DALLAS, June 18, 2019 /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 $0.039700 per unit, payable on July 15, 2019, to unit holders of record on
June 28, 2019.
This month's distribution increased from the previous month due
primarily to an increase of oil production and gas
production. This reflects the production month of
April. Oil pricing increased, offset by a decline in pricing
for gas on the Waddell Ranch. Capital Expenditures declined
to reflect less activity due to the completion of drilling of the
additional wells on the Waddell Ranch Properties. Lease
Operating Expenses (LOE) for the Waddell Ranch properties increased
this month to reflect the resulting additional work being
performed. The Texas Royalty Properties saw an increase in
the production of oil and gas, primarily due to the timing of
receipt of payment of certain revenue due to some changes in lease
operators. This was in addition to an increase in pricing for
oil and gas production for the Texas Royalty Properties.
WADDELL RANCH
Production for the underlying properties
at the Waddell Ranch was 51,588 barrels of oil and 266,216 Mcf of
gas. The production for the Trust's allocated portion of the
Waddell Ranch was 13,515 barrels of oil and 70,218 Mcf of
gas. The average price for oil was $62.05 per bbl and for gas was $2.09 per Mcf. This would primarily reflect
production and pricing for the month of April for oil and the month
of March 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
$3,757,784. Deducted from these
would be the Lease Operating Expense (LOE) of $2,020,254, taxes of $265,776 and Capital Expenditures (CAPEX) of
$217,390 totaling $2,503,420 resulting in a Net Profit of
$1,254,364 for the month of
May. 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 $940,773 to this month's distribution.
ConocoPhillips has advised the Trust of the 2019 budget for the
Waddell Ranch reflecting 2 new drill wells into the Wolfcamp
formation at an estimated $2.5
million, gross, ($1.2 million
net to the Trust), including $1.7
million, gross, ($.8 million
net to the trust), of 2018 carryover budget, anticipated to be
completed in early 2019. Also, base well work of $1.6 million, gross, ($0.7
million net to the trust) and facilities work of
$4.2 million, gross, ($1.8 million net to the Trust) bringing a total
of $6.6 million, gross, ($2.97 million to the trust) of drilling and
projects for 2019. There are no recompletions planned for the
year of 2019.
|
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
|
51,588
|
266,216
|
13,515
|
70,218*
|
$62.05
|
$2.09**
|
Texas
Royalties
|
20,794
|
23,871
|
17,963
|
20,613*
|
$58.35
|
$6.60**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
52,548
|
274,457
|
12,051
|
64,726*
|
$56.15
|
$2.41**
|
Texas
Royalties
|
20,236
|
11,913
|
17,096
|
10,063*
|
$51.88
|
$6.50**
|
*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 20,794 barrels of oil and 23,871 Mcf of
gas. The production for the Trust's allocated portion of the
Texas Royalties was 17,963 barrels of oil and 20,613 of gas.
The average price for oil was $58.35
per bbl and for gas was $6.60 per
Mcf. This would primarily reflect production and pricing for
the month of April for oil and the month of March 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 $1,370,798. Deducted from these were taxes
of $168,193 resulting in a Net Profit
of $1,202,605 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 $1,142,474.97 to
this month's distribution.
General and Administrative Expenses deducted for the month were
$234,057 resulting in a distribution
of $1,850,400 to 46,608,796 units
outstanding, or $0.039700 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.
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 its website
at http://www.pbt-permian.com/.
View original
content:http://www.prnewswire.com/news-releases/permian-basin-royalty-trust-announces-june-cash-distribution-300870199.html
SOURCE Permian Basin Royalty Trust