#United States #Dallas #Permian Basin #Waddell Ranch #Argent Trust

Overview of November Announcements by the Permian Basin Royalty Trust

In the latest press release, Argent Trust Company, acting as Trustee for the Permian Basin Royalty Trust (PBT), announced a cash distribution of $0.019233 per unit. This distribution will be paid on December 12, 2025, to unit holders who are recorded by November 28, 2025. Notably, this amount is not inclusive of proceeds from the Waddell Ranch properties due to exceeded overall production costs for the previous month. The ongoing excess costs at Waddell Ranch present a challenge, as the production did not meet expectations in terms of revenue generation.

Recent Trends in Distribution

The recent distribution has witnessed a decline when compared to the previous month, primarily attributed to reduced volumes of natural gas extracted from Texas Royalty Properties. A notable drop in oil and gas prices played a significant role, though slightly higher oil volumes provided a minor offset.

For the month of September, total production from Texas Royalty was 16,337 barrels of oil and 10,723 Mcf of gas. Specifically, the Trust's share accounted for 14,356 barrels of oil and 9,425 Mcf of gas, with average prices recorded at $63.38 per barrel for oil and $7.10 per Mcf for gas. This production data reflects pricing trends that were established a month prior. After accounting for taxes and expenses, net revenue from these activities topped $973,969, translating into a substantial net contribution of $925,270 to this month’s distribution.

Waddell Ranch Properties Update

Blackbeard, the operator closely linked with the Waddell Ranch properties, has been essential for calculating net profits for the Trust. However, there remains a delay in obtaining necessary information to accurately reflect profits due to Blackbeard's quarterly reporting schedule. As no proceeds were achieved for the month of October 2025, these continue to be in a deficit which will need to be offset by future earnings before any profits can be disbursed to the Trust.

Special Meeting Announcement

An important aspect of the press release includes the announcement of a special meeting requested by SoftVest Advisors, who, along with other unit holders, collectively hold over 15% of the Trust's units. Scheduled for December 16, 2025, the meeting's objective is to seek unit holder approval for amending the Trust’s Indenture. Proposed changes will allow a majority of the units present to approve any future amendments, aiming for smoother governance in the Trust's operations. Notices with additional details are set to be communicated toward the meeting date.

This meeting bears significance as it indicates active engagement from unit holders regarding the future of the Trust and its policies.

Market Influences and Future Considerations

The current landscape for oil and gas pricing remains dynamic and affected by worldwide market conditions. As fluctuations in prices create uncertainty, the Trust's performance and future distributions remain under scrutiny. The Trustee emphasizes that while certain projections can be made, external factors render it difficult to predict upcoming performance accurately.

Conclusion

In conclusion, the Permian Basin Royalty Trust displays resilience amid challenging circumstances, announcing its upcoming cash distributions alongside upcoming governance meetings. Stakeholders are encouraged to keep abreast of developments via official communications from the Trust and to pay attention to market conditions affecting the industry moving forward.