DALLAS, June 17,
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 $0.091662 per
unit, payable on July 15, 2022, to
unit holders of record on June 30,
2022.
This month's distribution increased from the previous month as
the result of primarily an increase in the pricing received for the
current month from both the Texas Royalty Properties and now the
Waddell Ranch properties during the month of April. This month
marks the second contribution from Blackbeard relating to the
Waddell Ranch properties. Previously, only the Texas Royalty
Properties were contributing to the monthly distribution.
WADDELL RANCH
In reporting April production of the Underlying Properties for
this month's press release, production for oil volumes was 181,207
(gross) and was priced at about $103.74 per bbl. Production for gas volumes
(including gas liquids) was 475,410 Mcf (gross) and was priced at
about $5.61 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 $20,324,483 (gross) for
April. Lease Operating Expenses were $4,204,819 (gross) and Capital Expenditures were
$12,316,557 (gross) for April,
netting to the Net Profit Interest (NPI) of $3,803,108. This would put the Trust's proceeds
of 75% as a positive $2,852,331 (net)
for the month of April, to contribute to this month's distribution.
Given that if current oil and gas pricing continues, Waddell Ranch
could continue to contribute to the distribution in the foreseeable
future.
First sales received for the month of April 2022 wells were as follows: (all net to the
Trust), 4.1 new drill wells, including 1.1 horizontal well, 3.8
recompleted wells. Waiting on completion, as of 4/30/2022, were 3.8
drill wells, including 1.1 horizontal well and 4.9 recompletion
wells. Also, 1 well plugged and abandoned was 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 projected 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 14,412 barrels of oil and 9,573 Mcf of gas. The production for
the Trust's allocated portion of the Texas Royalties was 13,030
barrels of oil and 8,636 Mcf of gas. The average price for oil was
$108.42 per bbl and for gas was
$13.76 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 $1,694,200. Deducted
from these were taxes of $122,848
resulting in a Net Profit of $1,571,353 for the month of April. 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 $1,492,785 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
|
181,207
|
475,410
|
135,905
|
356,558*
|
$103.74
|
$5.61**
|
Texas
Royalties
|
14,412
|
9,573
|
13,030
|
8,636*
|
$108.42
|
$13.76**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
167,065
|
451,967
|
125,299
|
338,975*
|
$108.35
|
$7.37**
|
Texas
Royalties
|
17,501
|
8,790
|
15,892
|
7,973*
|
$101.38
|
$12.98**
|
*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
$73,654 resulting in a distribution
of $4,272,280 to 46,608,796 units
outstanding, or $0.091662 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 Basin Royalty Trust, as it does after the end of each
year, had a year-end Reserve Report prepared in accordance with the
Securities and Exchange Commission's requirements. This report
provides an evaluation of the estimated asset value as of
December 31 of each year, which can
be used to estimate the remaining life of the Trust.
The estimated net proved reserves, as of January 1, 2022, attributable to the Trust from
the properties appraised are approximately 6.6 million barrels of
oil and 11.3 billion cubic feet of gas with a future net value of
approximately $465,149,000 with a
discounted value of $259,855,000.
With the estimated quantities of this year's reserve estimate of
6.6 million barrels of oil and 11.3 billion cubic feet of gas
remaining, it could be estimated that the Trust still has a life
span of 8 to 10 years. The report is an exhibit to the Trust's
Annual Report on Form 10-K that was filed on March 31, 2021 and is available to all
unitholders at this time on the SEC website.
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