Permian Basin Royalty Trust Announces October Cash Distribution

DALLAS, Oct. 19, 2018 /PRNewswire/ — Simmons Bank, as Trustee of the Permian Basin Royalty Trust (NYSE: PBT) (“Permian”) today declared a cash distribution to the holders of its units of beneficial interest of $0.055098 per unit, payable on November 15, 2018, to unit holders of record on October 31, 2018.

This month’s distribution increased from the previous month due to a decrease of LOE expenditures relating to substantive workover expense for the previous month, which in turn, through the allocation of the Trust’s production from the underlying properties, resulted in an increase in both oil and gas production allocated to the Trust’s interest for the Waddell Ranch properties.  This was offset by a decline in the pricing of both oil and gas.  The Texas Royalty Properties saw a slight decrease in the production of oil that was offset by a slight increase in gas production.  There was a decline in the pricing of both oil and gas for the month.

WADDELL RANCH
Production for the underlying properties at the Waddell Ranch was 50,357 barrels of oil and 267,841 Mcf of gas.  The production for the Trust’s allocated portion of the Waddell Ranch was 19,970 barrels of oil and 106,900 Mcf of gas.  The average price for oil was $55.16 per bbl and for gas was $3.61 per Mcf.  This would primarily reflect production and pricing for the month of August for oil and the month of July for gas. These allocated volumes were significantly impacted by the pricing of both oil and gas.

This production and pricing for the Underlying Properties resulted in revenues for the Waddell Ranch Properties of $3,797,309.  Deducted from these would be the Lease Operating Expense (LOE) of $1,584,047, taxes of $251,443 and Capital Expenditures (CAPEX) of $9,892 totaling $1,845,382 resulting in a Net Profit of $1,951,927 for the month of September.  With the Trust’s Net Profit Interest (NPI) of 75% of the underlying properties, this would result in a net contribution by the Waddell Ranch Properties of $1,463,945 to this month’s distribution.  

Underlying Properties

Net to Trust Sales

Volumes

Volumes

Average

Price

Oil
(bbls)

Gas
(Mcf)

Oil
(bbls)

Gas
(Mcf)

Oil
(per bbl)

Gas
(per Mcf)

Current Month

Waddell Ranch

50,357

267,841

19,970

106,900*

$55.16

$3.61**

Texas Royalties

21,324

22,399

18,440

19,354*

$58.15

$6.71**

Prior Month

Waddell Ranch

49,076

303,074

16,679

104,211*

$60.40

$3.87**

Texas Royalties

21,816

21,042

18,963

18,251*

$59.48

$6.87**

 *These volumes are the net to the trust, after allocation of expenses to Trust’s net profit interest,
including any prior period adjustments.

**This pricing includes sales of gas liquid products.

TEXAS ROYALTY PROPERTIES
Production for the underlying properties at the Texas Royalties was 21,324 barrels of oil and 22,399 Mcf of gas.  The production for the Trust’s allocated portion of the Texas Royalties was 18,440 barrels of oil and 19,354 of of gas.  The average price for oil was $58.15 per bbl and for gas was $6.71 per Mcf.  This would primarily reflect production and pricing for the month of August for oil and the month of July for gas. These allocated volumes were impacted by the pricing of both oil and gas. 

This production and pricing for the underlying properties resulted in revenues for the Texas Royalties of $1,390,234.  Deducted from these were taxes of $174,014 resulting in a Net Profit of $1,216,220 for the month of September.  With the Trust’s Net Profit Interest (NPI) of 95% of the Underlying Properties, this would result in net contribution by the Texas Royalties of $1,155,409 to this month’s distribution.

General and Administrative Expenses deducted for the month were $53,093 resulting in a distribution of $2,568,087 to 46,608,796 units outstanding, or $0.055098 per unit.

The worldwide market conditions continue to affect the pricing for domestic production.  It is difficult to predict what effect these conditions will have on future distributions.

Permian’s cash distribution history, current and prior year financial reports, including a summary of reserves as of 1/1/2018, tax information booklets, and a link to filings made with the Securities and Exchange Commission, all can be found on its website at http://www.pbt-permian.com/

 

Cision View original content:http://www.prnewswire.com/news-releases/permian-basin-royalty-trust-announces-october-cash-distribution-300734096.html

SOURCE Permian Basin Royalty Trust

Leave a Reply

Your email address will not be published. Required fields are marked *

*