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Permian Basin Royalty Trust (PBT-5.27%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing details the Trust's financial performance, including royalty income of $26,963,365, a decrease from $29,010,704 in the previous year. This decrease is attributed to lower oil and gas prices and a lack of royalty income from the Waddell Ranch properties for October and November 2024.
The Trust's net proceeds from the Waddell Ranch properties were affected by excess costs, resulting in a deficit position as of December 31, 2024. The cumulative excess costs to be recovered are $13,500,104.
The Trust reported total distributable income of $25,415,368 for 2024, down from $27,978,487 in 2023. The distributable income per unit was $0.55 compared to $0.60 in the previous year.
Oil production from the underlying properties decreased by approximately 3% from 2023 to 2024, while gas production increased by less than 1%. The average price of oil decreased to $75.88 per barrel from $76.72 per barrel in 2023.
The Trust's expenses increased to $1,698,776 in 2024 from $1,118,096 in 2023, primarily due to audit and other professional services.
The Trust's financial statements are prepared on a modified cash basis of accounting, differing from GAAP, mainly because revenues are not accrued in the month of production.
The Trust's reserve estimates for 2024 exclude all proved undeveloped reserves due to the lack of a development plan from Blackbeard Operating, LLC, the operator of the Waddell Ranch properties.
The Trust's filing also includes a discussion of various risk factors, including the volatility of oil and gas prices, regulatory changes, and operational risks associated with the underlying properties.
The Trust does not anticipate any cash dividend payments to common stockholders in the near future.
The Trust's financial condition and results of operations are significantly affected by the prices received for oil and natural gas produced and sold.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Permian Basin Royalty Trust annual 10-K report dated March 14, 2025. To report an error, please email earnings@qz.com.