HUGOTON ROYALTY TR UBI - HGTXU STOCK NEWS

Hugoton Royalty Trust (HGTXU) announced no cash distribution to unitholders for November 2024 due to excess cost positions across all three Trust's conveyances. The Trust's cash reserve was reduced by $4,000 for expenses. Current month underlying sales volumes were 648,000 Mcf of gas at $2.68/Mcf and 12,000 Bbls of oil at $67.67/Bbl. XTO Energy reported development costs of $195,000, production expense of $1,950,000, and overhead of $961,000. Cumulative excess costs remain: Kansas ($1,241,000), Oklahoma ($1,794,000), and Wyoming ($7,333,000). Four non-operated wells in Major County, Oklahoma have incurred $10.4 million in development costs.

Hugoton Royalty Trust (OTCQB: HGTXU) announced no cash distribution for October 2024 due to excess cost positions on all three of the Trust's conveyances of net profits interests. The Trust's cash reserve was reduced by $89,000 for expenses. XTO Energy reported:

1. Underlying gas sales of 719,000 Mcf at $4.09 per Mcf and oil sales of 24,000 Bbls at $75.13 per Bbl.

2. Inclusion of sales volumes from four new non-operated wells in Major County, Oklahoma.

3. Excess costs increased by $53,000 on Kansas properties, $450,000 on Wyoming properties, while $1,734,000 was recovered on Oklahoma properties.

4. $10.2 million in development costs for four non-operated wells in Oklahoma.

The Trustee anticipates replenishing the cash reserve before future distributions.

Hugoton Royalty Trust (OTCQB: HGTXU) announced no cash distribution for September 2024 due to excess cost positions on all three of the Trust's conveyances of net profits interests. The Trust's cash reserve was reduced by $42,000 for expenses. XTO Energy reported:

• Underlying gas sales of 737,000 Mcf at $2.80 per Mcf
• Oil sales of 15,000 Bbls at $75.57 per Bbl
• Inclusion of sales from three new non-operated wells in Major County, Oklahoma
• Deduction of $105,000 in development costs, $1,718,000 in production expense, and $823,000 in overhead

Excess costs increased on Kansas and Wyoming properties, while $289,000 was recovered on Oklahoma properties. Cumulative excess costs remain significant across all regions. Development costs for four non-operated wells in Major County, Oklahoma, have reached $10.2 million underlying ($8.1 million net to the Trust).

Hugoton Royalty Trust (OTCQB: HGTXU) announced no cash distribution for August 2024 due to excess cost positions on all three of the Trust's conveyances of net profits interests. The Trust's cash reserve was reduced by $91,000 for expense payments. Underlying gas sales volumes decreased to 650,000 Mcf from 747,000 Mcf, while oil sales increased to 20,000 Bbls from 17,000 Bbls. Average gas prices rose to $2.40 per Mcf from $2.00, but oil prices dropped to $74.93 per Bbl from $77.16.

XTO Energy reported excess costs on all three net profits interests: Kansas ($1,384,000), Oklahoma ($3,113,000), and Wyoming ($5,832,000). The Trust and XTO Energy reached a Settlement Agreement on June 18, 2024, resolving pending arbitration issues, including the Chieftain Claim and Overhead Claims, resulting in a $500,000 advance distribution to partially replenish the Trust's cash expense reserve.

Hugoton Royalty Trust (OTCQB: HGTXU) announced no cash distribution for July 2024 due to excess cost positions on all three of the Trust's conveyances of net profits interests. The Trust's cash reserve was reduced by $34,000 for expenses. Excess costs increased across Kansas, Oklahoma, and Wyoming properties. The Trustee and XTO Energy reached a Settlement Agreement on June 18, 2024, to resolve pending arbitration, including the Chieftain Claim and Overhead Claims. The agreement stipulates a $830,381 balance in XTO's favor, to be treated as a production cost under the Oklahoma conveyance. XTO will provide a one-time advance distribution of $500,000 to the Trust, which can be recouped from future net profits.

Argent Trust Company, as Trustee of Hugoton Royalty Trust (OTCQB: HGTXU), announced no cash distribution for June 2024 due to excess cost positions on all net profits interests. The Trust's cash reserve was reduced by $7,000 for expenses, and future income will aim to replenish this reserve before any future distributions. Gas and oil sales volumes have fluctuated, with underlying costs and development expenses detailed. XTO Energy has noted increased excess costs in Kansas ($109,000), Oklahoma ($438,000), and Wyoming ($709,000), and substantial development costs for four new wells in Oklahoma. Arbitration related to the Chieftain settlement concluded with a $14.6 million charge to the Trust. This decision affects net proceeds and future distributions. Updates on the remaining arbitration disputes will be provided as available.

Hugoton Royalty Trust (OTCQB: HGTXU) declared no cash distribution for May 2024 due to excess costs on its net profits interests. The Trust's cash reserve was reduced by $21,000 for expenses, with future distributions contingent on replenishing this reserve. In March, the Trust reported gas sales of 678,000 Mcf at $1.82 per Mcf and oil sales of 11,000 Bbls at $78.07 per Bbl. Development costs, production expenses, and overheads totaled $2.823 million. Excess costs increased across properties in Kansas, Oklahoma, and Wyoming, with cumulative totals of $1.193 million, $1.669 million, and $3.834 million, respectively. Additionally, the Trust faces a potential $14.6 million charge from the Chieftain settlement. The arbitration panel ruled that $48 million of the $80 million Chieftain settlement is a production cost chargeable to the Trust. This will likely affect future distributions.