Page 12 - NorthAmOil Week 38 2021

NorthAmOil NEWS IN BRIEF NorthAmOil

UPSTREAM Common Shares, representing approximately deliver average production of 500,000-
39.71% of the issued and outstanding 510,000 boepd, $3.7 billion of cash flow
Tourmaline, Topaz close Common Shares. (CF) and $2.5 billion of FCF on strip
pricing. The 2022 EP capital budget,
Tourmaline sold the Common Shares as
secondary offering part of a long term plan to reduce its equity essentially a maintenance program, is $62
million less than previous estimates given
position as Topaz develops and continues
Tourmaline Oil and Topaz Energy announced to succeed as an independent royalty and specific facility projects and select drilling
today the closing of the previously announced infrastructure company. Tourmaline’s accelerated into 2H 2021. Production, CF,
secondary offering of common shares of reduction in Topaz equity is also in step with and FCF are all higher than previous 2022
the Company. Pursuant to the Offering, the its commitment to continue to reduce overall guidance. The Company expects capital
Selling Shareholder sold 7,000,000 Common debt levels of Tourmaline and accelerate efficiencies to improve further in 2022 as
Shares at a price of $15.45 per Common shareholder returns as the long term debt a significant portion of the planned 2022
Share for total gross proceeds to the Selling target is achieved. The Offering will expand facility expenditures have been accelerated
Shareholder of $108.15 million. The Company Topaz’s free-trading share float and provide into 2H 2021.
has not and will not receive any of the new and existing shareholders with enhanced The 2021 EP capital program has been
proceeds of the Offering. trading liquidity which is in-line with Topaz’s increased to $1.375 billion with the 2H
The Offering was made, on a bought deal strategic objectives. 2021 increase focused on liquids business/
basis, pursuant to an underwriting agreement TOURMALINE OIL, September 21, 2021 production increases and related liquids
dated effective August 30, 2021 among the margin improvements, and the modest
Company, the Selling Shareholder and Peters Tourmaline announces acceleration of drilling activities. Full-year
& Co. Limited (the “Lead Underwriter”), 2021 average production is now expected
BMO Nesbitt Burns Inc., RBC Dominion guidance update to be 440,000-445,000 boepd and increased
Securities Inc., Scotia Capital Inc., Stifel full-year CF of $3.0 billion is now anticipated
Nicolaus Canada Inc. and TD Securities Inc. Tourmaline Oil is pleased to announce a along with $1.6 billion of FCF. The majority
(collectively with the Lead Underwriter, the guidance update, the approved budget for of the incremental facility capital is being
“Underwriters”). In connection with the 2022 and details on its free cash flow (FCF) expended in Q3, yielding estimated capital
Offering, the Underwriters received a cash allocation strategy, including the declaration spending of $420 million in Q3 and $350
commission equal to 4% of the gross proceeds of a special cash dividend and an increase in million in Q4. The updated 2H 2021/2022 EP
of the Offering. its regular quarterly cash dividend. capital program is consistent with previous
Following the closing of the Offering, The recently approved 2022 EP capital guidance.
the Selling Shareholder holds 51,149,494 budget of $1.125 billion is expected to TOURMALINE OIL, September 21, 2021

P12 www. NEWSBASE .com Week 38 23•September•2021