Chesapeake Granite Wash Trust Announces Additional Distribution of $0.0087 Per Common Unit
Chesapeake Granite Wash Trust announced an additional common unit distribution of $0.0087 per unit for the quarter ended March 31, 2024, totaling $0.0185. The distribution is due to lower trust administrative expenses and amendments in distributable income calculation. The payment will be made on May 30, 2024, to unitholders of record as of May 20, 2024. The Trust owns royalty interests in oil and gas properties in Oklahoma.
- None.
- None.
The additional distribution was due to the following change in the calculation of the distributable income available to unitholders:
-
Actual trust administrative expenses were lower than the estimated amount set forth in the Trust’s May 3, 3024 press release (
vs$192 thousand )$595 thousand
The following table provides supporting detail for the amended calculation of distributable income available to unitholders for the production period from December 1, 2023 through February 29, 2024. The additional common unit distribution is due to the difference between the amended calculated distributable income per common unit of
Sales volumes: |
|
|
|
||
Oil (mbbl) |
|
10 |
|
|
|
Natural gas (mmcf) |
|
229 |
|
|
|
Natural gas liquids (mbbl) |
|
18 |
|
|
|
Total oil equivalent volumes (mboe) |
|
66 |
|
|
|
|
|
|
|
||
Average price received per production unit:(1) |
|
|
|
||
Oil |
|
$ |
72.21 |
|
|
Natural gas |
|
$ |
0.92 |
|
|
Natural gas liquids |
|
$ |
16.86 |
|
|
|
|
|
|
||
Distributable income calculation (in thousands except per unit income): |
|
|
|
||
Revenue less production taxes(1) |
|
$ |
1,154 |
|
|
Trust administrative expenses |
|
(192 |
) |
|
|
Cash withheld to increase cash reserves(2) |
|
(99 |
) |
|
|
Distributable income available to unitholders |
|
$ |
863 |
|
|
Calculated distributable income per unit(3) |
|
$ |
0.0185 |
|
|
(1) |
Includes the effect of certain marketing, gathering and transportation deductions. |
(2) |
The Trustee may increase or decrease the targeted amount of the cash reserve at any time, and may increase or decrease the rate at which it is withholding funds to build the cash reserve at any time, without advance notice to the unitholders. Without limiting the foregoing, the Trustee reviewed the adequacy and sufficiency of the existing cash reserve in 2021 and determined to withhold funds otherwise available for distribution to unitholders each quarter to increase existing cash reserves by a total of approximately |
(3) |
Based on 46,750,000 common units issued and outstanding. |
Due to the timing of the payment of production proceeds to the Trust, quarterly distributions generally include royalties attributable to sales of oil, natural gas liquids and natural gas for three months, including the first two months of the quarter just ended and the last month of the prior quarter.
The Trust owns royalty interests in certain oil and natural gas properties in the Colony Granite Wash play in
For additional information regarding the Trust and its results of operations and financial condition, please refer to the Trust’s SEC filings.
ABOUT CHESAPEAKE GRANITE WASH TRUST:
Pursuant to IRC Section 1446, withholding tax on income effectively connected to a
This news release contains statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this news release, other than statements of historical facts, are “forward-looking statements” for purposes of these provisions. The anticipated distribution discussed herein is based, in part, on the amount of cash received or expected to be received by the Trust with respect to the relevant quarterly period. Any differences in actual cash receipts by the Trust could affect this distributable amount. Other important factors that could cause actual results to differ materially include the conflicts in
View source version on businesswire.com: https://www.businesswire.com/news/home/20240509933444/en/
The Bank of New York Mellon Trust Company, N.A.
Sarah Newell
512-236-6555
sarah.newell@bnymellon.com
Source: Chesapeake Granite Wash Trust
FAQ
What is the additional common unit distribution announced by Chesapeake Granite Wash Trust?
When will the total common unit distribution be paid to unitholders?
What led to the additional distribution by Chesapeake Granite Wash Trust?
What are the sales volumes and average prices received per production unit mentioned in the press release?