Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44 Page 45 Page 46 Page 47 Page 48 Page 49 Page 50NEW CHALLENGES With major gas discoveries offshore Mauritania and Senegal, and an active exploration program underway, we will have to raise our level of performance to meet ever higher expectations. In this regard, the future holds a number of challenges: > Safety – In 2015, we delivered our best safety performance in the history of the company, with no lost time injuries and a total recordable injury rate of 0.95. Nothing is more important and we must stay vigilant. Our objective is to be incident- and injury- free, which requires everyone at Kosmos to maintain a “safety first” mindset. >  Labor Rights – We are aware of concerns regarding labor practices in some regions where we operate, including discrimination and the alleged use of forced labor. Our Business Principles are clear: we will not tolerate discrimination. We recognize fundamental labor rights, including the right to work in safe conditions, and will not permit child, forced, or bonded labor at our operations or among our supply chain. In this regard, we have provided local vendors with human rights, labor rights, and HSES training in several countries to better ensure they adhere to international standards and our Business Principles. In addition, we commissioned an internationally recognized expert on labor rights to assess our workforce and supply chain for key projects so we can address potential issues as our footprint grows. >  Sustainable Development – It is my deeply held belief that hydrocarbon development can be an engine for greater economic opportunity. With our recent discoveries of natural gas offshore Mauritania and Senegal, we face the challenge of making sure development proceeds in a sustainable manner. Our activities have been, and will always be, conducted in a way that is inclusive and for the benefit of local populations. Our work to promote transparency reflects our conviction that resource revenues are more likely to be managed in the best interests of a country and its citizens if payments and receipts are transparent. In all the countries where we operate, we continue to invest in building the capacity and skills needed to support a vibrant petroleum sector capable of creating economic opportunity that is widely shared. Kosmos is ready to tackle these challenges. We will do so in an open and collaborative manner, working with host governments, local communities, business partners, and other stakeholders. By working together, I am confident we can find practical solutions. OUR COMMITMENT IS FIRM When the price of oil and gas plunges and companies feel financial pressure, their commitment to corporate responsibility often suffers. This is a phenomenon I have seen many times in my 35 year career. Some companies see corporate responsibility as “nice to do” rather than an essential part of the business. At Kosmos, we live by our Business Principles, knowing that a true commitment to corporate responsibility cannot change with the vagaries of the industry’s fortunes. We will continue to engage stakeholders early, listen carefully, and create a shared agenda focused on investing in people and their capabilities to deliver economic opportunity and real social benefit. This will be our legacy.  ANDREW (ANDY) G. INGLIS Chairman of the Board and Chief Executive Officer Ouakam is one of the fishing communities in Senegal visited during our pre-drilling environmental and social impact assessment. 3 3