PermRock Royalty Trust Declares Monthly Cash Distribution

Rhea-AI Summary

PermRock Royalty Trust (NYSE:PRT) announced a monthly cash distribution of $543,064.02 ($0.044638 per Trust Unit) to holders as of April 30, 2021, payable on May 14, 2021. The distribution is based on production data from February 2021. Current month oil sales were $1.61 million with a decrease attributed to reduced sales volumes during a winter storm. Natural gas receipts totaled $0.16 million, also down due to volume declines. Operating expenses rose to $0.59 million, reflecting $0.13 million increase from the prior month.

Positive

• None.

Negative

• Decrease in oil sales volumes due to winter storm impacts in February 2021.
• Natural gas cash receipts declined by $0.02 million from the prior month.
• Total operating expenses increased by $0.13 million, raising concerns about cost management.

FORT WORTH, Texas, April 20, 2021 /PRNewswire/ -- PermRock Royalty Trust (NYSE:PRT) (the "Trust") today declared a monthly cash distribution to record holders of its trust units representing beneficial interests in the Trust ("Trust Units") as of April 30, 2021 and payable on May 14, 2021 in the amount of $543,064.02 ($0.044638 per Trust Unit), based principally upon production during the month of February 2021.

The following table displays underlying oil and natural gas sales volumes and average received wellhead prices attributable to the current and prior month net profits interest calculations:

	Underlying Sales Volumes				Average Price
	Oil		Natural Gas
	Bbls	Bbls/D	Mcf	Mcf/D	Oil (per Bbl)	Natural Gas (per Mcf)
Current Month	28,062	1,002	41,455	1,481	$57.44	$3.96
Prior Month	34,299	1,106	49,862	1,608	$51.20	$3.60

Oil cash receipts for the properties underlying the Trust totaled $1.61 million for the current month, a decrease of $0.15 million from the prior month's distribution period.  This decrease was due to a decrease in sales volumes that was not offset by the increase in oil prices.  The decrease in sales volumes was due in part to a winter storm in February 2021 that caused Boaz Energy to shut in some wells temporarily.

Natural gas cash receipts for the properties underlying the Trust totaled $0.16 million for the current month, a decrease of $0.02 million from the prior month's distribution period.  This decrease was due to a decrease in sales volumes that was not offset by the increase in natural gas prices.

Total direct operating expenses, including marketing, lease operating expenses and workover expenses, were $0.59 million reflecting a $0.13 million increase from the prior month. Severance and ad valorem taxes were $0.15 million.

Capital expenditures were $0.11 million in the current month, a decrease of $0.07 million from the prior month. Boaz Energy indicated the capital expenditures were primarily related to non-operated drilling and completion activities in Crane County.   

About PermRock Royalty Trust

PermRock Royalty Trust is a Delaware statutory trust formed by Boaz Energy II, LLC ("Boaz Energy") 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 certain properties owned by Boaz Energy in the Permian Basin of West Texas. For more information on PermRock Royalty Trust, please visit our website at www.permrock.com.

Cautionary Statement Concerning Forward-Looking Statements

Certain statements contained in this press release constitute "forward-looking statements." These forward-looking statements represent the Trust's and Boaz Energy's expectations or beliefs concerning future events, and it is possible that the results described in this press release will not be achieved. These forward-looking statements include the amount and date of any anticipated distribution to unitholders, future cash retentions, advancements or recoupments from distributions, and statements regarding Boaz Energy's operations and the resulting impact on the computation of the Trust's net profits. The amount of cash received or expected to be received by the Trust (and its ability to pay distributions) has been and will continue to be directly affected by volatility in commodity prices, oversupply and the economic effects of the COVID-19 pandemic. Further, low oil and natural gas prices may result in no distributions to unitholders in certain periods. Other important factors that could cause actual results to differ materially from those projected in the forward-looking statements include expenses of the Trust and reserves for anticipated future expenses, uncertainties in estimating the cost of drilling activities and risks associated with drilling and operating oil and natural gas wells.

Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, the Trust does not undertake any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. New factors emerge from time to time, and it is not possible for the Trust to predict all such factors. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in the Trust's Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") on March 31, 2021 and other public filings filed with the SEC. The risk factors and other factors noted in the Trust's public filings with the SEC could cause its actual results to differ materially from those contained in any forward-looking statement. The Trust's filed reports are or will be available over the Internet at the SEC's website at http://www.sec.gov.

Contact:      PermRock Royalty Trust 
                   Simmons Bank, Trustee 
                   Lee Ann Anderson, Senior Vice President 
                   Toll-free: (855) 588-7839 
                   Fax: (817) 298-5579 
                   Website:  www.permrock.com  
                   e-mail:  trustee@permrock.com

 

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SOURCE PermRock Royalty Trust

FAQ

What is the cash distribution amount declared by PermRock Royalty Trust for May 2021?

PermRock Royalty Trust declared a cash distribution of $543,064.02 for May 2021.

When will the cash distribution for PermRock Royalty Trust be paid?

The cash distribution will be payable on May 14, 2021.

What were the oil and natural gas sales for PermRock Royalty Trust in February 2021?

Oil sales totaled $1.61 million and natural gas cash receipts were $0.16 million for February 2021.

How did the winter storm in February 2021 affect PermRock Royalty Trust's production?

The winter storm caused a decrease in oil and natural gas sales volumes, impacting the Trust’s cash receipts.

What were the operating expenses for PermRock Royalty Trust in April 2021?

Total operating expenses were $0.59 million for April 2021, reflecting a $0.13 million increase from the previous month.