Much of the world’s attention is streamlined towards Western Canada’s unique geographical advantage for oil and natural gas production. The recent years have seen a substantial increase in production, which could be attributed to the prolific formation of Montney. This unconventional resource abundant across the borders of Alberta and British Columbia, has been a source of keen interest for major market players for decades. But only one managed to tap into the region’s full potential, allowing Canadian gas prices to reach an all-time high – Calima Energy.
Following its strong production performance assets, Calima Energy and Chairman Glenn Whiddon are welcoming a half-year dividend program to reflect the underlying value of their assets more accurately.
How are they doing that? Let’s find out!
What You Need to Know About Calima Energy in 2022
CALIMA ENERGY Limited (CE1 ASX), founded in 2005, is a globally renowned Canadian oil and gas company. It is primarily focused on exploring and developing new projects, which span its 60,000 ACRES of drilling rights. Some of its projects include Montney, Thorsby, and Brooks. Calima Energy’s strategic location allows it to tap into the region’s abundant hydrocarbon reserves for LNG export across domestic and international markets.
According to a RECENT COMPANY ANNOUNCEMENT, come the second half of 2022, Calima Energy, under the visionary leadership of Chairman Glenn Whiddon and other senior board members, will target a dividend payout of AUD 2.5 MILLION. This will reflect a half-yearly yield of 2.5% at the current share price.
The company hopes that subsequent dividend distribution will be shaped by energy prices, capital expenditures, maturity, and performance of the current hedge books, which are expected to commence from the end of this year.
Under the CORPORATIONS ACT 2001, Calima Energy also intends to undertake an on-market buy-back of shares up to 10%. The buy-back will last for a 12-MONTH PERIOD. This buy-back does not require the approval of shareholders. Moreover, it is expected to benefit shareholders by improving cash flow per share and return on equity.
However, the actual number of shares to be purchased will be subject to the market conditions, the company’s share prices, and future capital requirements. In response to this announcement, Calima Energy CEO Jordan Kevol said, “Calima’s strong operating performance in the last quarter has contributed to a strong capital position for the company. I look forward to meeting with shareholders during my trip to Australia.”
This Australian roadshow will cover key venues in Sydney, Brisbane, Perth, and Melbourne. Interested shareholders and brokers could register for these investor briefings with the management HERE.
Calima Energy Financial Highlights
As preparations for new changes continue in full force, funding from original operations remains consistent. As listed on the Australian Stock Exchange, currently, Calima Energy’s share price stands at AUD 0.200, with a market capitalization of AUD 123.01M. The bidding range for share prices lies between AUD 0.195 and AUD 0.200. Since being listed in July 2006, the company has issued 615,084,228 SHARES, with an average share volume of 2,670,553.
