- Kosmos Energy reported narrower losses and remained on track to meet its annual production guidance after making a 'strong' start to year, with progress across all business units and first quarter results in line with guidance.

In the first quarter 2019, pre-tax losses narrowed to $61.58m from $74.58m a year earlier, with revenues of $297m on sales of 5.1m barrels of oil equivalent (boe), up from $250m a year earlier.

Total net production volumes during the first quarter of 2019 averaged approximately 59,500 barrels of oil equivalent (boepd) per day, the company said.

The first quarter results included a mark-to-market loss of $77m related to the company's oil derivative contracts. Realized oil and gas revenues, including the impact of the company's hedging program, was $56.73 per barrel in the first quarter of 2019.

At quarter end, the Company was in a net underlift position of approximately 0.8m barrels of oil.

Production expense was $80m, or $15.64 per boe, and capital expenditures were $110m, the company said.

'Kosmos has made a strong start to 2019 with progress across all business units and first quarter results in line with guidance,' said Andrew G. Inglis, chairman and chief executive officer. 'We remain on track to hit our production growth guidance for the year, while at current prices exceeding the 2019 free cash flow that we set out at our capital markets day in February.'

'Our intention to sell down our position in Mauritania and Senegal to around 10% has generated significant industry interest and we have commenced a formal process, with bids expected by the end of summer.'

'On the finance side, we successfully completed a $650 million bond offering during the quarter meaning Kosmos now has no debt maturities until 2022. We also paid our inaugural quarterly dividend in the first quarter.'

At 10:09am: [LON:KOS] Kosmos Energy Ltd share price was -14p at 490.25p

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