DALLAS, July 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 $0.021355 per unit, payable on August 13, 2021, to unit holders of record on
July 30, 2021.
This month's distribution increased from the previous month as
the result of increased production of oil offset by a decrease in
gas production for the Texas Royalty Properties. Also, the pricing
for oil increased slightly offset by a decrease in gas pricing for
the Texas Royalty Properties during for the month May.
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 May.
WADDELL RANCH
In reporting May production of the
Underlying Properties for this month's press release, production
for oil volumes was 94,554 bbls (gross) and was priced at about
$63.97 per bbl. Production for
gas volumes (including gas liquids) was 194,689 mcf (gross) and was
priced at about $3.99 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 $6,530,767 (gross)
for May. Lease Operating Expenses were $1,626,098 (gross) and Capital Expenditures were
$8,379,485 (gross) for May.
Included in the Capital Expenditures this month is a prior period
correction of about $3.5 million
reflecting a true up of the 2020 accounting with other partners on
the Waddell Ranch. This would put the Trust's proceeds as a deficit
of $ 2,606,112 (net) for the month of
May, leaving an excess cost deficit cumulative of $12.5 million (net).
Resulting producing well count relating to activity on the
Waddell Ranch properties for the month of May reflects 10
additional recompletion wells along with the previously stated well
count of 39 recompletions giving a total for the year of 49 wells
(gross) recompleted and producing. New producing drill well
count for the month of May were 8 new drill wells along with the
previously stated new drill well count of 14 new drill wells giving
the total of new drill wells for the year of 22 (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.
Previously on the release for January, the Capital Expenditures
were overstated by $400,000, with
true deduction of $3,175,596 being
accurate. The cumulative deficit stated was accurate. Also, in the
narrative of operation, barrels of oil produced should be 55,767,
as stated correctly in the accompanying chart included. In the
April release, there was a prior period adjustment $283,000 allowed to the trust, but not reflected
in the narrative.
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 19,114 of oil and 10,523 Mcf of gas. The
production for the Trust's allocated portion of the Texas Royalties
was 16,949 barrels of oil and 9,333 of gas. The average price
for oil was $61.94 per bbl and for
gas was $6.62 per Mcf. This
would primarily reflect production and pricing for the month of May
for oil and the month of April 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 $1,253,554. Deducted from these were taxes
of $132,110 resulting in a Net Profit
of $1,121,444 for the month of
May. 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 $1,065,372 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
|
94,554
|
194,689
|
70,916
|
146,017*
|
$63.97
|
$2.61**
|
|
Texas
Royalties
|
19,114
|
10,523
|
16,949
|
9,333*
|
$61.94
|
$6.62**
|
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
|
Waddell
Ranch
|
80,362
|
259,608
|
60,272
|
194,706*
|
$59.93
|
$1.91**
|
|
Texas
Royalties
|
16,339
|
12,869
|
14,344
|
11,276*
|
$60.65
|
$8.34**
|
|
*
|
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
$70,474 resulting in a distribution
of $995,355 to 46,608,796 units
outstanding, or $0.021355 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.
View original
content:https://www.prnewswire.com/news-releases/permian-basin-royalty-trust-announces-july-cash-distribution-301337306.html
SOURCE Permian Basin Royalty Trust