6:58 am Kosmos Energy beats by $0.02, beats on revs, reaffirms FY16 capex guidance (KOS) :
Reports Q2 (Jun) loss of $0.11 per share, excluding non-recurring items, $0.02 better than the Capital IQ Consensus of ($0.13); revenues rose 37397.7% year/year to $45.68 bln vs the $0.07 bln Capital IQ Consensus.
Kosmos exited the second quarter of 2016 with $1.2 bln of liquidity and $1.06 mln of net debt.
Capex are expected to ramp down in the second half of the year as they paused their drilling program in late May and expect to see a reduction of TEN spending after achieving first production during the third quarter. The forecast for full-year 2016 capital expenditures remains approximately $650 million
"We are at an inflection point in the company's history with production increasing and our capital requirements decreasing. Our Ghana asset continues to be a solid foundation for Kosmos, delivering near-term production and cash flow growth. With the revised operating procedures at Jubilee working as anticipated, the start-up of the Tweneboa, Enyenra and Ntomme project shortly, and our comprehensive hedging and insurance programs, our financial position remains strong. In addition, the quality of our exploration prospectivity continues to improve with the addition of new data following our drilling success over the past year and recently acquired seismic data. As a result, Kosmos is well positioned to deliver value from both our discovered gas resource offshore Mauritania and Senegal, as well as from new high-graded opportunities our team has identified."
