Mexco Energy Corporation Declares Special Dividend on Common Shares

Rhea-AI Summary

Mexco Energy declared a regular annual cash dividend of $0.10 per common share and authorized the use of up to $1,000,000 to repurchase shares of the Company's common stock. The Company's Board of Directors replaced the previously authorized $1,000,000 common stock repurchase program. Mexco Energy is an independent oil and gas company engaged in the acquisition, exploration, and development of oil and gas properties primarily in the Permian Basin.

Positive

• Mexco Energy declared a regular annual cash dividend of $0.10 per common share, providing a return on investment for shareholders.

• The Company authorized the use of up to $1,000,000 to repurchase shares of the Company's common stock, potentially increasing shareholder value.

• The Company's engagement in the acquisition, exploration, and development of oil and gas properties in the Permian Basin indicates a focus on growth and expansion.

Negative

• Decisions regarding the payment of dividends are subject to various considerations, including the Company's liquidity and capital resources, potentially impacting future dividend payments.

• The Company can provide no assurance that dividends will be authorized or declared in the future, introducing uncertainty for investors.

• The stock repurchase program may be modified, suspended, or terminated at any time by the Board of Directors, leading to volatility in the Company's stock price.

MIDLAND, TX, April 30, 2024 (GLOBE NEWSWIRE) -- Mexco Energy Corporation (NYSE American: MXC) announced today that its Board of Directors declared a regular annual cash dividend of $0.10 per common share. The dividend is payable June 4, 2024 to the stockholders of record at the close of business on May 21, 2024.

The Company’s Board of Directors also authorized the use of up to $1,000,000 to repurchase shares of the Company’s common stock, par value $0.50, for the treasury account. This authorization replaces the previously authorized $1,000,000 common stock repurchase program which had $414,964 remaining at the time it was replaced. During the year ended March 31, 2024, the Company repurchased 50,101 shares at an average price of $11.68 per share.

Mexco Energy Corporation, a Colorado corporation, is an independent oil and gas company located in Midland, Texas engaged in the acquisition, exploration and development of oil and gas properties primarily in the Permian Basin. For more information on Mexco Energy Corporation, go to www.mexcoenergy.com.

Dividends are authorized and determined by the Company's Board of Directors in its sole discretion. Decisions regarding the payment of dividends are subject to a number of considerations at the time, including without limitation, the Company's liquidity and capital resources, the Company's results of operations and anticipated future results of operations, the level of cash reserves the Company maintains to fund future capital expenditures or other needs, and other factors that the Board of Directors deems relevant. The Company can provide no assurance that dividends will be authorized or declared in the future or the amount of any future dividends.

Amount authorized for the repurchase program is determined by the Company's Board of Directors in its sole discretion. Under Mexco Energy Corporation’s common stock repurchase program, the Company may repurchase shares in accordance with applicable securities laws. The stock repurchase program does not have an expiration date and may be modified, suspended or terminated at any time by the Board of Directors.

For additional information, please contact: Tammy L. McComic, President and Chief Financial Officer, at Mexco Energy Corporation, (432) 682-1119.

FAQ

What is the amount of the regular annual cash dividend declared by Mexco Energy ?

Mexco Energy declared a regular annual cash dividend of $0.10 per common share.

Where is Mexco Energy located?

Mexco Energy is located in Midland, Texas.

What type of company is Mexco Energy ?

Mexco Energy is an independent oil and gas company engaged in the acquisition, exploration, and development of oil and gas properties primarily in the Permian Basin.

How can shareholders benefit from the authorization of $1,000,000 for share repurchase?

Shareholders may benefit from the potential increase in value as Mexco Energy repurchases shares of the Company's common stock.

What factors influence decisions regarding the payment of dividends by Mexco Energy ?

Decisions regarding the payment of dividends are influenced by factors such as the Company's liquidity, capital resources, results of operations, future results of operations, and cash reserves.