Will the repurchase be funded from operating cash flow, debt, or existing cash reserves, and does it affect the company’s leverage?

Funding source – The release does not specify how the 98,900‑share NCIB purchase was financed. International Petroleum Corp. has historically relied on available cash balances and operating cash flow for share‑repurchase activity, and there has been no recent debt issuance announced to support a buy‑back. In the absence of a disclosed debt‑raising transaction, the most reasonable assumption is that the repurchase was drawn from existing cash reserves (or surplus operating cash) rather than new borrowing.

Leverage impact – Because the buy‑back is likely funded with internal cash, the company’s capital structure remains unchanged; total debt and the debt‑to‑equity ratio should stay flat, and there is no immediate upward pressure on leverage. If, however, IPC were to tap the debt markets for future repurchases, each additional borrowing would raise its leverage and could tighten credit metrics, a factor to watch in subsequent filings.

Trading implication – The cash‑driven repurchase signals confidence in near‑term earnings and a willingness to return value to shareholders, which is generally bullish for the stock. With leverage unchanged, the buy‑back does not introduce balance‑sheet risk, so the upside from a cleaner capital structure remains intact. Traders can consider a light‑to‑moderate long position or a buy‑on‑dip if the price retests the recent support zone, while keeping an eye on the next quarterly cash‑flow statement for any shift toward debt‑financed buy‑backs that could alter the leverage profile.