CORP / Del Roca Energy Inc. Announces a Normal Course Issuer
Bid
ASE SYMBOL: DER
FEBRUARY 23, 1998
CALGARY, ALBERTA--DEL ROCA ENERGY INC. (the "Corporation" or "
Del Roca"), announces that a notice to make a Normal Course Issuer
Bid (the "Bid") has been accepted by The Alberta Stock Exchange.
Pursuant to the Bid, Del Roca may purchase, from time to time as
it considers advisable, up to 1,200,000 of the issued and
outstanding common shares of Del Roca through the facilities of
The Alberta Stock Exchange. The price which Del Roca will pay for
any shares purchased by it will be the prevailing market price of
such shares on The Alberta Stock Exchange, at the time of the
purchase.
Purchases may commence on February 25, 1998 and will terminate on
the earlier of the date on which Del Roca shall have acquired all
of the common shares sought pursuant to the Bid, and February 24,
1999, unless earlier terminated.
In the view of the board of directors of the Corporation, the
common shares of the Corporation are undervalued on the market and
purchases of the Corporation's common shares at the current market
price would be advantageous to shareholders of the Corporation.
An independent engineering firm has valued the Corporation's oil
and gas reserves at $6.39 million, effective January 1, 1998 and
has assigned proved and 50 percent probable reserves of 550,000
BOEs. Based on its reserve valuation and cash on hand of $1.2
million, Del Roca's net asset value is estimated at $0.32 per
share. Del Roca currently has no debt, an unused line of credit
and is actively seeking additional high quality acquisitions. |
