08:07 AM EDT, 05/22/2025 (MT Newswires) -- Frontera Energy ( FECCF ) late on Wednesday approved the launch of a substantial issuer bid in which the company will offer to purchase roughly 7.6 million shares for cancellation at $12 per share for up to $91 million.

The offer is expected to run from May 29 to July 4.

The company will fund the share repurchases with cash on hand and the funds available through the recently closed US$220 million non-recourse secured credit facility. The credit facility involved the company's indirect wholly-owned subsidiary, Frontera Pipeline Investment AG, as borrower, FEC ODL Holding Corp., as guarantor, and a syndicate of lenders led by Macquarie Bank Limited.

"With the successful ODL pipeline recapitalization now complete, Frontera is following through on its commitment to return significant value to its stakeholders by distributing CAD$91 million via this share buyback and up to an additional US$65 million via the recently announced tender offer and consent solicitation in respect of the Company's 7.875% Senior Secured Notes due 2028," said Frontera's Chief Executive Officer Orlando Cabrales.