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PERMIAN BASIN ROYALTY TRUST ANNOUNCES MARCH CASH DISTRIBUTION AND EXCESS COST POSITION ON WADDELL RANCH PROPERTIES
PBTPermian Basin Royalty Trust(PBT) Prnewswire·2025-03-21 12:00

Core Points - Argent Trust Company declared a cash distribution of 0.018047perunitforthePermianBasinRoyaltyTrust,payableonApril14,2025,tounitholdersofrecordonMarch31,2025[1]−ThedistributionincreasedslightlyfromthepreviousmonthduetohigheroilandnaturalgasvolumesfromTexasRoyaltyProperties,despitelowernaturalgaspricing[2]−TheWaddellRanchpropertiesdidnotcontributetothedistributionasproductioncostsexceededgrossproceedsforFebruary2025[1][4]TexasRoyaltyProperties−ProductionfromTexasRoyaltyPropertieswas16,839barrelsofoiland10,659Mcfofgas,withtheTrust′sallocatedportionbeing14,957barrelsofoiland9,462Mcfofgas[5]−Theaveragepriceforoilwas0.018047 per unit for the Permian Basin Royalty Trust, payable on April 14, 2025, to unit holders of record on March 31, 2025 [1] - The distribution increased slightly from the previous month due to higher oil and natural gas volumes from Texas Royalty Properties, despite lower natural gas pricing [2] - The Waddell Ranch properties did not contribute to the distribution as production costs exceeded gross proceeds for February 2025 [1][4] Texas Royalty Properties - Production from Texas Royalty Properties was 16,839 barrels of oil and 10,659 Mcf of gas, with the Trust's allocated portion being 14,957 barrels of oil and 9,462 Mcf of gas [5] - The average price for oil was 70.81 per barrel and for gas was 7.88perMcf,leadingtorevenuesof7.88 per Mcf, leading to revenues of 1,276,384 after deducting taxes and expenses of 137,983,resultinginanetprofitof137,983, resulting in a net profit of 1,138,401 for March [5][8] - The Trust's net profit interest of 95% from the Texas Royalty Properties contributed 1,081,481tothismonth′sdistribution[5]WaddellRanchProperties−Blackbeard,theoperatoroftheWaddellRanchproperties,hasnotprovidednecessaryinformationforcalculatingnetprofitsinterestproceedsforMarch2025,affectingthedistribution[3][4]−AllexcesscostsfromtheWaddellRanchpropertiesmustberecoveredbyfutureproceedsbeforeanydistributioncanoccur[4]−TheTrusteewillnowreceiveproduction,pricing,andcostinformationquarterlyinsteadofmonthly,impactingfuturereporting[4][7]LegalMatters−TheTrusteehasinitiatedalawsuitagainstBlackbeardOperating,seekingtorecoverover1,081,481 to this month's distribution [5] Waddell Ranch Properties - Blackbeard, the operator of the Waddell Ranch properties, has not provided necessary information for calculating net profits interest proceeds for March 2025, affecting the distribution [3][4] - All excess costs from the Waddell Ranch properties must be recovered by future proceeds before any distribution can occur [4] - The Trustee will now receive production, pricing, and cost information quarterly instead of monthly, impacting future reporting [4][7] Legal Matters - The Trustee has initiated a lawsuit against Blackbeard Operating, seeking to recover over 15 million in damages due to alleged improper deductions from royalty payments [10][11] - The trial is scheduled for November 17, 2025, with ongoing discovery and audits related to the Waddell Ranch properties [10] - The Trustee's claims have been amended to seek damages exceeding $25 million, with attempts to resolve disputes outside of court having been unsuccessful [11]