CALGARY, ALBERTA--(Marketwire - June 16, 2011) - Arsenal Energy Inc. (TSX:AEI - News; "Arsenal" or the "Corporation") announces that it has made the necessary filings, and received the necessary approvals, to make a normal course issuer bid through the facilities of the Toronto Stock Exchange commencing June 20, 2011 and ending June 19, 2012, or on such earlier date as Arsenal may complete its purchases under the bid.
A total of 8,128,724 common shares may be acquired under the bid, representing approximately 5 percent of the 162,574,470 common shares outstanding as of June 14, 2011. Pursuant to section 628 of the TSX Company Manual, under the bid Arsenal is permitted to acquire up to 25 percent of the average daily trading volume or 105,669 common shares per day. Arsenal will acquire its common shares at the market price at the time of purchase, with acquired shares being cancelled.
Under its previous normal course issuer bid from May 31, 2010 to May 30, 2011, the Corporation purchased 2,859,918 of its common shares representing approximately 2.1% of the Corporation's outstanding common shares as at May 31, 2010, for an average price of $0.81 per common share. In the opinion of Arsenal's Board of Directors, Arsenal common shares are, from time to time, undervalued by the market, and the cost of acquiring the shares is an expense prudently incurred by Arsenal to increase shareholder value.
