Terra Energy Announces Normal Course Issuer Bid
CALGARY, ALBERTA -- (Marketwire) -- 08/30/11 -- Terra Energy Corp. ("Terra" or the "Company") (TSX:TT) announces that the Toronto Stock Exchange (the "TSX") has accepted its Notice of Intention to Make a Normal Course Issuer Bid (the "2011 Issuer Bid"). Under the terms of the 2011 Issuer Bid, Terra is authorized to acquire up to an aggregate of 5,092,000 of its common shares ("Common Shares") over the next 12-month period representing approximately 5% of its issued and outstanding Common Shares as at August 26, 2011. A maximum of 19,192 Common Shares may be purchased by Terra on any one day, subject to any exemptions permitted by the TSX. All Common Shares purchased by Terra under the 2011 Issuer Bid will be returned to treasury and cancelled. As at today's date, Terra has 101,851,922 Common Shares outstanding. Although Terra has a present intention to acquire Common Shares, it is not obligated to make any purchases pursuant to the 2011 Issuer Bid. In the past 12 months, Terra has acquired 543,300 Common Shares at a weighted average price of $1.21 per share pursuant to its previous normal course issuer bid.
The 2011 Issuer Bid shall commence on September 1, 2011 and terminate on August 31, 2012, or the earlier of the date all shares which are subject to the 2011 Issuer Bid are purchased. In the opinion of the Board of Directors of Terra, the market price of the Common Shares does not accurately reflect the value of those shares. As a result, Common Shares may become available for purchase at prices which make them an appropriate use of funds of Terra. All purchases will be effected at market prices through the facilities of the TSX by Union Securities Limited on behalf of Terra in accordance with the rules of the TSX. Shareholders may obtain a copy of the 2011 Issuer Bid, without charge, by contacting Terra.
Terra is a junior oil and gas company engaged in the exploration for, and the development and production of, natural gas and oil in Western Canada. Terra's Common Shares trade on the Toronto Stock Exchange under the symbol "TT".
This media release contains certain statements which constitute forward-looking statements or information ("forward-looking statements"), including the intention of the Company to purchase its Common Shares pursuant to the 2011 Issuer Bid and the availability of Common Shares for purchase at appropriate prices. Although Terra believes that the expectations reflected in our forward-looking statements are reasonable, our forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information available to the Company and the Company's current ability to purchase its Common Shares. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward looking information. As such, readers are cautioned not to place undue reliance on the forward looking information, as no assurance can be provided as to future results, levels of activity or achievements. The risks, uncertainties, material assumptions and other factors that could affect actual results are discussed in our Annual Information Form and other documents available at www.sedar.com. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, Terra does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
Terra Energy Corp.
Manager, Corporate Affairs
(403) 264-7189 (FAX)
Terra Energy Corp.
Suite 970, 333 - 7th Avenue S.W.
Calgary, Alberta T2P 2Z1