PART I — FINANCIAL INFORMATION This section presents the unaudited condensed financial statements for Sabine Royalty Trust, prepared on a modified cash basis, not GAAP, as permitted by the SEC [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed financial statements for Sabine Royalty Trust, prepared on a modified cash basis, not GAAP, as permitted by the SEC - **The condensed financial statements are unaudited and prepared by Argent Trust Company, as Trustee, with certain information and footnote disclosures condensed or omitted per SEC rules**[8](index=8&type=chunk) - **The financial statements are prepared on a modified cash basis of accounting, not in conformity with GAAP, as permitted for royalty trusts by SEC Staff Accounting Bulletin Topic 12:E**[33](index=33&type=chunk)[34](index=34&type=chunk) [Condensed Statements of Assets, Liabilities, and Trust Corpus](index=4&type=section&id=Condensed%20Statements%20of%20Assets%20%2C%20Liabilities%2C%20and%20Trust%20Corpus) Condensed Statements of Assets, Liabilities, and Trust Corpus (June 30, 2025 vs. December 31, 2024) | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------------------------ | :------------ | :---------------- | | Cash and short-term investments | $7,889,388 | $9,169,742 | | Royalty interests in oil and gas properties (net) | $74,351 | $80,619 | | **Total Assets** | **$7,963,739** | **$9,250,361** | | Trust expenses payable | $250,620 | $311,784 | | Other payables | $505,365 | $231,645 | | **Total liabilities** | **$755,985** | **$543,429** | | Trust corpus | $7,207,754 | $8,706,932 | | **Total Liabilities and Trust Corpus** | **$7,963,739** | **$9,250,361** | [Condensed Statements of Distributable Income (Unaudited)](index=5&type=section&id=Condensed%20Statements%20of%20Distributable%20Income) Condensed Statements of Distributable Income (Three Months Ended June 30) | Metric | 2025 | 2024 | Change (YoY) | | :------------------------------------ | :----------- | :----------- | :----------- | | Royalty income | $18,583,570 | $22,607,108 | -$4,023,538 | | Interest income | $119,730 | $175,353 | -$55,623 | | Total Income | $18,703,300 | $22,782,461 | -$4,079,161 | | General and administrative expenses | ($914,305) | ($703,464) | -$210,841 | | **Distributable income** | **$17,788,995** | **$22,078,997** | **-$4,290,002** | | Distributable income per unit | $1.22 | $1.51 | -$0.29 | Condensed Statements of Distributable Income (Six Months Ended June 30) | Metric | 2025 | 2024 | Change (YoY) | | :------------------------------------ | :----------- | :----------- | :----------- | | Royalty income | $37,978,136 | $43,365,913 | -$5,387,777 | | Interest income | $226,690 | $327,279 | -$100,589 | | Total Income | $38,204,826 | $43,693,192 | -$5,488,366 | | General and administrative expenses | ($2,269,348) | ($1,692,768) | -$576,580 | | **Distributable income** | **$35,935,478** | **$42,000,424** | **-$6,064,946** | | Distributable income per unit | $2.46 | $2.88 | -$0.42 | [Condensed Statements of Changes in Trust Corpus (Unaudited)](index=7&type=section&id=Condensed%20Statements%20of%20Changes%20in%20Trust%20Corpus) Condensed Statements of Changes in Trust Corpus (Three Months Ended June 30) | Metric | 2025 | 2024 | Change (YoY) | | :-------------------------- | :----------- | :----------- | :----------- | | Trust corpus, beginning | $9,514,016 | $9,987,642 | -$473,626 | | Amortization of royalty interests | ($2,732) | ($5,276) | +$2,544 | | Distributable income | $17,788,995 | $22,078,997 | -$4,290,002 | | Distributions | ($20,092,525) | ($24,360,190) | +$4,267,665 | | **Trust corpus, end of period** | **$7,207,754** | **$7,701,173** | **-$493,419** | | Distributions per unit | $1.38 | $1.67 | -$0.29 | Condensed Statements of Changes in Trust Corpus (Six Months Ended June 30) | Metric | 2025 | 2024 | Change (YoY) | | :-------------------------- | :----------- | :----------- | :----------- | | Trust corpus, beginning | $8,706,932 | $8,558,906 | +$148,026 | | Amortization of royalty interests | ($6,269) | ($10,335) | +$4,066 | | Distributable income | $35,935,478 | $42,000,424 | -$6,064,946 | | Distributions | ($37,428,387) | ($42,847,822) | +$5,419,435 | | **Trust corpus, end of period** | **$7,207,754** | **$7,701,173** | **-$493,419** | | Distributions per unit | $2.57 | $2.94 | -$0.37 | [NOTES TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED)](index=9&type=section&id=Notes%20to%20Condensed%20Financial%20Statements) [1. TRUST ORGANIZATION AND PROVISIONS](index=9&type=section&id=Trust%20Organization%20and%20Provisions) - **Sabine Royalty Trust was established effective December 31, 1982, to receive royalty and mineral interests in oil and gas properties across Florida, Louisiana, Mississippi, New Mexico, Oklahoma, and Texas**[21](index=21&type=chunk) - **Argent Trust Company became the successor trustee effective December 30, 2022**[26](index=26&type=chunk)[27](index=27&type=chunk) - **The Trust is passive, prohibited from engaging in business or acquiring assets other than those initially transferred, and the Trustee makes monthly cash distributions to Unit holders**[28](index=28&type=chunk)[29](index=29&type=chunk) [2. ACCOUNTING POLICIES](index=10&type=section&id=Accounting%20Policies) - **The condensed financial statements are prepared on a modified cash basis, not GAAP, as permitted by SEC Staff Accounting Bulletin Topic 12:E**[33](index=33&type=chunk)[34](index=34&type=chunk) - **Royalty income and interest income are recognized in the month received by the Trust, while amortization of royalty interests reduces Trust corpus, not operating results**[35](index=35&type=chunk) - **The Trust is classified as a grantor trust for federal income tax purposes, meaning income is taxed at the Unit holder level. The One Big Beautiful Bill Act (OBBBA) was signed into law on July 4, 2025, with significant federal income tax provisions effective from 2025 through 2027**[40](index=40&type=chunk)[41](index=41&type=chunk) - **State income taxes apply in Louisiana, Mississippi, New Mexico, and Oklahoma for royalty income, with New Mexico and Oklahoma imposing withholding taxes on non-resident oil and gas proceeds**[44](index=44&type=chunk) [3. DISTRIBUTION TO UNIT HOLDERS](index=12&type=section&id=Distribution%20to%20Unit%20Holders) - **The Monthly Income Amount is determined by cash received from royalties and interest, less liabilities paid and changes in cash reserves, and is distributed to Unit holders of record on the 15th day of each calendar month**[48](index=48&type=chunk) - **The Trustee maintains an expense reserve due to the unusual volatility of oil and natural gas prices**[48](index=48&type=chunk) [4. PAYABLES](index=12&type=section&id=Payables) - **Payables primarily consist of royalty receipts suspended pending verification of ownership interest or title, and amounts reserved for other expenses, which are expected to be paid or released in the normal course of business**[50](index=50&type=chunk) [5. CONTINGENCIES](index=12&type=section&id=Contingencies) - **Unfavorably resolved contingencies related to royalty properties would generally reduce future royalty income payments and corresponding cash distributions to Unit holders**[51](index=51&type=chunk) - **The Trustee is not aware of any such contingent items as of June 30, 2025**[51](index=51&type=chunk) [6. TRUSTEE FEES](index=12&type=section&id=Trustee%20Fees) Trustee and Escrow Agent Fees (Three Months Ended June 30) | Fee Type | 2025 | 2024 | Change (YoY) | | :------------------ | :---------- | :---------- | :----------- | | Trustee Fee | $136,932 | $109,145 | +$27,787 | | Escrow Agent Fee | $410,798 | $327,432 | +$83,366 | | Trustee Bonus Fee | $92,271 | — | +$92,271 | | **Total Fees** | **$640,001** | **$436,577** | **+$203,424** | Trustee and Escrow Agent Fees (Six Months Ended June 30) | Fee Type | 2025 | 2024 | Change (YoY) | | :------------------ | :---------- | :---------- | :----------- | | Trustee Fee | $279,884 | $211,260 | +$68,624 | | Escrow Agent Fee | $839,653 | $633,774 | +$205,879 | | Trustee Bonus Fee | $184,542 | — | +$184,542 | | **Total Fees** | **$1,304,079** | **$845,034** | **+$459,045** | - **A Trustee bonus fee of approximately $31,000 per month is being taken from February 2025 until January 2026, based on 2024 cost savings**[52](index=52&type=chunk) [7. SUBSEQUENT EVENTS](index=13&type=section&id=Subsequent%20Events) Distributions Declared Subsequent to June 30, 2025 | Notification Date | Monthly Record Date | Payment Date | Distribution per Unit | | :---------------- | :------------------ | :----------- | :-------------------- | | July 3, 2025 | July 15, 2025 | July 29, 2025 | $0.345930 | | August 5, 2025 | August 15, 2025 | August 29, 2025 | $0.744730 | [Item 2. Trustee's Discussion and Analysis of Financial Condition and Results of Operations](index=14&type=section&id=Item%202.%20Trustee%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section discusses the Trust's financial condition, liquidity, and operations, highlighting commodity price impact on income and distributions - **The Trust's income and monthly distributions are heavily influenced by volatile commodity prices (oil and natural gas)**[56](index=56&type=chunk) - **Distributable income for the three months ended June 30, 2025, was $17,788,995 ($1.22 per unit), and for the six months ended June 30, 2025, was $35,935,478 ($2.46 per unit)**[58](index=58&type=chunk)[13](index=13&type=chunk)[15](index=15&type=chunk) - **Royalty income decreased by 18% YoY for Q2 2025 and 12% YoY for the six months ended June 30, 2025, primarily due to lower production and oil prices, partially offset by higher natural gas prices**[61](index=61&type=chunk)[63](index=63&type=chunk) [Liquidity and Capital Resources](index=14&type=section&id=Liquidity%20and%20Capital%20Resources) - **The Trust makes monthly distributions of excess royalty income over expenses and is dependent on royalty income for cash flows**[55](index=55&type=chunk) - **The Trust's only long-term assets are royalty interests in oil and gas properties; it does not undertake capital projects or make capital expenditures**[55](index=55&type=chunk) - **Borrowings are permitted if necessary but are not anticipated in the foreseeable future**[55](index=55&type=chunk) [Commodity Prices](index=14&type=section&id=Commodity%20Prices) - **Oil prices showed weakness in early 2024, rose in early 2025, then fell due to weak demand and rising supply, before rallying in May and June 2025**[56](index=56&type=chunk) - **Natural gas markets experienced heightened volatility, with prices rising in Q1 2025 due to colder weather and tight conditions, and further increasing through May and June 2025 due to geopolitical tensions**[56](index=56&type=chunk) - **Factors influencing commodity prices include political conditions, economic/geopolitical conditions, weather, trade barriers, public health concerns, supply/demand, alternative fuels, transportation, energy conservation, and governmental regulation/taxation**[60](index=60&type=chunk) [Results of Operations](index=14&type=section&id=Results%20of%20Operations) - **Distributable income for the three months ended June 30, 2025, was $17,788,995, or $1.22 per unit**[58](index=58&type=chunk) - **Royalty income for Q2 2025 decreased by approximately $4.024 million (18%) YoY, primarily due to decreased oil and natural gas production ($7.1M) and lower oil prices ($2.4M), partially offset by higher natural gas prices ($4.9M) and lower taxes/expenses ($0.5M)**[61](index=61&type=chunk) - **Royalty income for the six months ended June 30, 2025, decreased by approximately $5.388 million (12%) YoY, mainly due to lower production ($4.0M) and oil prices ($6.5M), partially offset by higher natural gas prices ($3.7M), one-time miscellaneous receipts ($0.7M), and lower taxes/expenses ($0.7M)**[63](index=63&type=chunk) Production and Average Realized Prices | Metric | Quarter Ended June 30, 2025 | Quarter Ended June 30, 2024 | Quarter Ended March 31, 2025 | | :-------------------- | :-------------------------- | :-------------------------- | :--------------------------- | | Oil Production (Bbls) | 155,573 | 220,438 | 211,707 | | Gas Production (Mcfs) | 3,046,325 | 3,869,375 | 3,883,612 | | Average Oil Price (per Bbl) | $68.17 | $78.89 | $59.17 | | Average Gas Price (per Mcf) | $3.26 | $1.99 | $2.19 | | Metric | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :-------------------- | :----------------------------- | :----------------------------- | | Oil Production (Bbls) | 367,280 | 394,440 | | Gas Production (Mcfs) | 6,929,937 | 7,804,325 | | Average Oil Price (per Bbl) | $62.98 | $79.47 | | Average Gas Price (per Mcf) | $2.66 | $2.18 | - **General and administrative expenses for Q2 2025 increased by approximately $210,800 YoY, primarily due to higher Escrow Agent/Trustee/Bonus fees and professional services, offset by lower printing expenses**[66](index=66&type=chunk) [Critical Accounting Policies and Estimates](index=16&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) - **There have been no significant changes to the Trust's critical accounting policies during the three months ended June 30, 2025**[71](index=71&type=chunk) [Distributable Income per Unit](index=16&type=section&id=Distributable%20Income%20per%20Unit) - **Basic and diluted distributable income per Unit are the same as there were no equivalent Units outstanding for any period presented**[72](index=72&type=chunk) [New Accounting Pronouncements](index=16&type=section&id=New%20Accounting%20Pronouncements) - **No new accounting pronouncements are expected to have a significant impact on the Trust's financial statements**[73](index=73&type=chunk) [Forward Looking Statements](index=16&type=section&id=Forward%20Looking%20Statements) - **The report includes forward-looking statements subject to numerous risks and uncertainties, including factors affecting oil and gas prices, recoverability of reserves, general economic conditions, and actions of petroleum-producing nations**[74](index=74&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=16&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The Trust has minimal market risk exposure, avoiding derivatives, foreign operations, and long-term debt, with no material interest rate risk - **The Trust does not invest in derivative financial instruments, has no foreign operations, and no long-term debt instruments**[76](index=76&type=chunk) - **Borrowings are limited to paying expenses and are unlikely to be material**[76](index=76&type=chunk) - **The Trustee believes the Trust is not subject to any material interest rate risk due to the short-term nature of its investments and limitations on investment types**[76](index=76&type=chunk) [Item 4. Controls and Procedures](index=16&type=section&id=Item%204.%20Controls%20and%20Procedures) The Trustee concluded the Trust's disclosure controls and procedures are effective, with no material changes to internal control over financial reporting - **The Trustee concluded that the Trust's disclosure controls and procedures are effective as of June 30, 2025**[77](index=77&type=chunk) - **There has been no material change in the Trust's internal control over financial reporting during the period**[77](index=77&type=chunk) - **The Trustee has fully transitioned to and is utilizing the 2013 COSO Internal Control – Integrated Framework for evaluating internal control over financial reporting**[79](index=79&type=chunk) PART II — OTHER INFORMATION [Item 1. Legal Proceedings](index=18&type=section&id=Item%201.%20Legal%20Proceedings) This item states that there are no legal proceedings applicable to the Trust - **Legal proceedings are not applicable to the Trust**[81](index=81&type=chunk) [Item 1A. Risk Factors](index=18&type=section&id=Item%201A.%20Risk%20Factors) This section refers to risk factors detailed in the latest Form 10-K, noting no material changes during the current period - **Risk factors relating to the Trust are contained in Item 1A of the Trust's Annual Report on Form 10-K for the fiscal year ended December 31, 2024**[82](index=82&type=chunk) - **No material change to such risk factors has occurred during the three and six months ended June 30, 2025**[82](index=82&type=chunk) [Item 5. Other Information](index=18&type=section&id=Item%205.%20Other%20Information) The Trust has no directors or officers, thus no Rule 10b5-1 or non-Rule 10b5-1 trading arrangements were adopted or terminated - **The Trust does not have any directors or officers**[83](index=83&type=chunk) - **No Rule 10b5-1 or non-Rule 10b5-1 trading arrangements were adopted or terminated**[83](index=83&type=chunk) [Item 6. Exhibits](index=18&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including the Trust Agreement, amendments, and certifications - **The exhibits include the Sabine Corporation Amended and Restated Royalty Trust Agreement, Amendment No. 1, Sabine Corporation Louisiana Royalty Trust Agreement, and Trustee Certifications (302 and 906 of Sarbanes-Oxley Act)**[85](index=85&type=chunk) [SIGNATURES](index=19&type=section&id=SIGNATURES) - **The report is signed on behalf of Sabine Royalty Trust by Argent Trust Company, as Trustee, through Nancy Willis, Director of Royalty Trust Services**[88](index=88&type=chunk) - **The Trust has no directors or executive officers**[88](index=88&type=chunk)

[Sabine Royalty Trust Form 8-K Filing (July 3, 2025)](index=1&type=section&id=Form%208-K%20Filing) This Form 8-K filing details Sabine Royalty Trust's monthly cash distribution announcement and related exhibits [Monthly Cash Distribution Announcement](index=2&type=section&id=Item%202.02%20Results%20of%20Operations%20and%20Financial%20Condition) Sabine Royalty Trust announced its monthly cash distribution with a specified record date, furnished via press release - The company issued a press release on July 3, 2025, to announce its monthly cash distribution[6](index=6&type=chunk) - The record date for the distribution is set for **July 15, 2025**[6](index=6&type=chunk) - The information furnished in this report is not deemed "filed" under Section 18 of the Securities Exchange Act of 1934 and is not subject to its liabilities[7](index=7&type=chunk) [Exhibits](index=2&type=section&id=Item%209.01%20Financial%20Statements%20and%20Exhibits) The Form 8-K filing includes a single exhibit detailing the monthly cash distribution - The sole exhibit attached to the report is the press release dated **July 3, 2025**, designated as Exhibit 99.1[8](index=8&type=chunk)

Distribution Announcement - Argent Trust Company declared a cash distribution of $0.744730 per unit for the Sabine Royalty Trust, payable on August 29, 2025, to unit holders of record on August 15, 2025 [1] Production and Revenue Details - The distribution reflects oil production for May 2025 and gas production for April 2025, with preliminary production volumes of approximately 121,894 barrels of oil and 1,280,573 Mcf of gas [2] - Preliminary prices for the current month are approximately $69.53 per barrel of oil and $2.77 per Mcf of gas, showing an increase in both production and pricing compared to the previous month [2][3] - The current month's oil production increased significantly from 42,748 barrels in the prior month, while gas production also rose from 940,600 Mcf [3] Revenue Posting and Timing - Revenues are distributed only after being received, verified, and posted, with most energy companies issuing royalty payments around the 25th of each month [4] - Approximately $4,782,450 of revenue received in July will be posted in August, in addition to normal cash receipts for that month [5]

Group 1 - The core appeal of SBR lies in providing monthly cash flow to investors seeking regular income [1] - SBR owns a diversified portfolio of perpetual royalties from both producing and proved undeveloped oil wells [1]

Financial Performance - Distributable income for the three months ended March 31, 2025, was $18,146,483, down from $19,921,427 in the same period of 2024, representing a decrease of about 8.9%[12] - Royalty income decreased to $19,394,566 for the three months ended March 31, 2025, compared to $20,758,805 in 2024, a decline of approximately 6.6%[12] - Interest income for the three months ended March 31, 2025, was $106,960, down from $151,926 in the same period of 2024, representing a decrease of approximately 29.6%[12] - The price of oil fell significantly in early 2025 due to weak demand and increasing supply, impacting distributable income[49] - Royalty income decreased by approximately $1,364,000, or 7%, compared to Q1 2024, primarily due to lower oil and natural gas prices[55] Assets and Liabilities - Total assets increased to $9,955,144 as of March 31, 2025, compared to $9,250,361 on December 31, 2024, reflecting a growth of approximately 7.6%[10] - Total liabilities decreased to $441,128 as of March 31, 2025, down from $543,429 on December 31, 2024, a decline of about 18.8%[10] - Trust corpus at the end of the period was $9,514,016, an increase from $8,706,932 at the beginning of the period, reflecting a growth of about 9.2%[14] - Cash and short-term investments increased to $9,878,062 as of March 31, 2025, compared to $9,169,742 on December 31, 2024, marking an increase of approximately 7.7%[10] Expenses - General and administrative expenses rose to $1,355,043 in Q1 2025, up from $989,304 in Q1 2024, indicating an increase of about 37%[12] - General and administrative expenses increased approximately $365,700 for the three months ended March 31, 2025, compared to the same period in 2024, primarily due to increases in various fees and expenses[60] - Compared to the previous quarter ended December 31, 2024, general and administrative expenses increased approximately $379,000, mainly due to timing of audit and legal fees[61] Production and Pricing - Oil production for Q1 2025 was 211,707 barrels, while gas production was 3,883,612 Mcf[57] - Average realized price for oil in Q1 2025 was $59.17 per barrel, down from $80.20 in Q1 2024, while gas averaged $2.19 per Mcf compared to $2.37[57] - The average price of gas reported by Henry Hub for Q1 2025 was $3.15 per Mcf, with a decline to $2.66 per Mcf by April 28, 2025[57] Distributions - Distributions per unit decreased to $1.19 for the three months ended March 31, 2025, down from $1.27 in the same period of 2024, a reduction of approximately 6.3%[14] - The Trust declared distributions of $0.503880 and $0.447780 per unit for April and May 2025, respectively[46] Accounting and Compliance - There have been no significant changes to the critical accounting policies during the three months ended March 31, 2025[64] - The Trust does not invest in derivative financial instruments and is not subject to any material interest rate risk due to the short-term nature of its borrowings and investments[69] - The Trustee concluded that the Trust's disclosure controls and procedures are effective in ensuring timely decisions regarding required disclosures[70] - No material changes to risk factors have occurred during the three months ended March 31, 2025[74] - There are no new accounting pronouncements expected to have a significant impact on the Trust's financial statements[66] Future Outlook - The Trust has not anticipated borrowing funds in the foreseeable future, relying instead on royalty income for cash flow[48]

Core Insights - Mobile-health Network Solutions (MNDR) has won the Cloud-Healthcare Technology Award at the SBR Technology Excellence Awards 2025 for its AI-powered Health Operating System [1][2] - The award recognizes innovative IT products and solutions from Singapore-based technology companies [2] - The Health Operating System (HOS) connects patients with healthcare providers 24/7 and includes features like AI Notes, which generates clinical documentation [3][6] Company Overview - Mobile-health Network Solutions is ranked 41 in the Financial Times 2024 listing of 500 High-growth Asia-Pacific Companies and is the first telehealth provider from the Asia-Pacific region to be listed in the US [10] - The company offers a range of telehealth solutions, including teleconsultation services and personalized care programs, enabling healthcare providers to reach users globally without startup costs [10] Technology and Features - The AI-powered Health Operating System includes AI Notes, which captures doctor-patient conversations and generates structured clinical notes, reducing the documentation burden on healthcare providers [3][6] - AI Notes currently understands English in various accents and will soon support multiple languages, including Spanish, French, German, Russian, Korean, Malay, Vietnamese, and Mandarin [4] - The HOS integrates with major Electronic Health Record (EHR) systems and adheres to Singapore's National Electronic Health Record standards, facilitating integration with the national healthcare ecosystem [5]

Cash Distribution - The cash distribution for April 2025 is declared at $0.503880 per unit, payable on April 29, 2025, to unit holders of record on April 15, 2025[2]. - This month's distribution is higher than the previous month due to an increase in oil and gas production and a rise in natural gas prices[4]. Production Volumes - Preliminary production volumes for January 2025 are approximately 102,540 barrels of oil and 1,410,501 Mcf of gas[3]. - The prior month's production was 45,827 barrels of oil and 1,044,259 Mcf of gas, with average prices of $69.44 per barrel for oil and $1.86 per Mcf for gas[5]. Revenue and Cash Receipts - Approximately $119,000 of revenue received in March will be posted in April, in addition to normal cash receipts[7]. Oil Prices - The realized oil price for the current month is $44.22 per barrel, significantly lower than the national average of $71.56 per barrel[4]. Regulatory Filings - The Trust's 2024 Annual Report on Form 10-K has been filed with the SEC, and the Reserve Summary is available on the Trust's website[8]. Forward-Looking Statements - Forward-looking statements indicate potential risks that could cause actual results to differ from anticipated results[10]. - The Trustee disclaims any obligation to update forward-looking statements, which should not be relied upon as representing views after the date of the release[11].

Core Viewpoint - Argent Trust Company declared a cash distribution of $0.503880 per unit for the Sabine Royalty Trust, reflecting increased oil and gas production and a rise in natural gas prices, despite a decrease in oil prices [1][3]. Distribution Details - The cash distribution is payable on April 29, 2025, to unit holders of record on April 15, 2025 [1]. - The distribution is based on oil production for January 2025 and gas production for December 2024, with preliminary production volumes of approximately 102,540 barrels of oil and 1,410,501 Mcf of gas [2]. Production and Pricing Comparison - Current month's production and prices compared to the prior month: - Oil: 102,540 barrels at $44.22 per barrel - Gas: 1,410,501 Mcf at $2.62 per Mcf - Prior month: 45,827 barrels at $69.44 per barrel and 1,044,259 Mcf at $1.86 per Mcf [4]. Revenue Posting and Timing - Revenues are distributed after verification and posting, with most energy companies issuing royalty payments around the 25th of each month [5]. - Approximately $119,000 of revenue received in March will be posted in April, in addition to $180,000 received since the end of March [6]. Regulatory Filings - The 2024 Annual Report on Form 10-K has been filed with the Securities and Exchange Commission, and the Reserve Summary as of December 31, 2024, is available on the Sabine website [7].

Financial Performance - As of December 31, 2024, the Trust's total assets amounted to $9,250,361, a decrease from $9,437,825 in 2023, reflecting a decline of approximately 1.98%[235] - Royalty income for the year ended December 31, 2024, was $82,569,642, down 11.25% from $93,012,044 in 2023[237] - Distributable income for 2024 was $79,642,694, representing a decrease of 11.73% compared to $90,251,235 in 2023[237] - The Trust's cash and short-term investments decreased to $9,169,742 in 2024 from $9,342,423 in 2023, a decline of 1.85%[235] - Total liabilities decreased to $543,429 in 2024 from $878,919 in 2023, a reduction of approximately 38.25%[235] - Distributions to unit holders in 2024 were $79,479,885, down from $93,084,745 in 2023, indicating a decrease of 14.66%[240] - The distributable income per unit for 2024 was $5.46, down from $6.19 in 2023, reflecting a decrease of 11.77%[237] - The Trust's total general and administrative expenses for 2024 amounted to $3.528 million, slightly down from $3.564 million in 2023[271] Asset and Reserve Information - The Trust's corpus at the end of 2024 was $8,706,932, an increase from $8,558,906 in 2023, marking a growth of 1.73%[240] - As of December 31, 2024, the Trust's proved oil reserves increased to 8,872 thousand barrels, and proved gas reserves increased to 64,236 thousand Mcf[275] Royalty Income and Adjustments - Total royalty income for 2024 was $82.569 million, with distributable income of $79.642 million, resulting in a distributable income per unit of $5.46[272] - In the fourth quarter of 2024, royalty income was $19.419 million, and distributable income was $18.572 million, leading to a distributable income per unit of $1.27[272] - Royalty income, net of severance and ad valorem taxes, decreased by $82,570,000 in 2024, compared to a decrease of $93,012,000 in 2023 and $125,749,000 in 2022[280] - Changes in prices, net of related costs, resulted in a decrease of $25,194,000 in 2024, while in 2023, it was a decrease of $121,929,000, and in 2022, an increase of $118,200,000[280] - Revisions of previous estimates and other adjustments contributed $104,784,000 in 2024, compared to $112,627,000 in 2023 and $106,918,000 in 2022[280] Tax and Regulatory Information - The Trust does not engage in foreign currency transactions or hold derivative financial instruments, minimizing exposure to related market risks[222] - The Trust is exempt from Texas franchise tax as a passive entity, benefiting Unit holders by not subjecting the Trust's income to state income tax[281] - Unit holders may have state filing responsibilities in Louisiana, Florida, Mississippi, New Mexico, or Oklahoma, despite the Trust not owing tax in those states[282] - The Trust has filed tax returns for 2022 and 2023 with the States of Oklahoma and New Mexico requesting refunds for withheld taxes[267] Future Projections - The standardized measure of discounted future net cash inflows for 2024 is $280,325,000, an increase from $257,550,000 in 2023 but a decrease from $327,149,000 in 2022[279] - Future net cash inflows for 2024 are projected at $549,340,000, compared to $524,282,000 in 2023 and $657,947,000 in 2022[279] - The discount of future net cash flows at a rate of 10% is $269,015,000 for 2024, up from $226,732,000 in 2023 and down from $330,798,000 in 2022[279] Miscellaneous - The Trust's royalty receipts in suspense pending verification of ownership or title were $231,645 as of December 31, 2024, down from $370,430 in 2023[268] - The Trust's royalty income is recognized in the month received, pending verification of ownership and title, rather than in the month of production[262] - The Trustee has not identified any impairment of assets as of December 31, 2024[259] - The Trust's basic distributable income per unit and distributable income per unit assuming dilution are the same, as there were no equivalent units outstanding[261] - As of February 18, 2025, NYMEX posted oil prices were approximately $72.21 per barrel, compared to the average price of $72.91 per barrel used for calculations[280] - NYMEX posted gas prices as of February 18, 2025, were $6.40 per million British thermal units, significantly higher than the average price of $1.795 per million British thermal units used for calculations[280]

Cash Distribution - January 2025 cash distribution declared at $0.448330 per unit, payable on January 29, 2025[2] Production Volumes - Preliminary production volumes: 76,247 barrels of oil and 1,617,815 Mcf of gas[3] - Current month oil production increased to 76,247 bbls from 68,183 bbls in the prior month[4] - Current month gas production increased to 1,617,815 Mcf from 1,536,640 Mcf in the prior month[4] Pricing - Preliminary prices: $67.70 per barrel of oil and $1.61 per Mcf of gas[3] - Average gas price increased to $1.61 per Mcf from $1.39 per Mcf in the prior month[4] - Average oil price decreased to $67.70 per bbl from $71.76 per bbl in the prior month[4] Revenue and Taxes - $259,000 deducted for 2024 Ad Valorem taxes, compared to $223,000 last year[7] - Approximately $232,000 of revenue received in December will be posted in January[6] - $116,000 in revenue received between December close and this press release[6]