Kosmos Energy 2013 Annual Report 2013 (with 10K) | Page 32

The Audit Committee provides oversight on the processes utilized in the development of our internal reserve and resource estimates on an annual basis. In addition, our technical services team meets with representatives of our independent reserve engineers to review our assets and discuss methods and assumptions used in preparation of the reserve and resource estimates. Finally, our senior technical/operations management review reserves and resource estimates on an annual basis. License Areas The following table sets forth certain information regarding the developed and undeveloped portions of our license areas as of December 31, 2013 for the countries in which we currently operate. Developed Area (Acres) Gross Net(1) Ghana Jubilee Unit . . . . . . . . . . . West Cape Three Points(2) Deepwater Tano . . . . . . . . Ireland FEL 1/13 . . . . . . . . . . . . . FEL 2/13 . . . . . . . . . . . . . FEL 3/13 . . . . . . . . . . . . . Mauritania Block C8 . . . . . . . . . . . . . Block C12 . . . . . . . . . . . . . Block C13 . . . . . . . . . . . . . Morocco(3) Cap Boujdour . . . . . . . . . . Essaouira . . . . . . . . . . . . . Foum Assaka . . . . . . . . . . Tarhazoute(4) . . . . . . . . . . Suriname Block 42 . . . . . . . . . . . . . . Block 45 . . . . . . . . . . . . . . Total . . . . . . . . . . . . . . . . . . Undeveloped Area (Acres) Gross Net(1) (In thousands) Total Area (Acres) Gross Net(1) ....... ....... ....... 27.1 — — 6.5 — — — 113.1 137.8 — 35.0 24.8 27.1 113.1 137.8 6.5 35.0 24.8 ....... ....... ....... — — — — — — 259.9 189.8 193.2 194.9 161.3 164.2 259.9 189.8 193.2 194.9 161.3 164.2 ....... ....... ....... — — — — — — 2,940.6 1,748.3 1,927.4 2,646.5 1,573.4 1,734.7 2,940.6 1,748.3 1,927.4 2,646.5 1,573.4 1,734.7 . . . . . . . . — — — — — — — — 7,349.1 2,898.7 1,199.7 1,915.9 5,511.8 2,174.1 674.8 1,436.9 7,349.1 2,898.7 1,199.7 1,915.9 5,511.8 2,174.1 674.8 1,436.9 ....... ....... ....... — — 27.1 — — 6.5 1,526.1 1,266.7 23,666.3 763.1 633.3 17,728.8 1,526.1 1,266.7 23,693.4 763.1 633.3 17,735.1 . . . . . . . . . . . . . . . . . . . . (1) Net acreage based on Kosmos’ participating interest, before the exercise of any options or back-in rights. Our net acreage in Ghana may be affected by any redetermination of interests in the Jubilee Unit. See ‘‘Item 1A. Risk Factors—The unit partners’ respective interests in the Jubilee Unit are subject to redetermination and our interests in such unit may decrease as a result.’’ (2) The seven-year exploration phase of the WCTP PA expired on July 21, 2011. The WCTP ‘‘Undeveloped Area’’ reflected in the table above represents acreage within three discovery areas (Teak, Akasa and Mahogany) that were not subject to relinquishment on the expiry of the exploration phase. (3) We have entered into farm-out agreements covering our four license areas in Morocco. The net acres shown do not reflect these farm-outs, as the agreements were not closed as of December 31, 2013. Once these farm-out agreements become effective, our estimated net acres in the Cap Boujdour, Essaouira, Foum Assaka and Tarhazoute license areas is 4,042.0 thousand acres, 869.6 thousand acres, 359.0 thousand acres and 574.8 thousand acres, respectively. (4) In October 2013, Kosmos executed a petroleum agreement with the ONHYM, the national oil company of the Kingdom of Morocco, covering the Tarhazoute Offshore block, to which the Company previously held certain exploration rights under a 2011 reconnaissance contract. Under 25