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Kosmos Energy to spend $800 million on exploration

Staff writer |
Oil exploration giant Kosmos Energy is to spend about $500 million of its operations in Ghana. This is more than half of the $800 million the company is planning to spend on exploration activities across the world.

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This announcement is coming at a time when several oil firms are cutting down on their expenditure because of declining crude prices.

According to Kosmos' 2014 financial report, a chunk of the 500 million dollars will go into the development of the country's second biggest oil area after Jubilee Field , that is the Tweneboa-Enyenra-Ntomme (TEN), which is about 50 percent complete to pour its first commercial oil by next year.

Kosmos also says that the Jubilee Field was able to produce about 100 thousand barrels of crude oil a day on the average, adding it was able to pay 129 million dollars in taxes to Government.

The oil firm is projecting that it will be able to produce more gas for the infrastructure project at Atuabo, meaning that the current 154 million standard cubic feet of gas a day currently being produced could be going up soon.

Kosmos, according to the financial report, ended the year with revenue of 855 million dollars. For many the decision by Kosmos to invest heavily in Ghana means the country will not hurt badly during planned suspension oil exploration projects later this year due to the recent decline in prices of crude oil.

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