DALLAS, Aug. 21,
2023 /PRNewswire/ -- Argent Trust Company, 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 $0.024535 per
unit, payable on September 15, 2023,
to unit holders of record on August 31,
2023.
This month's distribution increased slightly from the previous
month primarily due to a decrease in the pricing of both oil and
gas offset by an increase in both oil and gas production on the
Texas Royalty Properties for this month. The Waddell Ranch
Properties did not contribute to the distribution for the month of
June.
WADDELL RANCH
In
reporting June production of the Underlying Properties for this
month's press release, production for oil volumes was 232,996
(gross) and was priced at about $68.45 per bbl. Production for gas volumes
(including gas liquids) was 782,776 Mcf (gross) and was priced at
about $1.10 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 $16,008,164 (gross) for
June. Lease Operating Expenses were $4,575,594 (gross) and Capital Expenditures
(CAPEX) were $10,081,006 (gross) for
June, netting to a positive Net Profit Interest (NPI) of
$1,351,564. This would put the
trust's proceeds of 75% as a positive $1,013,673 (net), decreasing the cumulative
deficit 9to a negative $(1,762,024.69) for the month of June. For the
month of June, there was a decrease of CAPEX relating specifically
to the 2023 budgeted projects, with fracking costs declining from
last month to this month, along with other capital budget items
resulted in a decrease to CAPEX. Given that if current oil and gas
pricing continues, Waddell Ranch may
or may not be able to continue to contribute to the distribution in
the foreseeable future, to cover the ongoing CAPEX budget.
The Waddell Ranch Properties NPI did not contribute to this
month's distribution.
First sales received for the month of June 2023 wells were as follows: (all net to the
Trust), 2.6 new drill wells, including 1.5 horizontal wells, 3.8
recompleted wells. Waiting on completion, as of 6/30/2023, were 2.6
drill wells, including 0.8 horizontal wells and 6.0 recompletion
wells. Also, 0.4 wells, plugged and abandoned, were completed.
Blackbeard has provided the projected 2023 capital expenditure
budget for the Waddell Ranch Properties to be an estimated
$96.8 million (net to the Trust) with
a projection of about 30.75 new drill wells and 45 recompletions
along with about 37.5 plug and abandoned wells. At this point in
time, approximately 42% of that budget has been incurred.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 19,131 barrels of oil and 23,417 Mcf of gas.
The production for the Trust's allocated portion of the Texas
Royalties was 17,105 barrels of oil and 20,986 Mcf of gas. The
average price for oil was $69.48
per bbl and for gas was $3.53
which includes significant NGL pricing per Mcf. This would
primarily reflect production and pricing for the month of June for
oil and the month of May 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 $1,411,994.
Deducted from these were taxes of $139,675 resulting in a Net Profit of
$1,272,319 for the month
of June. 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 $1,208,703 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
|
232,996
|
782,776
|
174,747
|
587,082*
|
$68.45
|
$1.10**
|
Texas
Royalties
|
19,131
|
23,417
|
17,105
|
20,986*
|
$69.48
|
$3.53**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
235,077
|
839,630
|
176,308
|
629,723*
|
$69.38
|
$0.24**
|
Texas
Royalties
|
15,730
|
12,872
|
13,926
|
11,412*
|
$73.01
|
$5.79
|
|
*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
$74,344 resulting in a distribution
of $1,143,576 to 46,608,796 units
outstanding, or $0.024535 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 2022 Annual Report with Form 10-K and the January 1, 2023 Reserve Summary are posted 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.
Contact: Ron Hooper, Senior Vice President,
Argent Trust Company, Trustee, Toll Free – 1.855.588.7839
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SOURCE Permian Basin Royalty Trust