PermRock Royalty Trust Declares Monthly Cash Distribution

Rhea-AI Summary

PermRock Royalty Trust (NYSE:PRT) has declared a monthly cash distribution of $367,645.06 ($0.030219 per Trust Unit) for record holders as of October 31, 2024, payable on November 15, 2024. This distribution is based on August 2024 production. Key highlights:

• Oil sales volume increased to 24,944 Bbls (805 Bbls/D) from 23,434 Bbls (756 Bbls/D) in the prior month
• Natural gas sales volume slightly increased to 29,787 Mcf (961 Mcf/D) from 29,276 Mcf (944 Mcf/D)
• Oil price decreased to $74.92 per Bbl from $78.98 per Bbl
• Natural gas price decreased to $2.00 per Mcf from $2.25 per Mcf

Oil cash receipts increased by $0.02 million, while natural gas cash receipts decreased by $0.01 million. Total direct operating expenses increased slightly by $0.02 million. Capital expenses decreased by $0.21 million, primarily due to the completion of a well upgrade in the Permian Platform.

Positive

• Increase in oil sales volume from 23,434 Bbls to 24,944 Bbls
• Slight increase in natural gas sales volume from 29,276 Mcf to 29,787 Mcf
• Oil cash receipts increased by $0.02 million
• Capital expenses decreased by $0.21 million due to completion of well upgrade

Negative

• Decrease in oil price from $78.98 per Bbl to $74.92 per Bbl
• Decrease in natural gas price from $2.25 per Mcf to $2.00 per Mcf
• Natural gas cash receipts decreased by $0.01 million
• Total direct operating expenses increased by $0.02 million

Insights

Financial Analyst

The latest distribution announcement from PermRock Royalty Trust provides a mixed picture for investors. The trust declared a monthly cash distribution of $367,645.06 ($0.030219 per Trust Unit), based on August 2024 production. Key points to consider:

• Oil sales volumes increased from 23,434 to 24,944 barrels, a positive sign for production.
• However, oil prices decreased from $78.98 to $74.92 per barrel, partially offsetting the volume gains.
• Natural gas sales volumes slightly increased, but prices dropped from $2.25 to $2.00 per Mcf.
• Total direct operating expenses increased slightly by $0.02 million, which could pressure margins.
• Capital expenses decreased significantly by $0.21 million, potentially indicating completion of major projects.

While the increased production volumes are encouraging, the declining commodity prices and rising operating expenses may impact future distributions. Investors should monitor these trends closely, as they directly affect the trust's ability to maintain or grow distributions.

DALLAS, Oct. 21, 2024 /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 October 31, 2024, and payable on November 15, 2024, in the amount of $367,645.06 ($0.030219 per Trust Unit), based principally upon production during the month of August 2024.

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				Oil		Natural Gas
	Bbls		Bbls/D		Mcf		Mcf/D		(per Bbl)		(per Mcf)
Current Month	24,944		805		29,787		961		$74.92		$2.00
Prior Month	23,434		756		29,276		944		$78.98		$2.25

 

Oil cash receipts for the properties underlying the Trust totaled $1.87 million for the current month, a slight increase of $0.02 million from the prior month's distribution period. This increase was primarily due to an increase in oil sales volumes.

Natural gas cash receipts for the properties underlying the Trust totaled $0.06 million for the current month, a slight decrease of $0.01 million from the prior month's distribution period. This decrease was primarily due to a decrease in natural gas sales prices. 

Total direct operating expenses, including marketing, lease operating expenses, and workover expenses, were $0.74 million, a slight increase of $0.02 million from the prior month's distribution period. Severance and ad valorem taxes were $0.14 million, a slight decrease from the prior month's distribution period.

Capital expenses were $0.41 million, a decrease of $0.21 million from the prior month's distribution period. Boaz Energy reports the decrease was primarily related to the completion of an upgrade to a well in the Permian Platform.

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 and oversupply. 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 SEC on April 1, 2024, 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
	Argent Trust Company, Trustee
	Jana Egeler, Vice President, Trust Administrator
	Toll-free: (855) 588-7839
	Fax: (214) 559-7010
	Website: www.permrock.com
	e-mail: trustee@permrock.com

 

View original content:https://www.prnewswire.com/news-releases/permrock-royalty-trust-declares-monthly-cash-distribution-302280986.html

SOURCE PermRock Royalty Trust

FAQ

What is the monthly cash distribution amount for PermRock Royalty Trust (PRT) in October 2024?

PermRock Royalty Trust (PRT) declared a monthly cash distribution of $367,645.06, or $0.030219 per Trust Unit, for October 2024.

When is the payment date for PermRock Royalty Trust's (PRT) October 2024 distribution?

The payment date for PermRock Royalty Trust's (PRT) October 2024 distribution is November 15, 2024.

How did PermRock Royalty Trust's (PRT) oil sales volume change in the current month compared to the prior month?

PermRock Royalty Trust's (PRT) oil sales volume increased from 23,434 Bbls (756 Bbls/D) in the prior month to 24,944 Bbls (805 Bbls/D) in the current month.

What was the average oil price for PermRock Royalty Trust (PRT) in the current month?

The average oil price for PermRock Royalty Trust (PRT) in the current month was $74.92 per Bbl.