DALLAS, April 20, 2021 /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
$0.018156 per unit, payable on
May 14, 2021, to unit holders of
record on April 30, 2021.
This month's distribution increased slightly from the previous
month as the result of increased prices for both oil and gas offset
by decreased production on the Waddell Properties due to the end of
the February and weather-related outage. The Trust was advised by
Blackbeard that the Waddell Ranch properties were in a deficit of
$460,647 for the month of February
with the deficit increasing to be recovered to $8.0 million in the months to come. The
Texas Royalty Properties reflected an increase in both oil and gas
production along with an increase in both oil and gas
pricing. This reflects the production month of
February.
WADDELL RANCH
In reporting February production of the
Underlying Properties for this month's press release, production
for oil volumes was 50,757 bbls and was priced at about
$58.09 per bbl. Production for
gas volumes (including gas liquids) was 190,570 mcf and was priced
at about $2.28 per mcf. Net
revenue for the underlying properties of the Waddell ranch was
$3,283,121 for February. Lease
Operating Expenses were $2,069,051
and Capital Expenditures were $1,828,265 for February. This would put the
Trust's proceeds as a profit of $(460,647) for the month of February, leaving an
excess cost deficit cumulative of $8.0
million.
Blackbeard Operating has advised the Trust of the 2020 capital
budget of $10.4 million(gross)
results for the Waddell Ranch reflecting 16 (gross) drill wells
completed, with 4 (gross) drill wells in progress of 12/31/20 and 4 (gross) workovers in progress as
of 12/31/20. Resulting production from these new wells for 5
months production through the December 31,
2020 were 47,374 barrels (gross) of oil and 60,712 mcf
(gross) of gas, the Trust's portions, respectfully, were 17,765
barrels of oil and 22,767 mcf of gas. There were 21 (gross)
plugged and abandoned wells for 2020.
Blackbeard Operating has advised the Trust of the 2021 capital
budget of $86.6 million (gross),
($32.5 million net to the Trust) for
the Waddell Ranch proposing 91 (gross) drill wells, with 24 (gross)
recompletions.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 19,947 of oil and 12,461 Mcf of gas. The
production for the Trust's allocated portion of the Texas Royalties
was 17,556 barrels of oil and 10,948 of gas. The average
price for oil was $52.80 per bbl and
for gas was $5.89 per Mcf. This
would primarily reflect production and pricing for the month of
February for oil and the month of January 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 $1,126,585. Deducted from these were taxes
of $120,585 resulting in a Net Profit
of $1,006,000 for the month of
February. 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 $955,700 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
|
50,757
|
190,570
|
38,068
|
142,928*
|
$58.09
|
$2.28**
|
Texas
Royalties
|
19,947
|
12,461
|
17,556
|
10,948*
|
$52.80
|
$5.89**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
61,828
|
218,264
|
46,371
|
163,653*
|
$50.16
|
$2.20**
|
Texas
Royalties
|
16,211
|
8,828
|
13,882
|
7,560*
|
$49.13
|
$5.68**
|
*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
$109,902 resulting in a distribution
of $846,238 to 46,608,796 units
outstanding, or $0.018156 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, 2021, attributable to the Trust from
the properties appraised are approximately 4.5 million barrels of
oil and 6.4 billion cubic feet of gas with a future net value of
approximately $170,446,000 with a discounted value of
$80,091,000.
With the estimated quantities of this year's reserve estimate of
4.5 million barrels of oil and 6.4 billion cubic feet of gas
remaining, it could be estimated that the Trust still has a life
span of 9 to 11 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 2020 Annual Report with Form 10-K and the January 1, 2021 Reserve Summary will be available
on Permian's website by May 1st. 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.
View original
content:http://www.prnewswire.com/news-releases/permian-basin-royalty-trust-announces-april-2021-cash-distribution-and-2021-reserve-quantities-301273120.html
SOURCE Permian Basin Royalty Trust