Attached files
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Exhibit 99
PR NEWSWIRE
NORTH EUROPEAN OIL ROYALTY TRUST ANNOUNCES
NET INCOME AND RESULTS FOR THE FOURTH QUARTER OF FISCAL 2012
Red Bank, N.J. November 14, 2012 -- North European Oil Royalty Trust (NYSE-
NRT) reported the net income and results for the fourth quarter of fiscal
2012 which appear below compared with the fourth quarter of fiscal 2011.
4th Fiscal Qtr. 4th Fiscal Qtr. Percentage
Ended 10/31/2012 Ended 10/31/2011 Change
---------------- ---------------- ----------
Total Royalties Received $4,846,079 $6,042,056 -19.79%
Net Income $4,679,489 $5,866,147 -20.23%
Distribution per Unit $0.51 $0.64 -20.31%
The Trust receives nearly all of its royalties under two royalty agreements.
The Mobil Agreement is the higher royalty rate agreement and covers gas sales
from the western half of the Oldenburg concession. The OEG Agreement is the
lower royalty rate agreement and covers gas sales from the entire Oldenburg
concession. Gas royalties under the OEG Agreement for the fourth quarter of
fiscal 2012 were reduced by negative adjustments from the prior quarter and
year totaling $567,669, as compared to negative adjustments totaling $122,870
for the fourth quarter of fiscal 2011. Net income in the fourth quarter of
2012 was lower than the fourth quarter of 2011 due to lower gas prices,
reduced gas sales and lower average exchange rates. Relevant details are
shown below.
4th Fiscal Qtr. 4th Fiscal Qtr. Percentage
Ended 10/31/2012 Ended 10/31/2011 Change
---------------- ---------------- ----------
Mobil Agreement
---------------
Gas Sales (Bcf)(1) 9.018 10.021 -10.01%
Gas Prices (Ecents/Kwh)(2) 2.3884 2.5102 - 4.85%
Average Exchange Rate (3) 1.2824 1.3938 - 7.99%
Gas Royalties $3,274,349 $3,786,264 -13.52%
OEG Agreement
-------------
Gas Sales (Bcf) 25.912 28.671 - 9.62%
Gas Prices (Ecents/Kwh) 2.6346 2.7998 - 5.90%
Average Exchange Rate 1.2845 1.3929 - 7.78%
Gas Royalties $855,191 $1,803,626 -52.58%
(1) Billion cubic feet
(2) Euro cents per Kilowatt hour
(3) Based on average exchange rates of cumulative royalty transfers
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Compared to the prior year, Trust expenses for the fourth quarter of fiscal
2012 declined 6.31% to $175,112 from $186,899 in the fourth quarter of fiscal
2011 due to lower Trustee fees as mandated by the terms of the Trust
Agreement. Trust interest income for the fourth quarter of fiscal 2012
declined 22.45% to $8,523 from $10,990 in the fourth quarter of fiscal 2011
due to the reduced funds available for investment.
Net income for fiscal 2012 was lower than fiscal 2011 due to the combination
under both the Mobil and OEG Agreements of lower gas sales of 13.62% and
10.22%, respectively, and of lower average exchange rates of 7.34% and 7.40%,
respectively. The negative impact of these two factors was partially offset
by the positive impact of higher gas prices under both the Mobil and OEG
Agreements of 10.61% and 5.74%, respectively. The comparison of the relevant
periods is shown below.
Fiscal Year Fiscal Year Percentage
Ended 10/31/2012 Ended 10/31/2011 Change
---------------- ---------------- ----------
Total Royalties Received $23,672,808 $25,148,523 - 5.87%
Net Income $22,609,961 $24,195,907 - 6.55%
Distribution per Unit $2.46 $2.63 - 6.46%
The 2013 Annual Meeting is scheduled to begin at 10:30 A.M. on February 12,
2013.
The previously declared distribution of $0.51 per unit will be paid on
November 28, 2012 to owners of record as of November 16, 2012. For further
information contact John R. Van Kirk, Managing Director, at (732) 741-4008
or via e-mail at jvankirk@neort.com. The text of the Trust's press releases
along with other pertinent information is available on the Trust's website:
www.neort.com.
