Permian Basin Royalty Trust (PBT) declares March distribution; withholds Waddell Ranch NPI receipts
- Permian Basin Royalty Trust declares $0.014221 per unit payable March 13, 2026; record date Feb. 27, 2026.
- Trustee excludes Waddell Ranch proceeds because January production costs exceeded gross proceeds, creating an excess-cost position.
- Argent will withhold Waddell Ranch net-profits interest until excess costs and accrued interest are recovered, then disclose Blackbeard data.
Permian Basin Royalty Trust sets March distribution but withhold Waddell Ranch receipts
Waddell Ranch costs delay NPI payouts
Argent Trust Company, as trustee for Permian Basin Royalty Trust (PBT), declares a cash distribution of $0.014221 per unit payable on March 13, 2026 to unitholders of record on Feb. 27, 2026, but excludes proceeds from the Waddell Ranch properties. The trustee says production costs for Waddell Ranch exceed gross proceeds for January, creating a continuing excess cost position that bars NPI (net profits interest) proceeds from being distributed until those costs, and any accrued interest, are recovered.
The trust indenture requires NPI proceeds received on or before the record date to be included in the following month’s distribution. Argent Trust reports that no Blackbeard Operating LLC NPI proceeds are received in January to be included in the February distribution, and because Blackbeard reports production, pricing and cost data quarterly rather than monthly, relevant Waddell Ranch information often arrives after monthly announcement dates. The trustee therefore withholds Waddell Ranch NPI until eligible receipts cover the accumulated excess costs.
Argent says it will monitor Blackbeard receipts and include eligible Waddell Ranch NPI proceeds in subsequent distributions once excess costs and any accrued interest are recovered. The trustee also states it will disclose Blackbeard-supplied production, pricing and cost data in its Form 10‑Q quarterly reports and Form 10‑K annual reports as it receives that information.
Production, pricing and net profit details
Underlying Texas Royalty Properties produce 15,292 barrels of oil and 9,841 Mcf of gas in January; the trust’s allocated portion is 13,325 barrels of oil and 8,573 Mcf of gas. Argent reports an average oil price of $56.78 per barrel and gas at $5.85 per Mcf (including significant NGL pricing), generating $925,795 in gross revenues for the month. After $118,946 in taxes and other expenses, the properties produce $806,849 in net profit for January, with the trust holding a 95% NPI.
Context on month-to-month movement
The trustee notes the current distribution declines versus the prior month primarily because a second settlement payment from Blackbeard was received in the previous month. Texas Royalty Properties also records lower oil volumes and weaker oil and gas pricing in January, partially offset by higher natural gas volumes. The trustee reiterates that Waddell Ranch proceeds will resume inclusion in distributions only after excess cost recovery.