Birchcliff Energy Ltd. Receives TSX Approval for Renewed Normal Course Issuer Bid
21 November 2023 - 8:00AM
Birchcliff Energy Ltd. (“
Birchcliff” or the
“
Corporation”) (TSX: BIR) is pleased to announce
that the Toronto Stock Exchange (the “
TSX”) has
accepted the Corporation’s notice of intention to make a normal
course issuer bid (the “
NCIB”). The NCIB
effectively renews the Corporation’s existing normal course issuer
bid, which is set to expire on November 24, 2023.
The NCIB allows Birchcliff to purchase up to
13,328,267 common shares (representing 5% of its 266,565,357 common
shares outstanding as at November 14, 2023) over a period of twelve
months commencing on November 27, 2023 and terminating no later
than November 26, 2024. Under the NCIB, common shares may be
purchased in open market transactions on the TSX and/or alternative
Canadian trading systems at the prevailing market price at the time
of such transaction. Subject to exceptions for block purchases, the
total number of common shares that Birchcliff is permitted to
purchase on the TSX during a trading day is subject to a daily
purchase limit of 275,590 common shares, which represents 25% of
the average daily trading volume on the TSX of 1,102,362 common
shares for the six-month period ended October 31, 2023. All common
shares purchased under the NCIB will be cancelled.
Birchcliff believes that at times, the
prevailing market price of its common shares may not reflect the
underlying value of the shares and the Corporation’s business.
Accordingly, depending on the market price of the common shares and
other relevant factors, Birchcliff believes that purchasing its
common shares may represent an attractive opportunity to enhance
Birchcliff’s per share metrics and thereby increase the underlying
value of its common shares to its shareholders. In addition,
Birchcliff may use the NCIB to help offset the number of common
shares it issues throughout the year pursuant to the exercise of
options granted under its stock option plan in order to minimize or
eliminate dilution to shareholders.
The actual number of common shares purchased
pursuant to the NCIB and the timing of such purchases will be
determined by Birchcliff. There cannot be any assurance as to how
many common shares, if any, will ultimately be acquired by the
Corporation.
Under Birchcliff’s existing normal course issuer
bid (the “Existing NCIB”), it obtained the
approval of the TSX to purchase up to 13,295,786 common shares over
the period from November 25, 2022 to November 24, 2023. As at
November 17, 2023, the Corporation has purchased 1,727,868 common
shares under the Existing NCIB at a weighted average price per
share of $8.24 through the facilities of the TSX and alternative
Canadian trading systems.
Forward-Looking Statements
Certain statements contained in this press
release constitute forward-looking statements and forward-looking
information (collectively referred to as “forward-looking
statements”) within the meaning of applicable Canadian
securities laws. All statements and information other than
historical fact may be forward-looking statements. By their nature,
forward-looking statements involve known and unknown risks,
uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such
forward-looking statements. Accordingly, readers are cautioned not
to place undue reliance on such forward-looking statements.
Although Birchcliff believes that the expectations reflected in the
forward-looking statements are reasonable, there can be no
assurance that such expectations will prove to be correct and
Birchcliff makes no representation that actual results achieved
will be the same in whole or in part as those set out in the
forward-looking statements.
In particular, this press release contains
forward-looking statements relating to the NCIB, including
potential purchases under the NCIB and the effects and benefits of
the NCIB. With respect to the forward-looking statements contained
in this press release, assumptions have been made regarding, among
other things: the anticipated benefits of the NCIB; prevailing and
future commodity prices and differentials, exchange rates, interest
rates, inflation rates, royalty rates and tax rates; the state of
the economy, financial markets and the exploration, development and
production business; the political environment; the regulatory
framework; future cash flow, debt and dividend levels; future
operating, transportation, marketing, G&A and other expenses;
Birchcliff’s ability to access capital and obtain financing on
acceptable terms; the timing and amount of capital expenditures and
the sources of funding for capital expenditures and other
activities; the sufficiency of budgeted capital expenditures to
carry out planned operations; the successful and timely
implementation of capital projects; results of operations;
Birchcliff’s ability to continue to develop its assets and obtain
the anticipated benefits therefrom; the performance of existing and
future wells; and the ability to obtain any necessary regulatory
approvals in a timely manner. Birchcliff’s actual results,
performance or achievements could differ materially from those
anticipated in the forward-looking statements as a result of both
known and unknown risks and uncertainties including, but not
limited to: the failure to realize the anticipated benefits of the
NCIB; a failure to execute purchases under the NCIB; the risks
posed by pandemics, epidemics and global conflict and their impacts
on supply and demand and commodity prices; actions taken by OPEC
and other major producers of crude oil and the impact such actions
may have on supply and demand and commodity prices; general
economic, market and business conditions which will, among other
things, impact the demand for and market prices of Birchcliff’s
products and Birchcliff’s access to capital; volatility of crude
oil and natural gas prices; risks associated with increasing costs,
whether due to high inflation rates, supply chain disruptions or
other factors; stock market volatility; an inability to access
sufficient capital from internal and external sources on terms
acceptable to the Corporation; risks associated with Birchcliff’s
credit facilities; operational risks and liabilities inherent in
oil and natural gas operations; uncertainty that development
activities in connection with Birchcliff’s assets will be economic;
geological, technical, drilling, construction and processing
problems; the accuracy of cost estimates and variances in
Birchcliff’s actual costs and economic returns from those
anticipated; and changes to the regulatory framework in the
locations where the Corporation operates.
Readers are cautioned that the foregoing lists
of factors are not exhaustive. Additional information on these and
other risk factors that could affect results of operations,
financial performance or financial results are included in
Birchcliff’s most recent annual information form under the heading
“Risk Factors” and in other reports filed with Canadian securities
regulatory authorities. Management has included the above summary
of assumptions and risks related to forward-looking statements
provided in this press release in order to provide readers with a
more complete perspective on Birchcliff’s future operations and
management’s current expectations relating to Birchcliff’s future
performance. Readers are cautioned that this information may not be
appropriate for other purposes. The forward-looking statements
contained in this press release are expressly qualified by the
foregoing cautionary statements. The forward-looking statements
contained herein are made as of the date of this press release.
Unless required by applicable laws, Birchcliff does not undertake
any obligation to publicly update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise.
About Birchcliff:
Birchcliff is a dividend-paying, intermediate
oil and natural gas company based in Calgary, Alberta with
operations focused on the Montney/Doig Resource Play in Alberta.
Birchcliff’s common shares are listed for trading on the TSX under
the symbol “BIR”.
For further information, please contact: |
Birchcliff Energy Ltd.Suite 1000, 600 – 3rd Avenue
S.W. Calgary, Alberta T2P 0G5Telephone: (403) 261-6401Email:
info@birchcliffenergy.comwww.birchcliffenergy.com |
Jeff Tonken – Chief Executive OfficerChris
Carlsen – President and Chief Operating
OfficerBruno Geremia – Executive Vice President
and Chief Financial Officer |
Birchcliff Energy (TSX:BIR)
Historical Stock Chart
From Nov 2024 to Dec 2024
Birchcliff Energy (TSX:BIR)
Historical Stock Chart
From Dec 2023 to Dec 2024