Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - HUGOTON ROYALTY TRUST | d352826d8k.htm |
EXHIBIT 99.1
[NEWS RELEASE LETTERHEAD OF HUGOTON ROYALTY TRUST APPEARS HERE]
HUGOTON ROYALTY TRUST
DECLARES FEBRUARY CASH DISTRIBUTION
Dallas, Texas, February 17, 2017 – Southwest Bank, as Trustee of the Hugoton Royalty Trust (NYSE: HGT) (the “Trust”), today declared a cash distribution to the holders of its units of beneficial interest of $0.014913 per unit, payable on March 14, 2017, to unitholders of record on February 28, 2017. The following table shows underlying gas sales and average prices attributable to the net overriding royalty for both the current month and prior month. Underlying gas sales volumes attributable to the current month were primarily produced in December.
| Underlying Gas Sales | ||||||||||||
| Volumes (Mcf) (a) | Average Gas | |||||||||||
| Total | Daily | Price per Mcf | ||||||||||
| Current Month |
1,203,000 | 39,000 | $ | 3.14 | ||||||||
| Prior Month |
1,193,000 | 40,000 | $ | 2.71 | ||||||||
| (a) | Sales volumes are recorded in the month the trust receives the related net profits income. Because of this, sales volumes may fluctuate from month to month based on the timing of cash receipts. |
XTO Energy has advised the trustee that it has deducted budgeted development costs of $200,000, production expense of $727,000 and overhead of $809,000 in determining the royalty payment to the Trust for the current month.
Excess Costs
XTO Energy has advised the trustee that increased gas prices led to the partial recovery of excess costs on properties underlying the Kansas net profits interests. However after the partial recovery, there were no remaining proceeds from the properties underlying the Kansas net profits interests to be included in this month’s distribution.
XTO Energy has advised the trustee that decreased expenses and increased gas prices led to the partial recovery of excess costs on properties underlying the Wyoming net profits interests. However after the partial recovery, there were no remaining proceeds from the properties underlying the Wyoming net profits interests to be included in this month’s distribution.
For more information on the Trust, please visit our web site at www.hgt-hugoton.com.
Statements made in this press release regarding future events or conditions are forward looking statements. Actual future results, including development costs and future net profits, could differ materially due to changes in natural gas prices and other economic conditions affecting the gas industry and other factors described in Part I, Item 1A of the Trust’s Annual Report on Form 10-K for the year ended December 31, 2015.
* * *
| Contact: |
Nancy Willis Vice President Southwest Bank, Trustee 855-588-7839 |