Pioneer Natural Resources Company Increases Dividend on Common Shares and Announces Common Share Repurchase Program
Pioneer Natural Resources Company (NYSE:PXD) (“Pioneer” or “the
Company”) announced today that its Board of Directors approved an
increase in the Company’s semiannual cash dividend from $0.04 per share
to $0.16 per share on Pioneer’s outstanding common stock (equivalent to
$0.32 per share on an annualized basis). The dividend is payable April
12, 2018, to stockholders of record at the close of business on March
29, 2018.
Pioneer’s Board of Directors also approved a common stock repurchase
program to offset the impact of dilution associated with annual employee
stock awards. The stock repurchase program allows for up to $100 million
of common stock to be repurchased during 2018.
The dividend increase combined with the stock repurchase program reflect
the Company’s desire to return cash to shareholders and offset any share
dilution. These actions also reflect the Company’s positive outlook for
generating increasing cash flow based on its planned high-return
drilling program, the expected proceeds from the planned asset
divestitures that were announced earlier today and its strong balance
sheet.
Pioneer may repurchase shares from time to time at management’s
discretion in accordance with applicable securities laws, including
through open market transactions, privately negotiated transactions or
any combination thereof. In addition, shares may also be purchased
pursuant to a trading plan meeting the requirements of Rule 10b5-1 under
the Securities Exchange Act of 1934, as amended, which would permit
shares to be repurchased when the Company might otherwise be precluded
from doing so under insider trading laws. The amount and timing of
repurchases are subject to a number of factors, including stock price,
trading volume and general market conditions, and the program may be
modified, suspended or terminated at any time by Pioneer’s Board of
Directors. The Company intends to fund repurchases under the program
from existing cash and cash equivalents or future cash flow.
Pioneer is a large independent oil and gas exploration and production
company, headquartered in Dallas, Texas, with operations in the United
States. For more information, visit Pioneer’s website at www.pxd.com.
Except for historical information contained herein, the statements in
this presentation are forward-looking statements that are made pursuant
to the Safe Harbor Provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements and the business
prospects of Pioneer are subject to a number of risks and uncertainties
that may cause Pioneer’s actual results in future periods to differ
materially from the forward-looking statements. These risks and
uncertainties include, among other things, volatility of commodity
prices, product supply and demand, competition, the ability to obtain
environmental and other permits and the timing thereof, other government
regulation or action, the ability to obtain approvals from third parties
and negotiate agreements with third parties on mutually acceptable
terms, completion of planned divestitures, litigation, the costs and
results of drilling and operations, availability of equipment, services,
resources and personnel required to perform the Company’s drilling and
operating activities, access to and availability of transportation,
processing, fractionation, refining and export facilities, Pioneer’s
ability to replace reserves, implement its business plans or complete
its development activities as scheduled, access to and cost of capital,
the financial strength of counterparties to Pioneer’s investment
instruments and derivative contracts and purchasers of Pioneer’s oil,
natural gas liquid and gas production, the assumptions underlying
production forecasts, quality of technical data, environmental and
weather risks, including the possible impacts of climate change,
Pioneer’s ability to implement planned stock repurchases and acts of war
or terrorism. These and other risks are described in Pioneer’s Annual
Report on Form 10-K for the year ended December 31, 2016, and other
filings with the Securities and Exchange Commission. In addition,
Pioneer may be subject to currently unforeseen risks that may have a
materially adverse impact on it. Accordingly, no assurances can be given
that the actual events and results will not be materially different than
the anticipated results described in the forward-looking statements.
Pioneer undertakes no duty to publicly update these statements except as
required by law.
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