Kosmos Energy, which is a major partner in Ghana's Jubilee field, the largest oil find in the African country in a decade, said it could raise up to $621 million in its upcoming initial public offering, well above the $500 million the company said it hoped to raise when it announced the offering in a regulatory filing earlier this year.
Kosmos, which is backed by private equity firms Blackstone Group and Warburg Pincus, did not provide a target price for the shares. The company has a 23% percent stake in Jubilee, which is equivalent to 60 million barrels of reserves. Anadarko Petroleum (APC) has invested $3.1 billion in Jubilee. Tullow Oil is the project's primary operator.
About 70,000 barrels per day are currently being pumped from Jubilee, but the companies that are active in the project hope to have that total up to 120,000 by the end of this year. Kosmos owns 31% of Ghana's West Cape Three Points Block and 18% of the Deepwater Tano field, as well as licenses for drilling Cameroon and Morocco, Bloomberg News reported.
Last year, Exxon Mobil (XOM) tried to acquire Kosmos' Ghana assets for $4 billion, but that deal was blocked by Ghana's government. In March, Kosmos rejected an offer from BP (BP), China's Cnooc (CEO) and Ghana National Petroleum for its Jubilee stake.