/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE
SERVICES OR DISSEMINATION IN THE U.S./
CALGARY,
AB, April 12, 2023 /CNW/ - Source Rock
Royalties Ltd. ("Source Rock") (TSXV: SRR) (TSXV: SRR.WT), a
pure-play oil and gas royalty company with an established portfolio
of light oil focused royalties, announces that its board of
directors has declared an inaugural monthly dividend of
$0.0055 per common share, payable in
cash on May 15, 2023 to shareholders
of record on April 28, 2023. On an
annualized basis, this monthly dividend equates to a 10% dividend
increase.
This dividend is designated as an "eligible dividend" for
Canadian income tax purposes.
Dividend Payment History
Source Rock declared a $0.015 per
share quarterly dividend for 25 consecutive quarters starting in Q1
2014. No quarterly dividend was declared for Q2 and Q3 2020, then a
$0.005 per share quarterly dividend
was declared in Q4 2020. Source Rock re-established its
$0.015 per share quarterly dividend
in Q1 2021 and has declared this same dividend for 9 consecutive
quarters. In total, Source Rock has declared a quarterly dividend
in 35 of 37 quarters since Q1 2014 and has paid approximately
$13.5 million to shareholders.
President's Message
We have had a long-standing focus on a balanced growth and yield
business model. Our quarterly dividend has been the core strategy
to consistently return capital to shareholders. We paid a quarterly
dividend through all market cycles since 2014, except for Q2 and Q3
2020. Since our IPO in March 2022, we
have realized that a material portion of our shareholder base would
prefer to receive a dividend monthly instead of quarterly. We are
pleased to not only transition to a monthly dividend, but to
increase our annualized dividend by 10%.
Brad Docherty, President &
CEO
About Source Rock Royalties
Ltd.
Source Rock is a pure-play oil and gas royalty company with an
existing, light oil focused portfolio of royalty interests
concentrated in southeast Saskatchewan, east-central Alberta, west-central Alberta and west-central Saskatchewan. Source Rock targets a balanced
growth and yield business model, using funds from operations to
pursue accretive royalty acquisitions and to pay dividends. By
leveraging its niche industry relationships, Source Rock identifies
and acquires both existing royalty interests and newly created
royalties through collaboration with industry partners. Source
Rock's strategy is premised on maintaining a low-cost corporate
structure and achieving a sustainable and scalable business,
measured by growing funds from operations per share and maintaining
a strong netback on its royalty production.
Forward-Looking
Statements
This news release includes forward-looking statements and
forward-looking information within the meaning of Canadian
securities laws. Often, but not always, forward-looking information
can be identified by the use of words such as "plans", "is
expected", "expects", "scheduled", "intends", "contemplates",
"anticipates", "believes", "proposes" or variations (including
negative and grammatical variations) of such words and phrases, or
state that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements in this news release include statements
regarding Source Rock's ability to pay dividends in the future.
Such statements and information are based on the current
expectations of Source Rock's management and are based on
assumptions and subject to risks and uncertainties. Although Source
Rock's management believes that the assumptions underlying these
statements and information are reasonable, they may prove to be
incorrect. The forward-looking events and circumstances discussed
in this news release may not occur by certain dates or at all and
could differ materially as a result of known and unknown risk
factors and uncertainties affecting Source Rock. Although Source
Rock has attempted to identify important factors that could cause
actual actions, events or results to differ materially from those
described in forward-looking statements and information, there may
be other factors that cause actions, events or results to differ
from those anticipated, estimated or intended. No forward-looking
statement or information can be guaranteed. Except as required by
applicable securities laws, forward-looking statements and
information speak only as of the date on which they are made and
Source Rock undertakes no obligation to publicly update or revise
any forward-looking statement or information, whether as a result
of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy of
this release.
SOURCE Source Rock Royalties Ltd.