CALGARY, ALBERTA--(Marketwire - Sept. 12, 2012) - Petrobank Energy and Resources Ltd. (PBG.TO) announces that we have renewed our normal course issuer bid (the "NCIB") and have entered into a pre-defined plan (the "Plan") with a designated broker to allow for the repurchase of our common shares ("Shares"). Petrobank completed our prior NCIB purchases in mid-July, having repurchased our full NCIB limit of 7,273,401 Shares at an average cost of $12.09 per Share.
The Toronto Stock Exchange ("TSX") has accepted the Company's notice to make the NCIB to purchase outstanding Shares on the open market, in accordance with the rules of the TSX. As approved by the TSX, Petrobank is authorized to purchase up to 7,784,304 Shares, representing approximately 10% percent of the public float of Petrobank Shares as defined by the policies of the TSX. As of August 31, 2012, there were 99,647,804 Shares outstanding. On any trading day, Petrobank may not purchase more than 113,821 Shares, representing 25% of the average daily trading volume on the TSX over the previous six calendar months.
Petrobank is authorized to make purchases during the period from September 14, 2012 to September 13, 2013, or until such earlier time as the NCIB is completed or terminated at the option of Petrobank. Any Shares purchased by Petrobank under the NCIB will be purchased on the open market through the facilities of the TSX and other registered marketplaces, including ALPHA, OMEGA, PURE, Chi-X and Match Now, at the prevailing market price at the time of the transaction. All Shares acquired under the NCIB will be cancelled.
Petrobank's broker may repurchase Shares under the Plan on any trading day during the NCIB, including during Petrobank's internal trading blackout periods, subject to certain trading parameters set forth in the Plan and to daily and aggregate trading limits pursuant to the rules and policies of the TSX, provided that the broker is not, at such times, in possession of undisclosed material information about the Company. As part of the Plan, the broker has been instructed to automatically sell one PetroBakken Share for each Petrobank Share purchased under the Plan. The Plan has been reviewed by the TSX and will terminate on the earlier of the termination of the Plan by the Company in accordance with its terms, the purchase of the maximum number of Shares under the NCIB or the expiry of the NCIB on September 13, 2013. Petrobank may also repurchase Shares under the NCIB outside the Plan provided we are not within our internal trading blackout periods.