DALLAS, March 20, 2020 /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 $0.033837 per unit, payable on April 14, 2020, to unit holders of record on
March 31, 2020.
This month's distribution decreased from the previous month due
primarily to a decrease in production in both oil and gas for both
Waddell Ranch and the Texas Royalty Properties. Pricing for
oil and gas production declined for the month on the Waddell Ranch,
offset by a slight increase in pricing for both oil and gas
production for the Texas Royalty Properties. This reflects the
production month of December.
WADDELL RANCH
Production for the underlying properties at the Waddell Ranch
was 49,607 barrels of oil and 282,940 Mcf of gas.
production for the Trust's allocated portion of the Waddell Ranch
was 11,878 barrels of oil and 55,661 Mcf of gas. The average
price for oil was $55.63 per bbl and
for gas was $0.56 per Mcf. This
would primarily reflect production and pricing for the month of
January for oil and the month of December 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
$2,919,433. Deducted from these
would be the Lease Operating Expense (LOE) of $1,706,872, taxes of $232,773 and Capital Expenditures (CAPEX) of
$102,466 totaling $2,042,111 resulting in a Net Profit of
$877,322 for the month of
February. 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 $657,992 to this month's distribution.
ConocoPhillips has advised the Trust of the 2020 budget for the
Waddell Ranch reflecting no new drill wells on the Waddell
Ranch. Also, base well work of $700,000, gross, ($300,000 net to the trust) and facilities work of
$700,000, gross, ($300,000 net to the Trust) bringing a total of
$1.4 million, gross, ($600,000 to the trust) of projects for 2020.
There are no recompletions planned for the year of 2020.
|
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
|
49,607
|
282,940
|
11,878
|
55,661*
|
$55.63
|
$.56**
|
Texas
Royalties
|
21,133
|
13,293
|
18,338
|
11,467*
|
$58.84
|
$5.85**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
49,299
|
281,640
|
16,614
|
91,367*
|
$60.15
|
$1.00**
|
Texas
Royalties
|
22,232
|
14,854
|
19,096
|
12,767*
|
$55.47
|
$4.48**
|
|
|
*
|
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 21,133 barrels of oil and 13,293 Mcf of gas. The
production for the Trust's allocated portion of the Texas Royalties
was 18,338 barrels of oil and 11,467 of gas. The average
price for oil was $58.84 per bbl and
for gas was $5.85 per Mcf. This
would primarily reflect production and pricing for the month of
January for oil and the month of December 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 $1,321,188. Deducted from these were taxes
of $165,474 resulting in a Net Profit
of $1,155,714 for the month of
February. 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 $1,097,928
to this month's distribution.
General and Administrative Expenses deducted for the month were
$180,361 resulting in a distribution
of $1,577,119 to 46,608,796 units
outstanding, or $0.033837 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 2019 tax information packets were mailed directly to unit
holders in early March 2020. A copy of the 2019 tax
information booklet has been posted on Permian's website. In
addition to the tax booklet the Permian website also offers two
simple calculators for computing the income and expense amounts and
the cost depletion. Both calculators have been updated for
2019 tax reporting.
Permian's cash distribution history, current and prior year
financial reports, including a summary of reserves as of 1/1/2019,
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/.
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SOURCE Permian Basin Royalty Trust