PermRock Royalty Trust Announces Boaz Energy's Pending Sale to T2S Permian Acquisition II LLC

Transaction Overview - Boaz Energy and its affiliate Boaz Royalty entered into a Purchase and Sale Agreement with T2S Permian Acquisition II LLC on January 10, 2025, regarding the sale of the Underlying Properties and 4,884,861 Boaz Trust Units [4] - The Underlying Properties are subject to the Net Profits Interest conveyed to the Trust, which grants the Trust the right to receive 80% of the net profits from oil and natural gas production [4][5] Transaction Details - The Grantors will sell and convey to the Buyer all of Boaz Energy's right, title, and interest in the Underlying Properties, which remain burdened by the Net Profits Interest and subject to the Conveyance [1] - The transaction includes the sale of 4,884,861 Boaz Trust Units representing beneficial interests in the Trust [1] - The Closing is anticipated to occur in March 2025, subject to customary closing conditions being satisfied [2] Post-Transaction Operations - From and after the Closing, the Buyer will own the Underlying Properties and the Boaz Trust Units, and the Buyer (or an affiliate) will become the operator of the Underlying Properties [2] - Boaz Energy will facilitate the transfer of operations of the Underlying Properties from Boaz Energy to the Buyer [3] - Argent Trust Company, as trustee of the Trust, expects to continue the administration of the Trust in the ordinary course of business [3] Company Background - PermRock Royalty Trust is a Delaware statutory trust formed to own a net profits interest representing the right to receive 80% of the net profits from the sale of oil and natural gas production from the Underlying Properties [5]