DALLAS, Sept. 20, 2021 /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 $0.023119 per unit, payable on October 15, 2021, to unit holders of record on
September 30, 2021.
This month's distribution increased from the previous month as
the result of an increase in the pricing for oil and gas for the
Texas Royalty Properties during the month of July. Currently, only
the Texas Royalty Properties are contributing to the monthly
distribution.
Since the Waddell Ranch is in current deficit for the
foreseeable future, any increase or decrease of the distribution by
revenues received, will only be reflective of the activity of the
Texas Royalty Properties. The activity of the Waddell Ranch
will be discussed with the following narrative until it contributes
back to the distribution. This reflects the production month
of July.
WADDELL RANCH
In reporting July production of the
Underlying Properties for this month's press release, production
for oil volumes was 102,735 bbls (gross) and was priced at about
$71.32 per bbl. Production for
gas volumes (including gas liquids) was 249,359 mcf (gross) and was
priced at about $3.45 per mcf, which
now includes the value received from plant products and natural gas
liquids. Net revenue for the underlying properties of the
Waddell ranch was $8,595,054 (gross)
for July. Lease Operating Expenses were $2,248,498 (gross) and Capital Expenditures were
$10,009,161 (gross) for July. This
would put the Trust's proceeds as a deficit of $ 2,746,953 (net) for the month of July, leaving
an excess cost deficit cumulative of $18.2
million (net).
Resulting producing well count relating to activity on the
Waddell Ranch properties for the month of July reflects 14
additional recompletion wells(gross) along with the previously
stated well count of 61 recompletions giving a total for the year
of 75 wells (gross) recompleted and producing. New producing
drill well count for the month of July were 4 new drill wells along
with the previously stated new drill well count of 30 new drill
wells giving the total of new drill wells for the year of 34
(gross) drilled and producing. Both the recompletions and new
drill wells are currently receiving revenue on new production, as
reflected by the increasing volumes as stated above.
Blackbeard Operating has advised the Trust of the 2021 capital
budget of $86.6 million (gross),
($32.5 million net to the Trust) for
the Waddell Ranch proposing 91 (gross) drill wells, with 24 (gross)
recompletions.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 17,690 of oil and 11,870 Mcf of gas. The
production for the Trust's allocated portion of the Texas Royalties
was 15,772 barrels of oil and 10,570 of gas. The average
price for oil was $71.11 per bbl and
for gas was $8.09 per Mcf. This
would primarily reflect production and pricing for the month of
July for oil and the month of June 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 $1,353,995. Deducted from these were taxes
of $134,426 resulting in a Net Profit
of $1,219,569 for the month of
July. 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 $1,158,591 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
|
102,735
|
249,359
|
77,051
|
187,019*
|
$71.32
|
$3.45**
|
Texas
Royalties
|
17,690
|
11,870
|
15,772
|
10,570*
|
$71.11
|
$8.09**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
90,258
|
220,120
|
67,694
|
165,090*
|
$70.22
|
$4.21**
|
Texas
Royalties
|
17,820
|
9,894
|
15,854
|
8,797*
|
$69.06
|
$7.89**
|
*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.
General and Administrative Expenses deducted for the month were
$81,481 resulting in a distribution
of $1,077,575 to 46,608,796 units
outstanding, or $0.023119 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.
The 2020 Annual Report with Form 10-K and the January 1, 2021 Reserve Summary are now available
on Permian's website. Permian's cash distribution history,
current and prior year financial reports, tax information booklets,
and a link to filings made with the Securities and Exchange
Commission, all can be found on Permian's website at
http://www.pbt-permian.com/. Additionally, printed
reports can be requested and are mailed free of charge.
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SOURCE Permian Basin Royalty Trust