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Obsidian Energy Comments on Statement by FrontFour Capital Group LLC
Obsidian Energy Comments on Statement by FrontFour Capital Group LLC Canada NewsWi...
About this update from Obsidian Energy Ltd
[{"type":"text","content":"\n\n\n\nObsidian Energy Comments on Statement by FrontFour Capital Group LLC\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nCALGARY, Jan. 17, 2018\n\n\n\nCALGARY, Jan. 17, 2018 /CNW/ - OBSIDIAN ENERGY LTD. (TSX/NYSE – OBE) (\"Obsidian Energy\", the \"Company\", \"we\", \"us\" or \"our\") confirms it is aware of a statement by FrontFour Capital Group LLC (\"FrontFour\") regarding their views on the direction of the Company. \n\nObsidian Energy's corporate strategy is well defined and has the unanimous support of the Board of Directors (the\"Board\"). We have been organically growing the Company through the combination of sustaining a low decline production base and leveraging significant development optionality. The Company delivered strong results throughout the past year, and provided an operational update earlier this week that confirms the business plan is working. Those operational successes, along with our highly capital efficient 2018 plans, are a product of robust capital planning and a project review process with both Management and the Board. A change of course would hinder Obsidian Energy's progress and ability to deliver on the value maximizing efforts already underway. \n\nAs part of our active and ongoing communications with all stakeholders, Obsidian Energy's Board and Management appreciate constructive shareholder input and take all views seriously. We received a letter from FrontFour in early October, which contained ideas we had already been pursuing for several months. In addition, we received a second letter from FrontFour in mid-December threatening \"more aggressive public action\", unless we agreed to the addition of a mutually agreed upon Director to the Board. \n\nIn the interest of avoiding a costly and distracting proxy fight and as part of the Board's ongoing renewal process, our Board expressed a willingness to work with FrontFour regarding their views on Board composition. FrontFour had previously introduced the idea of Mr. Gordon Ritchie as a Board member, a suggestion our Board unanimously embraced ...