PR Newswire
RED BANK, N.J., Feb. 15, 2019
RED BANK, N.J., Feb. 15, 2019 /PRNewswire/ -- North
European Oil Royalty Trust (NYSE-NRT) reported the net income for the first quarter of fiscal 2019 which appears in the table
below compared to net income for the first quarter of fiscal 2018. Total royalty income includes adjustments made by the
operating companies to reflect their corrected royalty calculations for prior periods as well as the inclusion or absence of
Mobil sulfur royalties. The total adjustments for the first quarter of fiscal 2019 increased total royalty income by
$54,796. By comparison, in the first quarter of fiscal 2018, total adjustments decreased
total royalty income by $129,582.
|
1st Fiscal Quarter
Ended 1/31/2019
|
1st Fiscal Quarter
Ended 1/31/2018
|
Percentage
Change
|
Total Royalty Income
|
$2,303,000
|
$1,770,241
|
+ 30.10%
|
Net Income
|
$2,037,785
|
$1,495,086
|
+ 36.30%
|
Distributions per Unit
|
$0.22
|
$0.17
|
+ 29.41%
|
The Trust receives nearly 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 factors determining the amount of gas royalties
payable under the two agreements from the preceding calendar quarter are shown in the table below comparing the fourth calendar
quarters of 2018 and 2017. 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 February 27, 2019.
|
Quarterly Gas Data Providing Basis for Fiscal Quarter Royalties
|
Mobil Agreement
|
4th Calendar Quarter
Ended 12/31/2018
|
4th Calendar Quarter
Ended 12/31/2017
|
Percentage
Change
|
Gas Sales (Bcf1)
|
5.535
|
5.660
|
- 2.21%
|
Gas Prices2 (Ecents/kWh3)
|
2.0582
|
1.6593
|
+ 24.04%
|
Average Exchange Rate4
|
1.1349
|
1.1965
|
- 5.15%
|
Gas Royalties
|
$1,484,635
|
$1,278,038
|
+ 16.17%
|
|
|
|
|
OEG Agreement
|
|
|
|
Gas Sales (Bcf)
|
17.536
|
18.150
|
- 3.38%
|
Gas Prices (Ecents/kWh)
|
2.0989
|
1.6921
|
+ 24.04%
|
Average Exchange Rate
|
1.1352
|
1.2008
|
- 5.46%
|
Gas Royalties
|
$649,180
|
$540,669
|
+ 20.07%
|
|
1 Billion cubic feet 2 Gas prices derived
from August-October period 3 Euro cents per kilowatt
hour
4 Based on average Euro/dollar exchange rates of cumulative royalty
transfers
|
Trust expenses for the first quarter of fiscal 2019 decreased 3.26%, or $9,025, to $267,601 from $276,626 for the first quarter of fiscal 2018. The decrease
in expenses reflects shifts in the timing of payments relating to both the biennial examination of the royalty statements by the
Trust's German accountants and the work done by the Trust's petroleum consultant, Graves & Co. Consulting LLC.
The previously declared distribution of 22 cents per unit will be paid on February 27, 2019 to owners of record as of February 15, 2019. For further
information, contact John R. Van Kirk, Managing Director, at (732) 741-4008 or via e-mail at
jvankirk@neort.com. The Trust's press releases
and other pertinent information are available on the Trust's website: www.neort.com.
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SOURCE North European Oil Royalty Trust