Halliburton Co. (NYSE: HAL) purchased 23 million shares of common stock for US $1 billion during the second quarter.

This significant repurchase activity left US $0.7 billion of repurchase capacity remaining under a program initially authorized by Halliburton’s board of directors in 2006.

On July 18, Halliburton’s board of directors increased the authorization to purchase Halliburton common stock by US $4.3 billion, to a new total repurchase capacity of US $5 billion.

“Today’s announcement, together with the 39% increase in dividends announced in the first quarter, reflects our growing confidence in the strength of our business outlook,” said Dave Lesar, Halliburton’s chairman, president and CEO, in the release.

Halliburton’s board of directors also declared a 3Q 2013 dividend of US $0.125 a share on the company’s common stock payable Sept. 25 to shareholders of record at the close of business on Sept. 4. The company also reaffirmed Halliburton’s intention to distribute total annual dividends of at least 15% to 20% of net income.

Halliburton Co. provides a range of services and products for the exploration, development, and production of oil and natural gas. The company is based in Houston.