In an effort to return at least 50% of excess free cash flow, NOV Inc. authorized a share repurchase program for up to $1 billion of its common stock over 36 months, according to an April 25 press release.
Under the program, NOV may repurchase shares through open market purchases, in privately negotiated transactions or through the use of trading plans that qualify under Rule 10b5-1 of the Securities and Exchange Act.
The company also expects to increase its quarterly cash dividend on its common stock by 50% to $0.075 per share from $0.05 per share.
The dividend is set to be paid out during the quarter ended June 30.
NOV said it intends to declare a supplemental dividend during the second-quarter 2025. The amount is anticipated to be a minimum of 50% of the company’s excess free cash flow.
Recommended Reading
Dividends Declared in the Week of May 6
2024-05-10 - Here is a selection of upstream, midstream and service and supply companies’ dividends declared in the past week.
Permian M&A: Oxy Shops Delaware Assets, Family Oil Cos. Stand Out
2024-05-10 - As operators scour the Permian Basin for M&A opportunities, they’re keeping an eye on a tepid divestiture market. Family-owned oil companies also stand out among the pack of private inventory holders remaining in the Permian, according to Enverus Intelligence Research.
GeoPark, Vitol Sign Offtake Deal for Llanos 34 Block
2024-05-10 - Under the agreement, GeoPark will sell and deliver to Vitol a minimum of 20,000 bbl/d of oil from the Llanos 34 Block in Colombia, which GeoPark holds 45% working interest.
Enbridge Plans to Increase Permian Oil Pipeline’s Capacity
2024-05-10 - Midstream company Enbridge announced an open season on the Gray Oak Pipeline for a proposed 120,000 bbl/d expansion and updated its M&A efforts.
Energy Transition in Motion (Week of May 10, 2024)
2024-05-10 - Here is a look at some of this week’s renewable energy news, including $1.5 billion in investment commitments for low-carbon energy initiatives.