SUBSCRIBE
PROFILE

Permian Basin Royalty reduces June distribution due to high costs

Permian Basin Royalty Trust announces a reduced distribution for June due to ongoing excess costs at Waddell Ranch properties and lower volumes from Texas Royalty Properties.

Share:

Gain full professional access to energynews.pro from 4.90$/month.
Designed for decision-makers, with no long-term commitment.

Over 30,000 articles published since 2021.
150 new market analyses every week to decode global energy trends.

Monthly Digital PRO PASS

Immediate Access
4.90$/month*

No commitment – cancel anytime, activation in 2 minutes.

START NOW — 4.90$/month

*Special launch offer: 1st month at the indicated price, then 14.90 $/month, no long-term commitment.

Annual Digital PRO Pass

Full Annual Access
99$/year*

To access all of energynews.pro without any limits

SUBSCRIBE — 99$/year

*Introductory annual price for year one, automatically renewed at 149.00 $/year from the second year.

Sign up for free to unlock this article

Permian Basin Royalty Trust (PBT), managed by Argent Trust Company, declared a cash distribution of USD 0.012976 per unit, payable to unit holders recorded as of June 30, 2025. This distribution, payable on July 15, 2025, does not include revenues from Waddell Ranch properties, where production costs still exceed gross proceeds.

Complex situation at Waddell Ranch

Issues related to Waddell Ranch persist with the operator Blackbeard Operating LLC no longer providing monthly information necessary for precise calculation of the Net Profits Interest (NPI). Since May 2024, Blackbeard has limited this information to a quarterly frequency, preventing complete integration of data into the Trust’s monthly distributions.

Argent Trust specifies that no revenue from Waddell Ranch properties was received for the June distribution. Accumulated excess costs must be entirely recovered before resuming payments from this property.

Notable revenue decline in Texas

Meanwhile, Texas Royalty Properties recorded a decline in natural gas production volumes, dropping to 8,278 thousand cubic feet (Mcf) from 9,894 Mcf in the previous month. Despite a slight increase in gas prices to USD 9.48 per Mcf, total revenues were negatively impacted by a decline in oil prices to USD 65.46 per barrel from USD 68.39 the previous month.

In terms of volume, the Trust’s Texas properties produced 14,430 barrels of oil, slightly higher than the 13,619 barrels in the previous month but insufficient to offset the negative effects of overall pricing and volume. After deducting taxes and expenses amounting to USD 139,241, net profits reached USD 1,021,112, thus contributing USD 970,056 to the monthly distribution.

Ongoing judicial dispute

The litigation between the Trust and Blackbeard Operating continues in the District Court of Tarrant County, Texas. Argent Trust claims damages exceeding USD 9 million, alleging Blackbeard miscalculated and deducted certain operating costs between April 2020 and December 2023.

A joint audit of 2024 operations is currently underway. This lawsuit, scheduled to begin on November 17, 2025, promises complexity with significant financial implications for both parties.

This situation leaves open the question of the evolution of future distributions and the financial transparency of the involved operators.

  • Popular on energynews.pro
Suzlon secures 838 MW order from Tata Power Renewable Energy
Eco Wave Power deploys BladeRanger drones to automate wave maintenance
Release by Scatec expands hybrid solar plants to 64.4 MW in Cameroon
Stimulated geologic hydrogen: methods, costs, technology maturity and key risks
Bringing forward the EU gas ban would push up TTF in Central Europe
Syrian tanker docks in Trieste, first crude delivery in 14 years
A Syrian vessel carrying 640,000 barrels of crude has docked in Italy, marking the country’s first oil shipment since the civil war began in 2011, amid partial easing of US sanctions.
Canadian exports to China rise on back of expanded TMX pipeline
Canadian crude shipments from the Pacific Coast reached 13.7 million barrels in August, driven by a notable increase in deliveries to China and a drop in flows to the US Gulf Coast.
Oil and gas to remain dominant in global energy mix through 2050
Faced with rising global electricity demand, energy sector leaders are backing an "all-of-the-above" strategy, with oil and gas still expected to supply 50% of global needs by 2050.
UK sanctions 70 tankers to reinforce Russian oil price cap
London has expanded its sanctions against Russia by blacklisting 70 new tankers, striking at the core of Moscow's energy exports and budget revenues.
Iraq and Oman in talks to build new oil pipeline to secure exports to Asia
Iraq is negotiating with Oman to build a pipeline linking Basrah to Omani shores to reduce its dependence on the Strait of Hormuz and stabilise crude exports to Asia.
Vallourec signs $1bn contract with Petrobras for Brazilian offshore operations
French steel tube manufacturer Vallourec has secured a strategic agreement with Petrobras, covering complete offshore well solutions from 2026 to 2029.
IEA warns of 3.3 million barrel oil surplus in 2026
Increased output from Opec+ and non-member producers is expected to create a global oil surplus as early as 2025, putting pressure on crude prices, according to the International Energy Agency.
Petrobras takes 27.5% stake in Block 4 offshore São Tomé with Shell and Galp
The Brazilian company expands its African footprint with a new offshore exploration stake, partnering with Shell and Galp to develop São Tomé and Príncipe’s Block 4.
Drone strikes major Bachneft refinery in Ufa, fire breaks out
A drone attack on a Bachneft oil facility in Ufa sparked a fire with no casualties, temporarily disrupting activity at one of Russia’s largest refineries.
Transatlantic rift over Russian oil reduces Indian volumes in October
The divide between the United States and the European Union over regulations on Russian oil exports to India is causing a drop in scheduled deliveries, as negotiation margins tighten between buyers and sellers.
US crude oil stocks rise by 3.9 million barrels
Against market expectations, US commercial crude reserves surged due to a sharp drop in exports, only slightly affecting international prices.
Russia increases oil exports from western ports by 11% in September
Russia plans to ship 2.1 million barrels per day from its western ports in September, revising exports upward amid lower domestic demand following drone attacks on key refineries.
QatarEnergy secures offshore exploration licence in Congo
QatarEnergy obtained a 35% stake in the Nzombo block, located in deep waters off Congo, under a production sharing contract signed with the Congolese government.
Phillips 66 takes full control of two US refineries for $1.4bn
Phillips 66 acquires Cenovus Energy’s remaining 50% in WRB Refining, strengthening its US market position with two major sites totalling 495,000 barrels per day.
Union strike threatens fuel deliveries from Dangote refinery
Nigeria’s two main oil unions have halted loadings at the Dangote refinery, contesting the rollout of a private logistics fleet that could reshape the sector’s balance.
ReconAfrica secures offshore block in Gabon with production sharing contract
Reconnaissance Energy Africa Ltd. enters Gabonese offshore with a strategic contract on the Ngulu block, expanding its portfolio with immediate production potential and long-term development opportunities.
BW Energy raises $365mn for Maromba FPSO and secures drilling rig
BW Energy has finalised a $365mn financing for the conversion of the Maromba FPSO offshore Brazil and signed a short-term lease for a drilling rig with Minsheng Financial Leasing.
Vantage Drilling signs 260-day contract for the Platinum Explorer
Vantage Drilling has finalised a major commercial agreement for the deployment of the Platinum Explorer, with a 260-day offshore mission starting in Q1 2026.
Permex signs agreement for potential $25mn funding with Chisos
Permex Petroleum has signed a non-binding memorandum of understanding with Chisos Ltd. for potential funding of up to $25mn to develop its oil assets in the Permian Basin.
OPEC+ approves 137,000 barrels/day increase starting in October
OPEC+ begins a new phase of gradual production increases, starting to lift 1.65 million barrels/day of voluntary cuts after the early conclusion of a 2.2 million barrels/day phaseout.

Log in to read this article

You'll also have access to a selection of our best content.