Attached files
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Exhibit 99
PR NEWSWIRE
NORTH EUROPEAN OIL ROYALTY TRUST ANNOUNCES
NET INCOME AND RESULTS FOR THE THIRD QUARTER OF FISCAL 2013
Red Bank, N.J. August 13, 2013 -- North European Oil Royalty Trust (NYSE-NRT)
reported the net income and results for the third quarter of fiscal 2013
which appear below compared with the third quarter of fiscal 2012.
3rd Fiscal Qtr. 3rd Fiscal Qtr. Percentage
Ended 7/31/2013 Ended 7/31/2012 Change
--------------- --------------- ----------
Total Royalties Received $4,687,351 $5,846,833 -19.83%
Net Income $4,456,386 $5,589,094 -20.21%
Distribution per Unit $0.49 $0.61 -19.67%
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. The factors determining the amount of gas royalties under the two
agreements are shown in the table below comparing the third quarters of fiscal
2013 and 2012. While gas prices and average exchange rates under the Mobil
Agreement were higher, they did not offset the impact of the reduction in gas
sales. Gas sales under the OEG Agreement were also lower, but higher gas
prices and higher average exchange rates more than offset the sales decline.
3rd Fiscal Qtr. 3rd Fiscal Qtr. Percentage
Ended 7/31/2013 Ended 7/31/2012 Change
--------------- --------------- ----------
Mobil Agreement
---------------
Gas Sales (Bcf)(1) 8.102 9.140 -11.36%
Gas Prices (Ecents/Kwh)(2) 2.7651 2.6666 + 3.69%
Average Exchange Rate (3) 1.3090 1.2530 + 4.47%
Gas Royalties $3,368,452 $3,510,504 - 4.05%
OEG Agreement
-------------
Gas Sales (Bcf) 24.436 26.254 - 6.92%
Gas Prices (Ecents/Kwh) 2.7696 2.5079 +10.44%
Average Exchange Rate 1.3048 1.2488 + 4.48%
Gas Royalties $1,457,094 $1,391,324 + 4.73%
(1) Billion cubic feet
(2) Euro cents per Kilowatt hour
(3) Based on average exchange rates of cumulative royalty transfers
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Trust expenses for the third quarter of fiscal 2013 decreased 13.08% or
$35,033 to $232,783 in comparison to the prior year's equivalent period.
This decline in expenses is due to the reduction in legal costs associated
with the termination of litigation in Germany and the reduction in
accounting costs associated with the prior completion of the examination
of royalty calculations for 2009-2010.
The decrease in total royalty income during the first nine months of fiscal
2013 (as shown in the table below) resulted primarily from lower gas sales
under both the Mobil and OEG Agreements and lower gas prices under the Mobil
Agreement.
Nine Months Nine Months Percentage
Ended 7/31/2013 Ended 7/31/2012 Change
--------------- --------------- ----------
Total Royalties Received $16,531,549 $18,826,729 -12.91%
Net Income $15,774,941 $17,930,472 -12.02%
Distribution per Unit $1.72 $1.95 -11.79%
The previously declared distribution of 49 cents per unit will be paid on
August 28, 2013 to owners of record as of August 16, 2013. 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.
