CALGARY, July 4, 2019 /CNW/ – Tourmaline Oil Corp. (TSX – TOU) (“Tourmaline“) is pleased to announce that the Toronto Stock Exchange (the “TSX“) has accepted the notice of Tourmaline’s intention to commence a normal course issuer bid (the “NCIB“).
The NCIB allows Tourmaline to purchase up to 13,602,507 common shares (representing 5% of its 272,050,159 outstanding common shares as of June 30, 2019) over a period of twelve months commencing on July 8, 2019. The NCIB will expire no later than July 7, 2020. Under the NCIB, common shares may be repurchased in open market transactions on the TSX and other alternative trading platforms in Canada and in accordance with the rules of the TSX governing NCIB’s. The total number of common shares Tourmaline is permitted to purchase is subject to a daily purchase limit of 188,533 common shares, representing 25% of the average daily trading volume of 754,134 common shares on the TSX calculated for the six-month period ended June 30, 2019, however, Tourmaline may make one block purchase per calendar week which exceeds the daily repurchase restrictions. Any common shares that are purchased under the NCIB will be cancelled upon their purchase by Tourmaline.
Tourmaline believes that at times, the prevailing share price does not reflect the underlying value of the common shares and the repurchase of its common shares for cancellation represents an attractive opportunity to enhance Tourmaline’s per share metrics and thereby increase the underlying value of its common shares to its shareholders. Tourmaline will use the NCIB as another tool to enhance total long-term shareholder returns and will be used in conjunction with management’s disciplined free funds flow capital allocation strategy.
About Tourmaline Oil Corp.
Tourmaline is a Canadian senior crude oil and natural gas exploration and production company focused on long-term growth through an aggressive exploration, development, production and acquisition program in the Western Canadian Sedimentary Basin.