0001193125-22-266649.txt : 20221021 0001193125-22-266649.hdr.sgml : 20221021 20221021142130 ACCESSION NUMBER: 0001193125-22-266649 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20221021 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20221021 DATE AS OF CHANGE: 20221021 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PERMIAN BASIN ROYALTY TRUST CENTRAL INDEX KEY: 0000319654 STANDARD INDUSTRIAL CLASSIFICATION: OIL ROYALTY TRADERS [6792] IRS NUMBER: 756280532 STATE OF INCORPORATION: TX FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-08033 FILM NUMBER: 221323112 BUSINESS ADDRESS: STREET 1: BANK OF AMERICA N A TRUST DEPARTMENT STREET 2: P O BOX 1317 NK OF TEXAS NA TRUST DEPT CITY: FT WORTH STATE: TX ZIP: 76102 BUSINESS PHONE: 8173906905 MAIL ADDRESS: STREET 1: 1300 SUMMIT AVENUE SUITE 300 CITY: FORTH WORTH STATE: TX ZIP: 76102 8-K 1 d307797d8k.htm 8-K 8-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 21, 2022

 

 

PERMIAN BASIN ROYALTY TRUST

(Exact name of Registrant as specified in its charter)

 

 

 

Texas   1-8033   75-6280532

(State or other jurisdiction of

incorporation or organization)

 

(Commission

File Number)

 

(I.R.S. Employer

Identification No.)

 

Royalty Trust Management

Simmons Bank

2911 Turtle Creek Boulevard

Suite 850

Dallas, Texas

  75219
(Address of principal executive offices)   (Zip Code)

Registrant’s Telephone Number, including area code: (855) 588-7839

Not Applicable

(Former name or former address, if changed since last report)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Units of Beneficial Interest   PBT   New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company  ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

 

 

 


Item 2.02.

Results of Operations and Financial Condition.

On October 21, 2022, the Registrant issued a press release announcing its monthly cash distribution to unitholders of record on October 31, 2022. The press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

This Report on Form 8-K is being furnished pursuant to Item 2.02, Results of Operations and Financial Condition. The information furnished is not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to the liabilities of that section and is not deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

 

Item 9.01.

Financial Statements and Exhibits.

 

(d)    Exhibits
99.1    Press Release dated October 21, 2022.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

PERMIAN BASIN ROYALTY TRUST
By:   SIMMONS BANK, TRUSTEE FOR PERMIAN BASIN ROYALTY TRUST
By:  

/s/ RON E. HOOPER

  Ron E. Hooper
  Senior Vice President

Date: October 21, 2022

EX-99.1 2 d307797dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

Permian Basin Royalty Trust

 

PERMIAN BASIN ROYALTY TRUST

ANNOUNCES OCTOBER CASH DISTRIBUTION

DALLAS, Texas, October 21, 2022 – 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 $0.208587 per unit, payable on November 15, 2022, to unit holders of record on October 31, 2022.

This month’s distribution decreased from the previous month as the result of primarily an increase in production costs for the Waddell Ranch during the month of August along with lower oil pricing for both the Waddell Ranch and the Texas Royalty Properties for the month of August. Both Waddell Ranch and the Texas Royalty Properties saw an increase in gas volumes and gas pricing for the month.

WADDELL RANCH

In reporting August production of the Underlying Properties for this month’s press release, production for oil volumes was 196,937 (gross) and was priced at about $95.03 per bbl. Production for gas volumes (including gas liquids) was 726,510 Mcf (gross) and was priced at about $8.91 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 $23,672,457 (gross) for August. Lease Operating Expenses were $3,196,475 (gross) and Capital Expenditures were $9,973,754 (gross) for August, netting to the Net Profit Interest (NPI) of $10,502,228. This would put the trust’s proceeds of 75% as a positive $7,876,671 (net) for the month of August, to contribute to this month’s distribution. Given that if current oil and gas pricing continues, Waddell Ranch could continue to contribute to the distribution in the foreseeable future.

First sales received for the month of August 2022 wells were as follows: (all net to the Trust), 3.4 new drill wells, including 0.0 horizontal wells, 4.1 recompleted wells. Waiting on completion, as of 8/31/2022, were 4.5 drill wells, including 1.5 horizontal wells and 2.6 recompletion wells. Also, 3.4 wells, plugged and abandoned, were completed.

Blackbeard has advised the Trustee of the projected 2022 capital expenditure budget for the Waddell Ranch Properties to be an estimated $92 million (net to the Trust) with a projection of about 47 new drill wells and 45 recompletions along with about 19 plug and abandoned wells. Of the new drill wells, about 13 will be horizontal drills and about 34 vertical drill wells.

TEXAS ROYALTY PROPERTIES

Production for the underlying properties at the Texas Royalties was 22,819 barrels of oil and 14,598 Mcf of gas. The production for the Trust’s allocated portion of the Texas Royalties was 20,858 barrels of oil and 13,319 Mcf of gas. The average price for oil was $90.50 per bbl and for gas was $9.52 per Mcf. This would primarily reflect production and pricing for the month of August for oil and the month of July 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 $2,203,896. Deducted from these were taxes of $172,882 resulting in a Net Profit of $2,031,013 for the month of August. 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 $1,929,463 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

     196,937        726,510        147,703        544,883   $ 95.03      $ 8.91 ** 

Texas Royalties

     22,819        14,598        20,858        13,319   $ 90.50      $ 9.52 ** 

Prior Month

                

Waddell Ranch

     185,388        692,203        139,041        519,152   $ 101.94      $ 8.57 ** 

Texas Royalties

     18,820        4,051        17,198        3,697   $ 109.68      $ 26.95 ** 

 

  *

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 $94,918 resulting in a distribution of $9,722,011 to 46,608,796 units outstanding, or $0.208587 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 2021 Annual Report with Form 10-K and the January 1, 2022 Reserve Summary is now available on Permian’s website. 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, Simmons Bank, Trustee, Toll Free – 1.855.588.7839