Epsilon Energy Ltd. Announces New Share Repurchase Program

Rhea-AI Summary

Epsilon Energy (NASDAQ: EPSN) announced a new one-year share repurchase program authorizing up to 3,014,986 common shares (10% of outstanding) for a maximum aggregate purchase price of $15.0 million.

The program commenced February 19, 2026 and runs through February 18, 2027, replaces the prior program that expired February 11, 2026, and will be funded from available cash without new debt.

Positive

• Buyback size up to 3,014,986 shares (10% outstanding)
• Committed cash limit of $15.0 million
• Funding from available cash; no new debt expected

Negative

• Potential dilution reduction may concentrate ownership and reduce float
• Cash allocation reduces liquidity available for other investments

Key Figures

Buyback authorization value: US $15.0M Shares authorized for repurchase: 3,014,986 shares Portion of shares outstanding: 10% +5 more

8 metrics

Buyback authorization value US $15.0M Maximum aggregate purchase price under 2026–2027 program

Shares authorized for repurchase 3,014,986 shares Maximum shares under new one-year program

Portion of shares outstanding 10% Portion of current outstanding common shares covered by program

Program start date February 19, 2026 Commencement of new repurchase authorization

Program end date February 18, 2027 Scheduled expiration of authorization

Prior program expiry February 11, 2026 End of previous share repurchase program

Shelf registration capacity $100,000,000 Maximum amount under Form S-3 shelf

Current share price $4.87 Price before announcement, <b>42.71%</b> below 52-week high

Market Reality Check

Price: $4.91 Vol: Volume 148,687 is below 2...

normal vol

$4.91 Last Close

Volume Volume 148,687 is below 20-day average of 173,969 (relative volume 0.85x). normal

Technical Shares at $4.87 are trading below the 200-day MA of $5.65 and 42.71% under the 52-week high.

Peers on Argus

EPSN slipped 0.41% as sector peers also weakened; the momentum scanner flagged 2...

2 Down

EPSN slipped 0.41% as sector peers also weakened; the momentum scanner flagged 2 peers moving down (median move -1.1%), suggesting broader Oil & Gas E&P softness rather than a purely idiosyncratic move.

Previous Buybacks Reports

1 past event · Latest: Feb 13 (Positive)

Same Type Pattern 1 events

Date	Event	Sentiment	Move	Catalyst
Feb 13	Share repurchase plan	Positive	+4.3%	Announced 2025 one-year buyback up to 2.2M shares for $13M.

Pattern Detected

Prior buyback authorization news coincided with a positive one-day share price reaction.

Recent Company History

Over the past several months, EPSN has been active on both portfolio and capital allocation fronts. It closed Powder River Basin acquisitions and later divested Western Anadarko assets for $2.5M. Capital returns have included a quarterly dividend of $0.0625 per share and a 2025 buyback program authorizing up to 2,200,876 shares for $13.0M. The new 2026 repurchase plan, sized at 3,014,986 shares and $15.0M, extends this shareholder-return strategy while EPSN maintains NASDAQ-based purchases funded from cash.

Historical Comparison

+4.3% avg move · EPSN’s prior buyback launch in Feb 2025 led to a 4.28% gain. The new 2026 program is larger in both ...

buybacks

+4.3%

Average Historical Move buybacks

EPSN’s prior buyback launch in Feb 2025 led to a 4.28% gain. The new 2026 program is larger in both share count and dollar authorization, continuing the same capital return pattern.

Buyback capacity increased from 2,200,876 shares and $13.0M in 2025 to 3,014,986 shares and $15.0M in the new 2026 program, maintaining a one-year NASDAQ-based repurchase framework funded from cash.

Regulatory & Risk Context

Active S-3 Shelf · $100,000,000

Shelf Active

Active S-3 Shelf Registration 2026-01-13

$100,000,000 registered capacity

An effective Form S-3 filed on 2026-01-13 allows EPSN to issue up to $100,000,000 in various securities, with 0 usage to date. This provides financing flexibility for future capital needs alongside the cash-funded buyback, but also represents potential future issuance capacity.

Market Pulse Summary

This announcement extends EPSN’s capital return strategy via a new one-year buyback authorizing up t...

Analysis

This announcement extends EPSN’s capital return strategy via a new one-year buyback authorizing up to 3,014,986 shares and $15.0M, replacing a program that expired on February 11, 2026. Purchases are to be made on NASDAQ at prevailing prices and funded from cash, without new debt. In parallel, an effective shelf for up to $100,000,000 in securities provides additional financing flexibility investors may monitor.

Key Terms

normal course issuer bid

1 terms

normal course issuer bid regulatory

"for an aggregate purchase price of not more than US $15.0 million, pursuant to a normal course issuer bid."

A Normal Course Issuer Bid is when a company buys back its own shares from the stock market over time. This usually shows that the company believes its stock is undervalued and wants to support its price, which can be important for investors to watch.

AI-generated analysis. Not financial advice.

HOUSTON, Feb. 26, 2026 (GLOBE NEWSWIRE) -- Epsilon Energy Ltd. (“Epsilon” or the “Company”) (NASDAQ: EPSN) today announced that its Board of Directors approved a new one-year share repurchase program, under which the Company is authorized to repurchase up to 3,014,986 common shares, representing 10% of the current outstanding common shares of Epsilon, for an aggregate purchase price of not more than US $15.0 million, pursuant to a normal course issuer bid. The one-year period commenced on February 19, 2026. The program will end on February 18, 2027, unless the maximum amount of common shares is purchased before then or Epsilon provides earlier notice of termination. This program replaces the previous share repurchase program, which expired on February 11, 2026.

The Company believes that the market price of its common shares may not reflect their underlying value and the Board of Directors has authorized this initiative because, in the Board’s opinion, the proposed repurchase of common shares constitutes an appropriate use of Epsilon’s funds, and the repurchase of its common shares is one way of creating shareholder value.

Repurchases will be made from time to time through the facilities of the NASDAQ Global Market. The price paid for the common shares will be, subject to applicable securities laws, the prevailing market price of such common shares on the NASDAQ Global Market at the time of such purchase. The Company intends to fund the purchase out of available cash and does not expect to incur debt to fund the share repurchase program.

The Company also announced a new Corporate Presentation, dated January 2026, which is available on the Company’s website.

About Epsilon

Epsilon Energy Ltd. is a North American onshore natural gas and oil production and gathering company with assets across the Appalachian, Powder River, Permian, and Western Canadian Sedimentary basins.

Contact Information:

281-670-0002

Jason Stabell
Chief Executive Officer
Jason.Stabell@EpsilonEnergyLTD.com

Andrew Williamson
Chief Financial Officer
Andrew.Williamson@EpsilonEnergyLTD.com

FAQ

What are the terms of Epsilon Energy's new share repurchase program (EPSN) announced February 26, 2026?

The program authorizes repurchases of up to 3,014,986 shares, representing 10% of shares, with a $15.0 million cap. According to the company, it runs from February 19, 2026 to February 18, 2027 and replaces the prior program.

How will Epsilon Energy (EPSN) fund the $15.0 million buyback announced in February 2026?

Epsilon intends to fund repurchases from available cash and does not expect to incur debt. According to the company, no new borrowing is planned to finance the normal course issuer bid.

When does the Epsilon Energy (EPSN) repurchase program start and end?

The one-year program commenced on February 19, 2026 and ends on February 18, 2027 unless completed earlier or terminated. According to the company, the program replaces a prior plan that expired February 11, 2026.

How will Epsilon Energy (EPSN) execute share repurchases under the new program?

Repurchases will be made through the facilities of the NASDAQ Global Market at prevailing market prices. According to the company, purchases will follow applicable securities laws and normal course issuer bid procedures.

What does the $15.0 million repurchase limit mean for EPSN shareholders?

The cap limits total buybacks to $15.0 million, potentially boosting EPS and shareholder value if executed. According to the company, the Board views repurchases as an appropriate use of funds given perceived undervaluation.