InPlay Oil Corp. ("InPlay" or the "Corporation") (TSX: IPO) (OTCQX: IPOOF) today announced the Toronto Stock Exchange ("TSX") has accepted InPlay's notice of intention to commence a normal course issuer bid (the "NCIB"). Under the NCIB, InPlay may purchase for cancellation, from time to time, as InPlay considers advisable, up to a maximum of 1,559,904 common shares of the Corporation ("Common Shares"), which represents 2.5% of the 62,396,169 issued and outstanding Common Shares as at today's date. Purchases of Common Shares may be made on the open market through the facilities of the TSX and through other alternative Canadian trading platforms at the prevailing market price at the time of such transaction. The actual number of Common Shares that may be purchased for cancellation and the timing of any such purchases will be determined by InPlay, subject to a maximum daily purchase limitation of 16,103 Common Shares, which equates to 25% of InPlay's average daily trading volume of 64,412 for the six months ended May 31, 2017. InPlay may make one block purchase per calendar week which exceeds the daily repurchase restrictions. Any Common Shares that are purchased by InPlay under the NCIB will be cancelled.
InPlay believes that implementing a NCIB is a prudent step in this volatile energy market environment, when at times, the prevailing market price does not reflect the underlying value of its Common Shares. The timely repurchase of our Common Shares for cancellation represents confidence in the long term prospects and sustainability of our business model. Our conservative balance sheet affords us the ability to buy back shares when the market demand falls away. This reduction in share count adds per share value to our shareholders and adds another tool to management's disciplined capital allocation strategy.
The NCIB will commence on June 16, 2017 and will terminate on June 15, 2018 or such earlier time as the NCIB is completed or terminated at the option of InPlay.
InPlay’s operations are focused on our concentrated light oil asset base located in West Central Alberta. Our primary target is the Cardium Formation within the well defined Pembina and Willesden Green pools. The Belly River Formation provides an additional light oil development opportunity while an emerging exploration play in the Duvernay Formation holds potential to add significant value in the future.
Our light oil focus properties provide high netbacks with quick payout on new drills positioning InPlay to deliver per share organic growth for our shareholders. The low decline asset base provides a strong foundation on which to build our Company.
SOURCE: InPlay Oil Corp.
The Toronto Stock Exchange has neither approved nor disapproved the information contained herein.