DALLAS, March 21,
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 $0.023556 per
unit, payable on April 14, 2023, to
unit holders of record on March 31,
2023.
This month's distribution decreased from the previous month
primarily as the result of a decrease in the pricing of gas offset
by an increase in pricing for oil and an increase in both oil and
gas production for the Waddell Ranch and Texas Royalty Properties
during the month of January. Also, an increase in CAPEX for the
Waddell Ranch as year-end activity to complete the 2022 budgeted
projects decreased the amount of NPI for the month of January.
WADDELL RANCH
In reporting January production of the
Underlying Properties for this month's press release, production
for oil volumes was 219,010 (gross) and was priced at about
$74.94 per bbl. Production for gas
volumes (including gas liquids) was 792,625 Mcf (gross) and was
priced at about $2.12 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 $17,266,735 (gross) for
January. Lease Operating Expenses were $3,508,365 (gross) and Capital Expenditures
(CAPEX) were $14,307,350 (gross) for
January, netting to a negative Net Profit Interest (NPI) of
$(548,980). This would put the
trust's proceeds of 75% as a negative $(411,735) (net) for the month of January, to
contribute to this month's distribution. For the month of January,
there was an increase of CAPEX relating specifically to completing
a number of wells in the 2022 budget. 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.
First sales received for the month of January 2023 wells were as follows: (all net to
the Trust), 3.0 new drill wells, including 0.4 horizontal wells,
3.0 recompleted wells. Waiting on completion, as of 1/31/2023, were
3.8 drill wells, including 1.1 horizontal wells and 2.3
recompletion wells. Also, 3.0 wells, plugged and abandoned, were
completed.
Blackbeard has again revised 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. This
revision of the previously announced budget is the result reviewing
the current and future activity of the industrial environment of
the Waddell Ranch.
TEXAS ROYALTY
PROPERTIES
Production for the underlying properties at the
Texas Royalties was 19,062 barrels of oil and 20,617 Mcf of gas.
The production for the Trust's allocated portion of the Texas
Royalties was 17,134 barrels of oil and 18,518 Mcf of gas. The
average price for oil was $75.67 per
bbl and for gas was $5.13 which
includes significant NGL pricing per Mcf. This would primarily
reflect production and pricing for the month of January for oil and
the month of December 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 $1,548,264.
Deducted from these were taxes of $150,113 resulting in a Net Profit of
$1,398,151 for the month
of December. 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 $1,328,244
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
|
219,010
|
792,625
|
164,258
|
594,469*
|
$74.94
|
$2.12**
|
Texas
Royalties
|
19,062
|
20,617
|
17,134
|
18,518*
|
$75.67
|
$5.13**
|
|
|
|
|
|
|
|
Prior
Month
|
|
|
|
|
|
|
Waddell
Ranch
|
204,289
|
788,523
|
153,217
|
591,392*
|
$74.58
|
$3.67**
|
Texas
Royalties
|
18,073
|
20,824
|
18,095
|
20,864*
|
$79.38
|
$5.83**
|
|
*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
$235,106 resulting in a distribution
of $1,097,932 to 46,608,796 units
outstanding, or $0.023556 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 tax information packets were mailed directly to unit
holders in early March 2023. A copy
of Permian's 2022 tax information booklet is available on Permian's
website. In addition to the tax booklet the Permian website also
offers two simple calculators for computing the income and expense
amounts and the cost depletion. Both the income and expense and the
depletion calculators are updated for 2022 tax reporting.
The 2022 Annual Report with Form 10-K and the January 1, 2023 Reserve Summary are anticipated
to be available on Permian's website around mid-April. 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