RED BANK, N.J., Feb. 15, 2019 /PRNewswire/ -- North European
Oil Royalty Trust (NYSE-NRT) reported the net income for the first
quarter of fiscal 2019 which appears in the table below compared to
net income for the first quarter of fiscal 2018. Total
royalty income includes adjustments made by the operating companies
to reflect their corrected royalty calculations for prior periods
as well as the inclusion or absence of Mobil sulfur
royalties. The total adjustments for the first quarter of
fiscal 2019 increased total royalty income by $54,796. By comparison, in the first
quarter of fiscal 2018, total adjustments decreased total royalty
income by $129,582.
|
1st Fiscal
Quarter
Ended
1/31/2019
|
1st Fiscal
Quarter
Ended
1/31/2018
|
Percentage
Change
|
Total Royalty
Income
|
$2,303,000
|
$1,770,241
|
+
30.10%
|
Net Income
|
$2,037,785
|
$1,495,086
|
+
36.30%
|
Distributions per
Unit
|
$0.22
|
$0.17
|
+
29.41%
|
The Trust receives nearly all of its royalties under two royalty
agreements. The Mobil Agreement, the higher royalty rate
agreement, covers gas sales from the western half of the Oldenburg
concession. The OEG Agreement, the lower royalty rate
agreement, covers gas sales from the entire Oldenburg
concession. The factors determining the amount of gas
royalties payable under the two agreements from the preceding
calendar quarter are shown in the table below comparing the fourth
calendar quarters of 2018 and 2017. Further details will be
available in the Trust's 10-Q filing available through the SEC or
on the Trust's website, www.neort.com, on or about February 27, 2019.
|
Quarterly Gas Data
Providing Basis for Fiscal Quarter Royalties
|
Mobil
Agreement
|
4th
Calendar Quarter
Ended
12/31/2018
|
4th
Calendar Quarter
Ended
12/31/2017
|
Percentage
Change
|
Gas Sales
(Bcf1)
|
5.535
|
5.660
|
-
2.21%
|
Gas
Prices2 (Ecents/kWh3)
|
2.0582
|
1.6593
|
+ 24.04%
|
Average Exchange
Rate4
|
1.1349
|
1.1965
|
-
5.15%
|
Gas
Royalties
|
$1,484,635
|
$1,278,038
|
+
16.17%
|
|
|
|
|
OEG
Agreement
|
|
|
|
Gas Sales
(Bcf)
|
17.536
|
18.150
|
-
3.38%
|
Gas Prices
(Ecents/kWh)
|
2.0989
|
1.6921
|
+ 24.04%
|
Average Exchange
Rate
|
1.1352
|
1.2008
|
-
5.46%
|
Gas
Royalties
|
$649,180
|
$540,669
|
+ 20.07%
|
|
1 Billion
cubic feet 2 Gas prices derived from
August-October period 3 Euro cents per
kilowatt
hour 4
Based on average Euro/dollar exchange rates of cumulative royalty
transfers
|
Trust expenses for the first quarter of fiscal 2019 decreased
3.26%, or $9,025, to $267,601 from $276,626 for the first quarter of fiscal
2018. The decrease in expenses reflects shifts in the timing
of payments relating to both the biennial examination of the
royalty statements by the Trust's German accountants and the work
done by the Trust's petroleum consultant, Graves & Co.
Consulting LLC.
The previously declared distribution of 22 cents per unit will be paid on February 27, 2019 to owners of record as of
February 15, 2019. For further
information, contact John R. Van
Kirk, Managing Director, at (732) 741-4008 or via e-mail at
jvankirk@neort.com. The Trust's press releases and other
pertinent information are available on the Trust's website:
www.neort.com.
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SOURCE North European Oil Royalty Trust