Gear Energy update Gear celebrated the one year anniversary of dividends with the
recent May distribution. Over the course of that year a total of
$0.12 per share was paid out. That is $31.2 million returned to
shareholders, and a 12.5 per cent yield on the current GXE market
capitalization.
Additionally in May, the Gear team invested materially in the
future of the company with close to $2 million dedicated to the
acquisition of undeveloped crown land in the heavy oil fairway
north of Lloydminster. Gear believes these lands contain
reservoirs that are prime unlined horizontal multilateral drilling
candidates containing high oil in place over numerous stacked
horizons. Look for future updates as we progress these potentially
high impact opportunities.
Subsequent to the end of May, the team also remobilized the
drilling rig after an extended down time through spring break-up.
It is currently in Wildmere, Alberta drilling the second leg of a
planned eight leg multi-lateral horizontal heavy oil well. After that,
the rig will continue to advance the heavy oil drilling program
through Alberta and Saskatchewan. This activity will assist the
company in resuming its path towards the production growth
forecasted through the rest of the year.