1 Nov 2011

NZOG announces share buy back

5:22 pm on 1 November 2011

New Zealand Oil and Gas has announced it plans to buy back 10 million of its shares.

The listed energy explorer says it believes its share price is significantly lower than it should be and does not reflect the company's current value or its future growth prospects.

New Zealand Oil and Gas has almost 396 million shares on issue and says it will continue to maintain a strong balance sheet to fund capital expenditure for on-going growth.

All the shares it buys will be cancelled, proportionally increasing all remaining shareholders' interests in the company and the earnings per share.

The share buy back will open on Monday 7 November and can continue until the end of October 2012.

Shares in New Zealand Oil and Gas were unchanged at 70 cents at midday.