Kosmos is led by a seasoned management and technical team with extensive experience implementing exploration and production projects and with a successful track record working together. The team led Triton Energy Ltd’s (“Triton”) exploration and production success, prior to its sale to Hess Corp in 2001.

The Company is listed in the NYSE and its principal owners are Warburg Pincus (“Warburg”) and Blackstone Capital Partners (“Blackstone”), an affiliate of the Blackstone Group. Warburg and Blackstone are amongst the world’s leading private equity investors.

The total cost of the project is estimated at US$3.8 billion. IFC is proposing to provide a loan of up to US$100 million in the facility. The Company plans to finance the funding requirements through internally generated cash flow, the debt facility and shareholders’ equity.

100.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	100.0
Equity

* These investment figures are indicative

The Ghanaian fields are the primary components of the project. These fields are located in the West Cape Three Points Block and the Deepwater Tano Contract Area south-southeast of the Cote D’Ivoire (Ivory Coast) and Ghana border.

Development impacts include:
(i) generating substantial revenues for the Government;
(ii) stimulating economic activity through creation of demand for local goods and services;
(iii) providing opportunities to develop domestic energy sources such as gas to address the country''s energy needs;
(iv) promoting further foreign direct investments in the country and in the region, particularly in the hydrocarbon sector;
(v) helping expand the universe of lenders active for operators in the West Africa region and therefore play an important market-building role.

IFC’s expected additionality include:

1. Syndication and Facility Increase: Kosmos has indicated that IFC''s participation is important to both successfully syndicate the US$2 billion portion of the facility and to increase the facility to the target of US$3 billion. The US$2 billion has been underwritten by commercial banks with a clear expectation to sell down. IFC''s involvement will provide some additional lenders sufficient comfort to come into the facility or induce existing lenders to make larger commitments to the facility. Kosmos and the underwriting banks identified this need early. Explicit provisions in the legal agreements for the facility specifically provides for IFC to become a part of the facility and for IFC''s policy requirements, including the Performance Standards, to be accommodated without the need for separate lender consent, to share security with IFC, and to create separate parallel financing agreements in the form IFC typically requires.

2. Expand the Universe of Lenders for West Africa: For the US$2 billion portion of the debt facility, Kosmos approached the limited set of global oil & gas banks who are familiar with reserve-based lending and have experience with emerging markets lending, particularly in West Africa. These banks already have significant exposure to few other debt facilities in the region including to other Jubilee partners. Hence the increased financing needs in this transaction and the regional focus of the asset portfolio may need to attract and provide comfort to a set of lenders who are less familiar with both reserve-based lending facilities and with West Africa, where IFC''s technical and regional expertise will provide comfort. Their experience with this financing will help such lenders become comfortable with considering other future transactions in the region.

3. Strategic Relationship for Kosmos: Beyond the immediate financing needs, Kosmos sees their partnership with IFC as of strategic importance for their operations and therefore would like to continue to maintain it. While there is much progress made in Ghana, significant work remains in the sector including the progress with the midstream gas developments. Beyond Ghana, Kosmos is focused in countries with new or immature hydrocarbon sectors. Therefore, Kosmos values maintaining an active partnership with IFC to build stable "financial infrastructure" that is resilient to market conditions as well as to bring visibility to E&S best practices.

4. Strengthen Corporate Environmental and Social Management System: IFC''s previous engagement provided support at the Jubilee project level to ensure that the project meets industry best practices in environmental and social standards. As part of the corporate debt facility, IFC will help Kosmos assess any gaps and strengthen their corporate environmental and social management system to meet international best practices. This will also further support the mobilization process, as many of the lenders are Equator banks, for whom IFC''s participation will assure the Company''s uniformity with our Performance Standards.

IFC previously carried out an appraisal of Kosmos'' operations in Ghana as part of the Company''s participation in the Jubilee Field. IFC has maintained close supervision of the Jubilee project through IFC''s prior investment in Kosmos as well as Tullow, the Jubilee unit operator. The Jubilee project is in full compliance with at-approval requirements of the original investment made in 2009 and Kosmos has completed the required actions that were part of the agreed-upon environmental and social action plan for the earlier IFC investment. The proposed investment’s primary use of funds will be in the Jubilee Field, but the actual investment will be at the corporate level. IFC''s review of the Project will therefore look at the management systems that the Company has in place to manage environment, health, safety and labor risks in its operations and to ensure that future developments, where IFC funds are used, meet the Performance Standards and WBG Environment, Health and Safety Guidelines. The Project has been classified as Category A under IFC’s Policy on Environmental and Social Sustainability because some of the future activities could have significant associated risks that are currently not identified, particularly for the development of any discoveries from ongoing exploration activities. The Environmental Impact Statement, which includes the preliminary Environmental Management Plan, for the Jubilee project has been publicly available since January 2010, and is disclosed on the Kosmos website, among other places.