expenditures decline. The company expects to generate significant free cash flow in the current oil price environment, providing greater balance sheet strength that will support growth. Production from the TEN fields started on time and was delivered on budget. The 11 wells in the initial phase of development – five producers, five water injectors, and one gas injector – have been completed. At year-end 2016, production from the TEN fields was approximately 50,000 barrels of oil per day gross. Initial production testing and results from the 11 wells at TEN suggest reserves estimates for both Ntomme and Enyenra are consistent with expectations. Kosmos and its partners made good progress in 2016 toward converting the Jubilee FPSO to a permanently spread-moored facility, following mechanical issues with the turret bearing. The revised operating procedures implemented at Jubilee field have worked effectively and remediation activities are progressing as planned, with the FPSO spread- moored at its current heading in late February 2017. The next phase of the remediation work involves modifications to the turret for long- term spread-moored operations and planning for this work is ongoing among the partnership and the Government of Ghana. With the value of Jubilee field intact and the delivery of TEN, our Ghana asset has successfully reached an important inflection point and is expected to generate free cash flow from operations in the years ahead to enable Kosmos to grow. Safety and Environmental Performance Our active monitoring of safety and environmental compliance in Ghana contributed to strong HSE performance in 2016. There were no Lost Time Incidents (LTIs) for any of our operations in Ghana in 2016. Tullow Oil is the operator of the Jubilee Field and reports on the safety and environmental performance for Jubilee operations. We continued to invest in safety training throughout the year, which helped sustain performance gains achieved in prior years. Gas to Power Kosmos continues to promote the use of natural gas to generate power. The Jubilee Partnership supplied on average approximately 60 million cubic feet of gas each day in 2016 to the Ghana National Gas Company’s onshore processing facility at Atuabo and onward flow to the Aboadze power plant for fuel to generate electricity. Kosmos continues to advocate for a national plan to expand Ghana’s gas infrastructure to meet the country’s domestic power needs in a more cost efficient and sustainable way. ENGAGEMENT AND LISTENING As a long-term partner in Ghana, Kosmos regularly engages with a wide range of stakeholders, including local communities, contractors and suppliers, civil society, media, and academia. We communicate regularly with these stakeholders to understand their concerns about our industry and its impact on the country. We share information that improves mutual understanding of the role of the oil and gas industry. 21 The FPSO John Evans Atta Mills began oil production at the TEN fields in August 2016.