#Canada #Vancouver #share buyback #OceanaGold #TSX OGC

OceanaGold's Renewed Share Buyback Program

OceanaGold Corporation, a notable player in the mining industry, has recently publicly announced the renewal of its Normal Course Issuer Bid (NCIB), an approval granted by the Toronto Stock Exchange (TSX). This new phase will allow the company to repurchase approximately 23 million of its common shares, equating to about 10% of its public float over the coming year. This strategic move reflects OceanaGold's ongoing commitment to returning value to its shareholders while preserving operational growth and development.

Financial Context and Buyback Details

As of July 21, 2025, OceanaGold boasts a total of 231,121,129 common shares. The share buyback initiative is framed by the company's belief that market pricing sometimes does not sufficiently mirror the intrinsic value of its shares. The past year has seen OceanaGold purchasing 6.85 million shares for approximately $65 million under its previous NCIB program, which suggested a proactive approach toward enhancing shareholder equity.

Moreover, the company has already utilized $41 million of the approved $100 million buyback budget for the fiscal year 2025, and now aims to exercise the remaining $59 million efficiently in the latter half of the year. The renewed NCIB not only raises spending limits but also provides increased flexibility for further repurchases throughout the rest of 2025 and into early 2026.

Leadership Insights on Financial Health

Gerard Bond, the President and CEO of OceanaGold, expressed confidence in the company’s financial position, highlighting a robust generation of Free Cash Flow and a solid balance sheet. This financial strength aligns with their disciplined approach to capital allocation; a key factor in facilitating the renewed buyback program. Bond remarked, “We are pleased to announce a renewed NCIB program with an increased repurchase limit that aligns with our objectives of offering greater value to our shareholders.”

The company aims to leverage the buyback initiative while still channeling investment into growth and exploration projects across its operational facilities, ensuring that shareholder interest remains prioritized alongside corporate expansion.

Automatic Share Purchase Plan (ASPP)

Simultaneously, OceanaGold has established an Automatic Share Purchase Plan (ASPP) with a designated broker. The ASPP allows for the repurchase of shares during internal trading blackout periods when typically, the company would not be engaging in the market. This proactive strategy aids in ensuring that the buybacks continue seamlessly and without interruption through defined periods of trading restrictions.

The TSX has set a 12-month period for these transactions, commencing on July 24, 2025, and concluding on or before July 23, 2026. The program stipulates that daily purchases can be capped at a maximum of 180,933 common shares based on the average daily trading volume recorded in the preceding six months.

Looking Ahead

The planned share buybacks are to be executed strictly within legal boundaries and according to market conditions, emphasizing OceanaGold's strategic direction. Each repurchased common share will be duly cancelled, thereby enhancing the value of each remaining share in circulation.

In conclusion, as OceanaGold embarks on this renewed phase of its NCIB, the company underscores its commitment to balancing shareholder value with continued growth and exploration while strategically navigating the complexities of the market. With solid fundamentals underneath its operations, OceanaGold seeks not only to stabilize but also to thrive in an evolving landscape.