TORONTO, June 5, 2024
/CNW/ - Geodrill Limited ("Geodrill" or the "Company") (TSX:
GEO), a leading West African based drilling company, announced
today that the Toronto Stock Exchange ("TSX") has accepted its
notice of intention to renew its normal course issuer bid (the "New
NCIB Program") to purchase outstanding ordinary shares of the
Company (the "Ordinary Shares") on the open market in accordance
with the rules of the TSX. Any such purchases will occur from time
to time and in aggregate will be up to 2,346,070 Ordinary
Shares (being approximately 5% of the issued and outstanding
Ordinary Shares of the Company) over a 12-month period commencing
on June 7, 2024 and terminating on
June 6, 2025. The New NCIB Program
was approved by the shareholders of the Company on May 13, 2024. As of June
4, 2024, under the previous notice of intention to conduct
a normal course issuer bid, pursuant to which
Company sought and received approval from the TSX to purchase up to
2,343,820 Ordinary Shares for the period of June 7, 2023 to June 6,
2024, the Company has not repurchased any Ordinary Shares on
the open market. As of June 4,
2024, Geodrill had 47,163,170 Ordinary Shares issued
and outstanding and 16,001,354 Ordinary Shares in the public
float.
Any repurchases under the New NCIB Program will be made in
Canada through the facilities of
the TSX or alternative Canadian trading systems. Geodrill will pay
the prevailing market price at the time of purchase (with a maximum
purchase price of not more than 105% above the 5 day VWAP) or
such other price as may be permitted by the TSX. The actual number
of Ordinary Shares repurchased under the New NCIB Program and the
timing of such repurchases will be at Geodrill's discretion and
shall be subject to the limitations set out in the TSX Company
Manual. Daily purchases on the TSX will be limited to 5,135
Ordinary Shares, representing 25% of 20,540 (the average daily
trading volume on the TSX for the prior six months ending
May 31, 2024), other than block
purchase exceptions. The Ordinary Shares repurchased by Geodrill
will be cancelled.
Management and the Board of Directors of Geodrill believes that
the underlying value of the Company may not be reflected in the
market price of the Ordinary Shares from time to time and that,
accordingly, the purchase of Ordinary Shares will increase the
proportionate interest in the Company of, and be advantageous to,
all remaining shareholders of the Company.
About Geodrill Limited
Geodrill has been successful in establishing a leading market
position in Ghana and Cote d'Ivoire. The
Company also operates in other African jurisdictions including
Egypt, Mali, Senegal
and is expanding its geographic presence in the South America countries of Chile and Peru. With the largest fleet of
multi-purpose rigs, Geodrill provides
a broad selection of
diverse drilling services, including exploration,
delineation, underground and grade control drilling, to meet the
specific needs of its clients.
The Company's client
mix is made up of senior mining,
intermediate and junior exploration
companies. www.geodrill-gh.com.
Forward Looking
Information
This press release may contain "forward-looking information"
which may include, but is not limited to completion of the New NCIB
Program, the impact that the New NCIB program will have on the
Ordinary Shares, the advantages to existing shareholders of the New
NCIB program, the future financial or operating performance of the
Company, its subsidiaries, future growth, results of operations,
performance, business prospects and opportunities. Often, but not
always, forward-looking statements can be identified by the use of
words such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or
"believes", or variations (including negative variations) of such
words and phrases, or by the use of words or phrases that state
that certain actions, events or results "may", "could", "would",
"might" or "will" be taken, occur or be achieved.
Forward-looking statements are based on certain assumptions
and analyses made by the Company in light of its experience and
perception of historical trends, current conditions and expected
future developments and other factors it believes are appropriate,
which assumptions include but are not limited to the market price
of the Ordinary Shares, the availability of Ordinary Shares for
repurchase on the TSX or alternative Canadian trading platforms and
the availability of funds for the repurchase of Ordinary Shares.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company and/or its subsidiaries
to be materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements
contained in this press release including, without limitation those
described in the Management's Discussion & Analysis for the
quarter ended March 31, 2024 and the
Company's Annual Information Form dated March 28, 2024 under the heading "Risk Factors".
Although the Company has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in such forward-looking statements,
there may be other factors that may cause actions, events or
results to differ from those anticipated, estimated or intended.
Should one or more of these risks or uncertainties materialize or
should assumptions underlying such forward-looking statements prove
incorrect, actual results, performance or achievements may vary
materially from those expressed or implied by the forward-looking
statements contained in this press release. The forward-looking
information and forward-looking statements contained herein are
made as of the date of this press release and the Company disclaims
any obligation to update or review such information or statements,
whether as a result of new information, future events or otherwise,
except as required by law.
SOURCE Geodrill Limited
