DALLAS, Jan. 7, 2022 /PRNewswire/ -- Simmons Bank, as Trustee of the Sabine Royalty
Trust (NYSE: SBR), today declared a cash distribution to the
holders of its units of beneficial interest of $0.876810 per unit, payable on January 31, 2022, to unit holders of record on
January 18, 2022. Sabine's cash
distribution history, current and prior year financial reports and
tax information booklets, a link to filings made with the
Securities and Exchange Commission and more can be found on its
website at http://www.sbr-sabine.com/. Additionally,
printed reports can be requested and are mailed free of charge.
This distribution reflects primarily the oil production for
October 2021 and the gas production
for September 2021. Preliminary production volumes are
approximately 71,882 barrels of oil and 2,249,986 Mcf of gas.
Preliminary prices are approximately $78.95 per barrel of oil and $4.09 per Mcf of gas.
This month's distribution is significantly higher than previous
primarily due to two factors, higher pricing for both oil and gas
and the extraordinary receipt of $4.1
million from new producing horizontal wells in Panola County, Texas.
This revenue reflects new production from 8 new producing gas
wells starting mid-June through September production. They were
averaging about 1,300 mcf per day per well totaling over 1.1
million mcf during this time frame with an average pricing of
$3.74 per mcf. As more regular
monthly receipts are made in the months to come, additional
information will be made available.
The table below compares this month's production and prices to
the previous month's:
|
|
Net to Trust
Sales
|
|
|
|
|
Volumes
|
|
Average
Price
|
|
|
Oil (bbls)
|
|
Gas (Mcf)
|
|
Oil
(per bbl)
|
|
Gas
(per Mcf)
|
|
|
|
|
|
|
|
|
|
Current
Month
|
|
71,882
|
|
2,249,986
|
|
$78.95
|
|
$4.09
|
|
|
|
|
|
|
|
|
|
Prior
Month
|
|
46,382
|
|
725,857
|
|
$68.76
|
|
$3.81
|
|
|
|
|
|
|
|
|
|
|
|
Revenues are only distributed after they are received, verified
and posted. Most energy companies normally issue payment of
royalties on or about the 25th of every month, and
depending on mail delivery, a varying amount of royalties are not
received until after the revenue posting on the last business day
of the month. The revenues received after that date will be posted
within 30 days of receipt.
During the month of December, the respective
shelter-at-home/work-from-home orders across the spectrum of the
industry has significantly affected the posting of revenues for the
Trust, until the following month of January. As adjustments
are made accordingly, the functions of the Trust are still being
performed, although on a delayed basis. We will continue to
strive to make the operations of the Trust and its providers, as
fluid as possible.
Due to the timing of the end of the month of December,
approximately $1,167,693 of revenue
received will be posted in the following month of January in
addition to normal receipts during January. Since the close of
business in December and prior to this press release, $2,519,000 in revenue has been received.
Approximately $426,000 for 2021 Ad
Valorem taxes was deducted from this month's distribution as
compared to $248,000 this time last
year. These payments are normal expenditures at this time of
year.
The 2021 tax information packets are expected to begin mailing
directly to unitholders in early March
2022. A copy of Sabine's
2021 tax information booklet will be posted on Sabine's website by March 1, 2022. In addition to the tax booklet the
Sabine website will also offer two
simple calculators for computing the income and expense amounts and
the cost depletion. The calculators are currently expected to
be updated with the 2021 tax information by February 28, 2022.
The 2020 Annual Report with Form 10-K and the January 1, 2021 Reserve Summary are now available
on the Sabine website at
http://www.sbr-sabine.com/.
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SOURCE Sabine Royalty Trust