EX-99.1 2 d792807dex991.htm EX-99.1

EX-99.1

Exhibit 99.1

Permian Basin Royalty Trust

PERMIAN BASIN ROYALTY TRUST

ANNOUNCES SEPTEMBER CASH DISTRIBUTION

DALLAS, Texas, September 19, 2014 – Permian Basin Royalty Trust (NYSE: PBT) (“Permian”) today declared a cash distribution to the holders of its units of beneficial interest of $0.094779 per unit, payable on October 15, 2014, to unit holders of record on September 30, 2014.

This month’s distribution decreased from the previous month due to increased capital expenditures relating to the drilling in July of the initial two vertical wells of the 2014 program for the Waddell Ranch. Slightly higher production for both oil and gas offset these increased expenditures.

Production for the Trust’s allocated portion of the Waddell Ranch and the Texas Royalty Properties combined for oil and gas respectively was 44,630 bbls and 101,115 Mcf. The average price for oil was $95.35 per bbl and for gas was $6.10 per Mcf. This would primarily reflect production for the month of July for oil and the month of June for gas. The worldwide market conditions continue to affect the pricing for domestic production. It is difficult to predict what effect these conditions will have on future distributions.

Underlying Properties

Net to Trust Sales

Volumes

Volumes

Average

Price

Oil

Gas

Oil

Gas

Oil

Gas

(per bbl)

(per Mcf)

(per bbl)

(per Mcf)

(per bbl)

(per Mcf)

Current Month

98,717

326,643

44,630

*

101,115

*

$

95.35

$

6.10

**

Prior Month

98,566

274,179

50,457

*

112,187

*

$

96.40

$

6.45

**

* These volumes are the net to the trust, after allocation of expenses to Trust’s net profit interest.

** This pricing includes sales of gas liquid products.

During July 2014, four of the 2014 workover wells were completed and producing. There were two new wells of the 2014 program completed in the month of July. Capital expenditures were approximately $1,867,748.86. The numbers provided reflect what was net to the Trust. Due to the allocation method of paying for capital expenditures and lease operating expenses, the Trust’s net volumes are adjusted in order to pay these expenditures.

The Trustee continues to evaluate the claim of $4,542,547 overpayment that was recouped by ConocoPhillips back in September and October 2011. The accounting adjustments and subsequent reimbursements of this claim have been processed through the monthly distributions. These prior period adjustments along with the respective reimbursements of the withheld monies have been completed as of last month, however, these adjustments will continue to be reviewed for accuracy and validity through the 2014 audit period.

Effective August 29, 2014,^, Southwest Bank became the new Trustee.

Permian’s cash distribution history, current and prior year financial reports and tax information booklets, a link to filings made with the Securities and Exchange Commission and more can be found on its website at http://www.pbt-permianbasintrust.com/. The new toll free number customer service number for the trust is 1-855-588-7839.

Contact:		Ron Hooper
		Senior Vice President
		Southwest Bank, Trustee
		Toll Free – 1.855.588.7839