Vermilion Energy Inc. Receives Tsx Approval for Normal Course Issuer Bid

Source Company Press Release
Company Vermilion Energy Inc.
Tags Corporate: Overview/Strategy, Country: Canada, United States
Date August 07, 2019

Vermilion Energy Inc. ("Vermilion") (TSX, NYSE: VET) is pleased to announce that the Toronto Stock Exchange ("TSX") has approved the notice of Vermilion's intention to commence a normal course issuer bid ("NCIB").

The NCIB allows Vermilion to purchase up to 7,750,000 common shares (representing approximately 5% of its 155,161,464 outstanding common shares as of July 31, 2019) over a twelve month period commencing on August 9, 2019.  The NCIB will expire no later than August 8, 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 Vermilion is permitted to purchase is subject to a daily purchase limit of 267,558 common shares, representing 25% of the average daily trading volume of 1,070,233 common shares on the TSX calculated for the six-month period ended July 31, 2019; however, Vermilion 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 Vermilion.

Since 2003, Vermilion has had a track record of returning capital to shareholders through our monthly dividend (previously a cash distribution during the trust era).  We also recognize that other forms of returning capital to shareholders, such as share buybacks, may be appropriate to complement our dividend in certain market conditions.  We intend to utilize the NCIB under conditions in which we have excess free cash flow available after dividends, with that excess cash allocated both to debt reduction and buybacks.

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