Attached files
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Exhibit 99
PR NEWSWIRE
NORTH EUROPEAN OIL ROYALTY TRUST ANNOUNCES
NET INCOME AND RESULTS FOR THE SECOND QUARTER OF FISCAL 2015
Red Bank, N.J. May 14, 2015 - North European Oil Royalty Trust (NYSE-NRT)
reported the net income and results for the second quarter of fiscal 2015
which appear below compared with the second quarter of fiscal 2014.
2nd Fiscal Qtr. 2nd Fiscal Qtr. Percentage
Ended 4/30/2015 Ended 4/30/2014 Change
--------------- --------------- ----------
Total Royalties Received $3,238,135 $5,346,449 -39.43%
Net Income $3,074,495 $5,140,001 -40.18%
Distributions Per Unit $0.33 $0.56 -41.07%
The Trust receives all of its royalties under two royalty agreements. The
Mobil Agreement, the higher royalty rate agreement, covers gas sales from
the western half of the Oldenburg concession. The OEG Agreement, the lower
royalty rate agreement, covers gas sales from the entire Oldenburg
concession. The decline in total royalties received in the second quarter of
fiscal 2015 as compared to the second quarter of fiscal 2014 resulted from
the combination of larger negative accounting adjustments by the operating
companies from prior periods and reduced gas royalties. The royalty income
for the second quarter of fiscal 2015 was reduced by a negative adjustment of
$340,524; whereas the second quarter of fiscal 2014 saw a positive adjustment
of $12,068. The reduction in gas royalties was primarily caused by the
combination of lower gas prices and lower average exchange rates as shown in
the table below. Further details will be available in the Trust's 10-Q
filing available through the SEC or on the Trust's website, www.neort.com,
on or about May 22, 2015.
Factors Determining Gas Royalties Payable
-------------------------------------------------
1st Calendar Qtr. 1st Calendar Qtr. Percentage
Ended 3/31/2015 Ended 3/31/2014 Change
--------------- --------------- ----------
Mobil Agreement
---------------
Gas Sales (Bcf)(1) 7.642 7.651 - 0.12%
Gas Prices (Ecents/Kwh)(2) 2.3212 2.6635 -12.85%
Average Exchange Rate (3) $1.0754 $1.3776 -21.94%
Gas Royalties $2,198,548 $3,225,728 -31.84%
OEG Agreement
-------------
Gas Sales (Bcf) 23.137 24.355 - 5.00%
Gas Prices (Ecents/Kwh) 2.4128 2.7096 -10.95%
Average Exchange Rate $1.0830 $1.3774 -21.37%
Gas Royalties $ 969,655 $1,487,638 -34.82%
(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 second quarter of fiscal 2015 decreased 21.60%, or
$45,689, to $165,879 in comparison to $211,568 in the second quarter of
fiscal 2014. This decrease was due to lower Trustee fees as specified in
the Trust Agreement, reduced mailing costs, and no work done by the Trust's
German accountants.
The decrease in total royalties received during the first six months of
fiscal 2015 (as shown in the table below) was due to a combination of larger
negative adjustments for the first six months of fiscal 2015 in comparison to
the first six months of fiscal 2014 and lower gas royalties resulting from
lower gas prices and lower average exchange rates under both the Mobil and
the OEG Agreements.
Six Months Six Months Percentage
Ended 4/30/2015 Ended 4/30/2014 Change
--------------- --------------- ----------
Total Royalties Received $ 6,680,848 $10,641,982 -37.22%
Net Income $ 6,171,411 $10,098,809 -38.89%
Distributions per Unit $0.68 $1.10 -38.18%
The previously declared distribution of 33 cents per unit will be paid on
May 27, 2015 to owners of record as of May 15, 2015. 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.
