Tethys Oil has established a new dividend policy:
“Tethys Oil aims to provide a long-term sustainable and growing ordinary dividend funded by cash flow from its producing assets. Distributions to the shareholders must always be aligned with the Company’s long term operational and financial commitments, market conditions and access to external funding. In order to enable the company to optimise its capital structure, further shareholder distribution may be carried out by various methods such as redemption shares or share repurchases.”
The new dividend policy replaces the previous capital structure target:
“Tethys Oil’s primary objective is to create shareholder value and in doing so the company will have a balanced approach to growth and shareholder distributions, with a long-term capital structure target of a zero net cash position.”