Kosmos Energy, based in Dallas, has announced a significant oil discovery in the U.S. Gulf of Mexico, specifically at the Tiberius exploration well. The well was tested, revealing a four-way structural trap in the outboard Wilcox trend located in Keathley Canyon Block 964. It encountered approximately 250 feet (75 meters) of net oil pay in the primary Wilcox target.

Wireline logging has been completed, and casing is currently being run to the target depth to prepare the well for future oil production. The Tiberius well is situated in approximately 7,500 feet (2,300 meters) of water and was drilled to a total vertical depth of about 25,800 feet (7,800 meters).

Kosmos Energy operates the well and holds a 33.34 percent working interest, with Occidental Petroleum Corp and Equinor ASA each holding a 33.33 percent working interest.

The company plans to conduct rock and fluid analysis to confirm the production potential of the reservoir and collaborate with partners on subsea development options. The discovery is located roughly six miles southeast of the Occidental-operated Lucius SPAR production facility, enabling a short tie-back in the event of development.

Kosmos Energy Chairman and CEO Andrew Inglis expressed the significance of the Tiberius discovery and its alignment with the company's strategy of exploring low-cost, short-cycle development opportunities. He emphasized the Gulf of Mexico's advantages, such as top-quartile carbon emissions, and its ability to provide lower-carbon U.S. supply to meet growing oil demand.

In the second quarter, Kosmos reported a net income of $23.3 million, down from $117.2 million in the same period the previous year. Total revenues for the quarter were $273.3 million, compared to $629.9 million in 2022.

Kosmos' second-quarter net production averaged around 58,000 barrels of oil equivalent per day, in line with company guidance. The startup of the Jubilee South East development project offshore Ghana significantly increased the company's current production, bringing it to around 25 percent higher than previous levels.

Kosmos is making progress on various key projects, including the Greater Tortue Ahmeyim Phase 1 in Mauritania and Senegal, and Winterfell in the U.S. Gulf of Mexico, with first gas and oil expected in the first quarter of 2024. The company is poised for an exciting period as it begins to benefit from its multi-year investment program. Kosmos is a full-cycle deepwater independent oil and gas exploration and production company with assets in various locations including Ghana, Equatorial Guinea, and the U.S. Gulf of Mexico.