Corporate GovernanceMay 14, 2026, 11:06 AM
Permian Basin Royalty Trust Indenture Modified; Q1 Distributable Income $3.03M
AI Summary
Permian Basin Royalty Trust reported an increase in Q1 2026 distributable income to $3.03 million, up from $2.60 million in Q1 2025, primarily boosted by a $1.13 million partial settlement payment from Blackbeard. Concurrently, the 96th District Court approved significant modifications to the Trust Indenture, eliminating the 75% Unitholder approval requirement for certain amendments and allowing future amendments by a majority vote. Despite the income increase, Waddell Ranch properties continued to operate at a deficit due to excess costs, and average realized oil and gas prices declined compared to the prior year.
Key Highlights
- Court approved modifications to the Trust Indenture, eliminating the 75% Unitholder approval requirement for certain amendments.
- Q1 2026 distributable income increased to $3,026,801 from $2,596,212 in Q1 2025.
- Q1 2026 royalty income rose to $3,551,082, including a $1,125,000 partial settlement payment from Blackbeard.
- Distributable income per Unit remained $0.06 for both Q1 2026 and Q1 2025.
- Total assets decreased to $1,759,075 at March 31, 2026, from $1,877,733 at December 31, 2025.
- Waddell Ranch properties had cumulative excess costs of $43,978,269 (net to Trust) at March 31, 2026.
- Average realized oil price for Waddell Ranch properties decreased to $59.19 per Bbl in Q1 2026 from $68.83 per Bbl in Q1 2025.
- Average realized gas price for Waddell Ranch properties decreased to $0.92 per Mcf in Q1 2026 from $1.66 per Mcf in Q1 2025.