Shareholder Class Action Filed Against Kosmos Energy Ltd. By The Law Firm of Kessler Topaz Meltzer & Check, LLP

RADNOR, Pa., Aug. 1, 2012 /PRNewswire/ --The following statement was issued today by the law firm of Kessler Topaz Meltzer & Check, LLP:

Notice is hereby given that a class action lawsuit was filed in the United States District Court for the Northern District of Texas on behalf of purchasers of the common stock of Kosmos Energy Ltd. (NYSE:KOS) ("Kosmos" or the "Company"), who purchased or otherwise acquired Kosmos common stock pursuant and/or traceable to the Company's Initial Public Offering (the "IPO" or the "Offering").  If you are a member of this class, you may view a copy of the Complaint or join this class action online at http://www.ktmc.com/cases/kosmos.

Pursuant to a court Order dated July 24, 2012, members of the class may, not later than August 24, 2012, move the Court to serve as lead plaintiff of the class.  A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation.  In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class.  Your ability to share in any recovery is not, however, affected by the decision of whether or not to serve as a lead plaintiff.  Any member of the purported class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.         If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP (Darren J. Check, Esq. or D. Seamus Kaskela, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at [email protected]. 

The Complaint charges Kosmos and certain of its officers and  directors,  and the IPO underwriters, with violations of the Securities Act of 1933.  Kosmos is an independent oil and gas exploration and production company focused on under-explored regions in Africa. Formed in 2003, Kosmos acquired its current exploration licenses and established a new, major oil province in West Africa with the discovery of the Jubilee Field in 2007. On or about May 11, 2011, the Company conducted its IPO.  In connection with the IPO, the Company filed a Registration Statement and Prospectus (collectively referred to hereinafter as the "Offering Materials") with the SEC.

The Complaint alleges that the Offering Materials were materially misleading when issued because, contrary to numerous statements made in the Offering Materials, oil production from the Jubilee Field was not on track to reach its design capacity of 120,000 barrels of oil per day ("bopd") by the third quarter of 2011.  Rather, and again in stark contrast to statements in the Offering Materials, several of the Jubilee oil wells were not producing as expected due to design defects with the oil wells – defects that existed prior to, and at the time of, the Company's IPO.

Investors slowly started to discover the truth about the Jubilee Field's issues beginning on July 5, 2011, less than two months after Kosmos' IPO.  Thereafter, and over the course of several months, additional disclosures by the Company, its partners, and various news sources revealed that several of the Jubilee oil wells were not producing as expected due to design defects with the oil wells. Investors subsequently learned that these design defects would cost Kosmos hundreds of millions of dollars to remediate, and would keep the Jubilee oil wells from producing as expected for several years.  As a result, the price of Kosmos' stock has significantly declined from its IPO price of $18.00 per share to currently trade below $10.00 per share.

Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Kessler Topaz Meltzer & Check, which prosecutes class actions in both state and federal courts throughout the country.  Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world.   For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com.

SOURCE Kessler Topaz Meltzer & Check, LLP