PermRock Royalty Trust Declares Monthly Cash Distribution

Rhea-AI Summary

PermRock Royalty Trust (NYSE: PRT) declared a cash distribution of $566,240.02 (or $0.046543 per Trust Unit) to be paid on April 14, 2021, based on January 2021 production. The current month saw oil cash receipts of $1.76 million and natural gas receipts of $0.18 million, with increases attributed to rising prices. Total operating expenses were $0.46 million, down $0.23 million from the prior month. Capital expenditures decreased to $0.18 million. The Trust holds an 80% net profits interest in oil and gas production from properties in the Permian Basin.

Positive

• Cash distribution declared at $566,240.02, indicating ongoing profitability.
• Increase in oil cash receipts by $0.20 million from the prior month.
• Natural gas cash receipts rose by $0.04 million due to price increases.
• Total operating expenses decreased by $0.23 million, enhancing profit margins.
• Capital expenditures reduced by $0.10 million, reflecting cost management.

Negative

• Total oil production decreased from the prior month (34,299 Bbls down from 36,226 Bbls).
• Natural gas production declined from 49,862 Mcf to 48,298 Mcf.
• Future distributions may be jeopardized by volatility in commodity prices.

FORT WORTH, Texas, March 19, 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 March 31, 2021 and payable on April 14, 2021 in the amount of $566,240.02 ($0.046543 per Trust Unit), based principally upon production during the month of January 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		Oil (per Bbl)	Natural Gas (per Mcf)
	Bbls	Bbls/D	Mcf	Mcf/D
Current Month	34,299	1,106	49,862	1,608	$51.20	$3.60
Prior Month	36,226	1,169	48,298	1,558	$43.03	$2.94

Oil cash receipts for the properties underlying the Trust totaled $1.76 million for the current month, an increase of $0.20 million from the prior month's distribution period.  This increase was due to an increase in oil prices.  

Natural gas cash receipts for the properties underlying the Trust totaled $0.18 million for the current month, an increase of $0.04 million from the prior month's distribution period.  This increase was due to an increase in natural gas prices.

Total direct operating expenses, including marketing, lease operating expenses and workover expenses, were $0.46 million reflecting a $0.23 million decrease from the prior month. Severance and ad valorem taxes were $0.16 million.

Capital expenditures were $0.18 million in the current month, a decrease of $0.10 million from the prior month. Boaz Energy indicated the capital expenditures were primarily related to new well completion operations in Crane County. Boaz Energy informed the Trust that this month's net profits calculation included $80,000 net to the Trust of funds reserved by Boaz Energy to cover future capital obligations and expenses. 

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 30, 2020 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

View original content:http://www.prnewswire.com/news-releases/permrock-royalty-trust-declares-monthly-cash-distribution-301250827.html

SOURCE PermRock Royalty Trust

FAQ

What is the cash distribution amount declared by PermRock Royalty Trust on March 19, 2021 for PRT?

The cash distribution declared is $566,240.02, equating to $0.046543 per Trust Unit.

When will PermRock Royalty Trust's distribution be payable?

The distribution will be payable on April 14, 2021.

What were the oil cash receipts for PermRock Royalty Trust in January 2021?

Oil cash receipts totaled $1.76 million for January 2021.

How did natural gas receipts change for PermRock Royalty Trust in January 2021?

Natural gas receipts increased by $0.04 million to $0.18 million compared to the prior month.

What were the total operating expenses for PermRock Royalty Trust in the current month?

Total direct operating expenses were $0.46 million.