DALLAS, Sept. 19,
2023 /PRNewswire/ -- Argent Trust Company, 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 $0.022414 per
unit, payable on October 16, 2023, to
unit holders of record on September 29,
2023.
This month's distribution decreased slightly from the previous
month primarily due to a decrease in the production of both oil and
gas offset by an increase in pricing of both oil and gas on the
Texas Royalty Properties for this month. The Waddell Ranch
Properties did not contribute to the distribution for the month of
July.
WADDELL RANCH
In reporting July production of the Underlying Properties for
this month's press release, production for oil volumes was 255,430
(gross) and was priced at about $74.19 per bbl. Production for gas volumes
(including gas liquids) was 929,763 Mcf (gross) and was priced at
about $1.96 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 $19,774,182 (gross) for
July. Lease Operating Expenses were $4,906,666 (gross) and Capital Expenditures
(CAPEX) were $12,802,452 (gross) for
July, netting to a positive Net Profit Interest (NPI) of
$2,065,063. This would put the
trust's proceeds of 75% as a positive $1,548,797 (net), decreasing the cumulative
deficit to a negative $(213,227) for
the month of July. For the month of July, there was an increase of
CAPEX relating specifically to the 2023 budgeted projects, with
fracking costs increasing from last month to this month, along with
other capital budget items resulted in an increase to CAPEX. Given
that if current oil and gas pricing continues, Waddell Ranch may or may not be able to continue
to contribute to the distribution in the foreseeable future, to
cover the ongoing CAPEX budget. The Waddell Ranch Properties
NPI did not contribute to this month's distribution.
First sales received for the month of July 2023 wells were as follows: (all net to the
Trust), 2.3 new drill wells, including 0.75 horizontal wells, 6.0
recompleted wells. Waiting on completion, as of 7/31/2023, were 2.3
drill wells, including 1.1 horizontal wells and 5.3 recompletion
wells. Also, 2.3 wells, plugged and abandoned, were completed.
Blackbeard has provided the projected 2023 capital expenditure
budget for the Waddell Ranch Properties to be an estimated
$96.8 million (net to the Trust) with
a projection of about 30.75 new drill wells and 45 recompletions
along with about 37.5 plug and abandoned wells. At this point
in time, approximately 58% of that budget has been incurred.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the Texas Royalties
was 16,680 barrels of oil and 18,376 Mcf of gas. The production for
the Trust's allocated portion of the Texas Royalties was 14,811
barrels of oil and 16,325 Mcf of gas. The average price for oil was
$72.23 per bbl and for gas was
$3.88 which includes significant NGL
pricing per Mcf. This would primarily reflect production and
pricing for the month of July for oil and the month of June 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
$1,276,069. Deducted from these were
taxes of $141,364 resulting in a Net
Profit of $1,134,705 for the month
of July. 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 $1,077,970 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
|
255,430
|
929,763
|
191,573
|
697,322*
|
$74.19
|
$1.96**
|
Texas
Royalties
|
16,680
|
18,376
|
14,811
|
16,325*
|
$72.23
|
$3.88**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
232,996
|
782,776
|
174,747
|
587,082*
|
$68.45
|
$1.10**
|
Texas
Royalties
|
19,131
|
23,417
|
17,105
|
20,986*
|
$69.48
|
$3.53**
|
*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
$39,799 resulting in a distribution
of $1,044,721 to 46,608,796 units
outstanding, or $0.022414 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 2022 Annual Report with Form 10-K and the January 1, 2023 Reserve Summary are posted 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,
Argent Trust Company, Trustee, Toll Free – 1.855.588.7839
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SOURCE Permian Basin Royalty Trust