Hugoton Royalty Stock Price, News & Analysis

Simmons Bank, Trustee of the Hugoton Royalty Trust (OTCQB:HGTXU), announced no cash distribution for May 2022 due to high costs and a lack of cash reserves. The Trust generated approximately $334,000 from net profits interests, but after covering $104,000 in administrative expenses, it paid down an outstanding balance of $658,000 owed to Simmons Bank. Future distributions depend on net income recovery and replenishing a cash reserve of about $1 million. Underlying gas sales dipped to 841,000 Mcf from 708,000 Mcf the prior month, with prices falling from $6.96 to $5.65 per Mcf.

On February 17, 2022, Simmons Bank, Trustee of Hugoton Royalty Trust (HGTXU), announced no cash distribution for February 2022 due to excess costs across all three net profits interests. Underlying gas sales for the current month were 831,000 Mcf at an average price of $6.15, a decline from 850,000 Mcf at $6.72 in the previous month. Cumulative excess costs for Kansas, Oklahoma, and Wyoming interests total $12,134,000. The Trustee's financial responsibility has increased as its expense reserve has been depleted since October 2020, necessitating direct payments from Simmons Bank.

On January 21, 2022, Hugoton Royalty Trust (OTCQB:HGTXU) announced no cash distribution for January 2022 due to excess costs associated with its net profits interests. Underlying gas sales for the current month totaled 850,000 Mcf at $6.72 per Mcf, slightly higher than the prior month. XTO Energy reported significant deductions for production expenses totaling $1,292,000. The Trust faces cumulative excess costs of $3,442,000 in Kansas, $11,589,000 in Oklahoma, and $1,001,000 in Wyoming. A proposed asset sale to XTO Energy remains unapproved by unitholders.

Hugoton Royalty Trust (OTCQB: HGTXU) announced no cash distribution for December 2021 due to increased costs on its net profits interests. Underlying gas sales in the current month were recorded at 840,000 Mcf with an average price of $6.48 per Mcf, slightly lower than 842,000 Mcf at $4.86 in the previous month. The Trustee also noted significant excess costs totaling $3.4 million in Kansas and $14.4 million in Oklahoma, affecting future distributions. A sale agreement with XTO Energy for $6.6 million remains pending unitholder approval.

On November 19, 2021, Simmons Bank, Trustee of the Hugoton Royalty Trust (OTCQB:HGTXU), announced no cash distribution for November 2021 due to excess cost issues. Underlying gas sales volumes for the month were 842,000 Mcf, a slight decrease from 853,000 Mcf in the prior month, with an average price per Mcf at $4.86. The Trust continues to face significant excess costs totaling $3.58 million in Kansas and $16.67 million in Oklahoma. Additionally, a purchase and sale agreement with XTO Energy for $6.6 million remains pending, requiring unit holder approval by December 10, 2021.

Simmons Bank, as Trustee of the Hugoton Royalty Trust (HGTXU), announced there would be no cash distribution for October 2021 due to excess cost positions across its net profits interests. Underlying gas sales for the month totaled 853,000 Mcf at an average price of $4.81 per Mcf. The Trust is also proceeding with a $6.6 million asset sale to XTO Energy, subject to unit holder approval on December 10, 2021. Additionally, cumulative excess costs have reached $3.586 million in Kansas and $18.165 million in Oklahoma, impacting future distributions.

On September 20, 2021, Simmons Bank, Trustee of the Hugoton Royalty Trust (HGTXU), announced that there would be no cash distribution for September 2021 due to excess costs associated with the Trust's net profits interests. Underlying gas sales volumes totaled 877,000 Mcf, with an average price of $4.23 per Mcf. The Trust is also in the process of selling its assets to XTO Energy for $6.6 million, pending approval from unitholders. Cumulative excess costs remaining stand at $3.6 million in Kansas, $19.8 million in Oklahoma, and $3.2 million in Wyoming.

Simmons Bank, as Trustee of the Hugoton Royalty Trust (OTCQB:HGTXU), announced there will be no cash distribution for August 2021 due to excess costs on all three of the Trust's conveyances of net profits interests. Total underlying gas sales for the current month were 878,000 Mcf, with an average price of $3.73 per Mcf. The Trustee is working on a sale agreement with XTO Energy for $6.6 million, pending approval from unit holders. Excess costs for Kansas, Oklahoma, and Wyoming properties total $27,063,000. The Trust's expense reserve has been depleted since October 2020.

Simmons Bank, Trustee of Hugoton Royalty Trust (HGTXU), announced there will be no cash distribution for July 2021 due to excess costs on net profits interests. Underlying gas sales for the current month totaled 1,009,000 Mcf, with an average price of $3.55 per Mcf. Additionally, a purchase agreement with XTO Energy to acquire trust assets for $6.6 million is pending unit holder approval. Excess costs are substantial, totaling $3,586,000 for Kansas, $22,389,000 for Oklahoma, and $3,934,000 for Wyoming. Future distributions may be halted while excess costs are recovered.