: Growing The Value Of Our Gas Portfolio
Growing The Value Of Our Gas Portfolio Portfolio of attractive LNG projects driving long-term shareholder value creation Tortue Phase 1 Significant Gas Resource In-Place • All key workstreams progressing: project ~85% complete end-3Q; targeting 1st LNG cargo around end-2023 – Hub Terminal: Largely c
Slide 9: 3Q22: Financial Position Strengthened
3Q22: Financial Position Strengthened Continued financial delivery and debt reduction EBITDAX increasing, Leverage falling 3Q EBITDAX ~$301 million 1500 3.0x 3Q Net Debt ~$2.1 billion 2.5x 1000 LTM EBITDAX ($m) Leverage 3Q Leverage ~1.5x 2.0x 500 3Q FCF ~$32 million 1.5x ($320 million YTD) 0 1.0x 3Q
Slide 10: 3Q22 Financials
3Q22 Financials Significant year-over-year improvement 3Q 2022A 3Q 2021A Net Production ~61,000 boe/day ~49,300 boe/day Realized Price1 ~$80.9/boe ~$47.7/boe Opex ~$13.3/boe ~$16.7/boe DD&A ~$22.7/boe ~$21.6/boe G&A2 $24 million $22 million Exploration Expense3 $8 million $12 million Net Interest $3
Slide 11: Continued Progress Against 2022 Objectives
Continued Progress Against 2022 Objectives ~50% Production Growth Expected 2022-24 Producing Assets 140 Performing Value of Oil Portfolio Growing Tortue Phase 2 Company production (boepd) Tortue Phase 3+ Value of Gas 70 ~50 % BirAllah Portfolio Growing Tortue Yakaar- Phase 1 Teranga Jubilee Financia
Slide 12: Kosmos Energy
KOSM*“*S ENERGY.
Slide 13: Appendix: FY22 Detailed Guidance
Appendix: FY22 Detailed Guidance 4Q 2022 FY 2022 Production1,2 58,000 – 62,000 boe/day 63,000 – 65,000 boe/day Opex $19.00 – $21.00/boe $16.00 – $18.00/boe DD&A $21.00 – $23.00/boe G&A (~65% cash) $25 – 27 million ~$100 million Exploration Expense3 $10 – $15 million ~$50 million Net Interest ~$40 mi