In This Story
MV Oil Trust Units of Beneficial Interests (MVO-3.03%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing details the Trust's net profits interest, which entitles it to receive 80% of the net proceeds from MV Partners' oil and natural gas properties in Kansas and Colorado. The net profits interest will terminate on June 30, 2026, as the minimum production amount has been reached.
For the year ended December 31, 2024, the Trust reported income from the net profits interest of $18.6 million, compared to $18.1 million in the previous year. Distributable income was $17.7 million, or $1.535 per Trust Unit, up from $16.8 million, or $1.460 per Trust Unit, in 2023.
The Trust's assets totaled $3.9 million at the end of 2024, with cash and cash equivalents of $1.3 million. The Trust's investment in the net profits interest was valued at $50.4 million, with accumulated amortization of $47.8 million.
MV Partners, the operator of the underlying properties, did not withhold any reserves for future capital expenditures during 2024. The Trust's general and administrative expenses were $0.9 million, down from $1.1 million in 2023.
The filing includes a reserve report prepared by Cawley, Gillespie & Associates, Inc., which estimates the Trust's proved reserves at 618,704 barrels of oil equivalent as of December 31, 2024.
The Trust's cash distributions are derived from the net profits interest and are made quarterly. The Trustee withheld cash to build a reserve for future expenses, which totaled $1.3 million at the end of 2024.
The Trust's financial statements are prepared on a modified cash basis, which differs from generally accepted accounting principles (GAAP). This basis is used because distributions to unitholders are based on cash receipts.
The Trust is managed by The Bank of New York Mellon Trust Company, N.A., which serves as the Trustee. The Trust does not have a board of directors or executive officers.
The filing also discusses various risk factors, including fluctuations in oil and gas prices, regulatory changes, and the potential impact of climate change regulations on the Trust's operations and distributions.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the MV Oil Trust Units of Beneficial Interests annual 10-K report dated March 20, 2025. To report an error, please email earnings@qz.com.