DALLAS, Nov. 18,
2022 /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 $0.080997 per unit, payable on December 14, 2022, to unit holders of record on
November 30, 2022.
This month's distribution decreased from the previous month as
the result of primarily a decrease in production and pricing for
both oil and gas for the Waddell Ranch and Texas Royalty Properties
during the month of September. Also, an increase in CAPEX for
the Waddell Ranch as year-end activity to complete the 2022
budgeted projects reduced the amount of NPI for the month of
September.
WADDELL RANCH
In reporting September production of the
Underlying Properties for this month's press release, production
for oil volumes was 193,588 (gross) and was priced at about
$84.39 per bbl. Production for
gas volumes (including gas liquids) was 717,133 Mcf (gross) and was
priced at about $7.42 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 $20,428,441 (gross)
for September. Lease Operating Expenses were $3,415,807 (gross) and Capital Expenditures
(CAPEX) were $13,833,565 (gross) for
September, netting to the Net Profit Interest (NPI) of $3,179,068. This would put the trust's proceeds
of 75% as a positive $2,384,301 (net)
for the month of September, to contribute to this month's
distribution. For the month of September, there was a
significant increase of CAPEX relating to specifically completing a
number of horizontal wells in the 2022 budget. Given that if
current oil and gas pricing continues, Waddell Ranch should
continue to contribute to the distribution in the foreseeable
future.
First sales received for the month of September 2022 wells were as follows: (all net to
the Trust), 3.4 new drill wells, including 1.5 horizontal wells,
2.6 recompleted wells. Waiting on completion, as of
9/30/2022, were 4.9 drill wells, including 1.1 horizontal wells and
1.9 recompletion wells. Also, 1.9 wells, plugged and
abandoned, were completed.
Blackbeard has advised the Trustee of the projected 2022 capital
expenditure budget for the Waddell Ranch Properties to be an
estimated $92 million (net to the
Trust) with a projection of about 47 new drill wells and 45
recompletions along with about 19 plug and abandoned wells.
Of the new drill wells, about 13 will be horizontal drills and
about 34 vertical drill wells.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 17,441 barrels of oil and 4,152 Mcf of
gas. The production for the Trust's allocated portion of the
Texas Royalties was 15,725 barrels of oil and 3,740 Mcf of
gas. The average price for oil was $89.18 per bbl and for gas was $20.59 which includes significant NGL pricing per
Mcf. This would primarily reflect production and pricing for
the month of September for oil and the month of August 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 $1,640,846. Deducted from these were taxes
of $151,281 resulting in a Net Profit
of $1,489,565 for the month
of September. 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 $1,415,087 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
|
193,588
|
717,133
|
145,191
|
537,850*
|
$84.39
|
$7.42**
|
Texas
Royalties
|
17,441
|
4,152
|
15,725
|
3,740*
|
$89.18
|
$20.59**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
196,937
|
726,510
|
147,703
|
544,883*
|
$95.03
|
$8.91**
|
Texas
Royalties
|
22,819
|
14,598
|
20,858
|
13,319*
|
$90.50
|
$9.52**
|
|
*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
$38,071 resulting in a distribution
of $3,775,186 to 46,608,796 units
outstanding, or $0.080997 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 2021 Annual Report with Form 10-K and the January 1, 2022 Reserve Summary is 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.
Contact: Ron Hooper, Senior Vice
President, Simmons Bank, Trustee,
Toll Free – 1.855.588.7839
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SOURCE Permian Basin Royalty Trust