Arsenal Energy Inc. (fka AEYIF)

[geopic]

AEI reports

The Board of Directors ("BOD") of Arsenal Energy Inc. ("Arsenal" or the "Company") has declared a dividend $0.03 per common share. The dividend is payable in cash, or if a shareholder has enrolled in Arsenal's Dividend Reinvestment Plan, in shares on February 27, 2015 to shareholders of record at the close of business on February 17, 2015. The ex-dividend date is February 12, 2015.
With the severe drop in oil prices, the Board of Directors is of the view that prudent management of the Company's balance sheet is the current overriding priority. To that end, in addition to the reduction of the dividend, Arsenal has implemented other cost reduction initiatives, including freezing salaries, cutting 2014 bonuses, and reducing director's fees. Arsenal's 2015 capital program is estimated at $31.5 million but is backend loaded to take advantage of higher prices anticipated at that time. Cash flow for 2015 (including the hedges that were monetized in early January, 2015) is now estimated at $31.1 million using the current 2015 forward strip prices. Volumes for the year are now expected to average 4,100 boe/d, with exit volumes estimated at 4,600 boe/d. Total debt at yearend 2015 is estimated at approximately $68.0 million.

The dividend is cut but the company also reports on measures taken because of the low price. Personally OK with that.
g.p.