PERMIAN BASIN ROYALTY TRUST ANNOUNCES FEBRUARY CASH DISTRIBUTION, EXCESS COST POSITION ON WADDELL RANCH PROPERTIES AND UNITHOLDER MAILING BY SOFTVEST

Rhea-AI Summary

Permian Basin Royalty Trust (NYSE: PBT) declared a cash distribution of $0.014221 per unit, payable March 13, 2026, to unitholders of record on February 27, 2026. The February distribution excludes proceeds from the Waddell Ranch properties due to an excess cost position for January.

Texas Royalty Properties contributed $766,506 to the distribution; general and administrative expenses were $103,644. SoftVest mailed a petition seeking judicial modification of the Trust indenture with a hearing set for May 8, 2026.

Positive

• Distribution of $0.014221 per unit declared
• Texas Royalty Properties net contribution of $766,506
• Allocated production: 13,325 bbl oil and 8,573 Mcf gas

Negative

• Waddell Ranch in continuing excess cost position; no January proceeds
• Distribution decreased versus prior month due to lower pricing and volumes
• General and administrative expenses of $103,644 reduced available distributable cash
• SoftVest filed a petition to amend the indenture; hearing May 8, 2026

Key Figures

February distribution per unit: $0.014221 per unit Total distribution amount: $662,862 Units outstanding: 46,608,796 units +5 more

8 metrics

February distribution per unit $0.014221 per unit Declared payable March 13, 2026 to holders of record February 27, 2026

Total distribution amount $662,862 January net distributable amount to unitholders

Units outstanding 46,608,796 units Units of beneficial interest receiving February 2026 distribution

Texas Royalties revenue $925,795 Revenues from Texas Royalty Properties underlying production for January

Texas Royalties net profit $806,849 Net profit after $118,946 taxes and expenses for January

Contribution from Texas Royalties $766,506 Net contribution to this month’s distribution (95% NPI)

G&A expenses $103,644 General and administrative expenses deducted for the month, net of interest

Oil and gas prices $56.78/bbl oil; $5.85/Mcf gas Average prices for allocated Texas Royalty production (mainly Nov oil, Oct gas)

Market Reality Check

Price: $18.86 Vol: Volume 45,945 is below 20...

normal vol

$18.86 Last Close

Volume Volume 45,945 is below 20-day average of 65,571, suggesting muted pre-news positioning. normal

Technical Price 18.86 is trading above 200-day MA of 15.8, reflecting a pre-news uptrend.

Peers on Argus

PBT gained 1.73% with several oil royalty/tanker peers also positive (e.g., SBR ...

PBT gained 1.73% with several oil royalty/tanker peers also positive (e.g., SBR 0.78%, TK 4.1%, TEN 4.12%), but no sector-wide momentum signal was flagged.

Historical Context

5 past events · Latest: Jan 20 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 20	Monthly distribution update	Neutral	+0.8%	January cash distribution and continued Waddell excess-cost position with SoftVest petition.
Dec 19	Distribution and meeting result	Neutral	-0.8%	December cash distribution, Waddell excess costs, and outcome of SoftVest-called meeting.
Nov 17	Monthly payout and special meeting	Neutral	-7.1%	November distribution, Texas Royalty net profit, and notice of December special meeting.
Oct 21	Monthly distribution notice	Neutral	-3.4%	October distribution terms and reiteration of Waddell excess-cost status and SoftVest meeting.
Sep 19	Distribution and settlement	Neutral	-2.4%	Large September distribution including first Blackbeard settlement tranche and Waddell deficit.

Pattern Detected

Recent distribution/excess-cost updates around Waddell Ranch and SoftVest actions have typically led to modest single-day moves, without a consistent directional pattern.

Recent Company History

Over the last few months, PBT’s news flow has centered on monthly cash distributions, a persistent excess-cost position at Waddell Ranch, and governance efforts led by SoftVest. Prior releases on Sep 19, Oct 21, Nov 17, Dec 19 and Jan 20 highlighted varying per‑unit payouts, contributions from Texas Royalty Properties, and ongoing legal or meeting activity about indenture changes. Today’s update continues these themes, combining a lower February distribution, ongoing Waddell excess costs, and details on SoftVest’s petition and upcoming bench trial.

Market Pulse Summary

This announcement details a lower February cash distribution of $0.014221 per unit, continued excess...

Analysis

This announcement details a lower February cash distribution of $0.014221 per unit, continued excess-cost status on the Waddell Ranch properties, and Texas Royalty production that generated $925,795 in revenue and a $766,506 contribution. It also outlines SoftVest’s petition to modify the Trust Indenture and an upcoming bench trial. Investors may focus on how Waddell’s deficit, oil and gas pricing, and court outcomes interact with recurring distribution levels over time.

Key Terms

net profits interest, form 10-q, form 10-k, mcf, +2 more

6 terms

net profits interest financial

"necessary to calculate the net profits interest ("NPI") proceeds for a given month"

A net profits interest (NPI) is a contractual right to receive a fixed percentage of a project’s or asset’s profits after allowable costs are paid, rather than a share of gross revenue or ownership. For investors, it matters because it gives upside tied to actual profitability while shielding the holder from direct operating expenses and capital calls, similar to getting a portion of the leftover profits from a business after the bills are settled.

form 10-q regulatory

"information in the quarterly reports on Form 10-Q and annual reports on Form 10-K"

A Form 10-Q is a detailed report that publicly traded companies are required to file with regulators three times a year, providing an update on their financial health and business activities. It is important for investors because it offers timely insights into a company's performance, helping them make informed decisions about buying or selling stocks. Think of it as a regular check-up report that shows how well a company is doing.

form 10-k regulatory

"information in the quarterly reports on Form 10-Q and annual reports on Form 10-K"

A Form 10-K is a comprehensive report that publicly traded companies are required to file annually with regulators. It provides a detailed overview of a company's financial health, operations, and risks, similar to a detailed health report. Investors use this information to assess the company's performance and make informed decisions about buying or selling its stock.

mcf technical

"15,292 barrels of oil and 9,841 Mcf of gas. The production for the Trust's allocated"

Mcf stands for thousand cubic feet and is a standard unit used to measure natural gas volume. For investors, Mcf translates physical gas production or consumption into a metric that directly affects revenue and valuation—think of it as counting liters of fuel your car used, where higher Mcf usually means more product to sell or higher costs to buy, and changes can signal shifts in supply, demand, or profitability.

bench trial regulatory

"Notice of Bench Trial, also collectively known as the "Unitholder Mailing"."

A bench trial is a court case decided only by a judge rather than by a jury. For investors it matters because a single judge’s interpretation of law and facts can change the speed, predictability and likely outcome of disputes over contracts, patents or regulatory issues—potentially affecting a company’s costs, future revenue or ability to operate, much like a single referee making a final call instead of a crowd vote.

indenture regulatory

"seeking judicial modification of the Trust's Indenture, and the Petitioner SoftVest"

An indenture is a legal agreement between a company that borrows money by issuing bonds and the people who buy those bonds. It explains the rules the company must follow, like paying back the money and keeping certain financial promises. This document helps both sides understand their rights and responsibilities.

AI-generated analysis. Not financial advice.

DALLAS, Feb. 17, 2026 /PRNewswire/ -- Argent Trust Company, as Trustee of the Permian Basin Royalty Trust (NYSE: PBT) ("Permian" or the "Trust") today declared a cash distribution to the holders of its units of beneficial interest of $0.014221 per unit, payable on March 13, 2026, to unit holders of record on February 27, 2026. The distribution does not include proceeds from the Waddell Ranch properties, as total production costs ("Production Costs") exceeded gross proceeds ("Gross Proceeds") for the month of January, resulting in a continuing excess cost position for the Waddell Ranch properties. More information regarding the Waddell Ranch properties is described below.

This month's distribution decreased compared to the previous month due primarily to the second settlement payment being received from Blackbeard Operating LLC last month, this in conjunction with Texas Royalty Properties having lower oil volumes, along with lower oil and natural gas pricing, partially offset by higher natural gas volumes.

WADDELL RANCH
Information from Blackbeard, the operator of the Waddell Ranch properties, necessary to calculate the net profits interest ("NPI") proceeds for a given month is received after the announcement date for the month's distribution. As a result, in accordance with the Trust indenture, if NPI proceeds are received from the Waddell Ranch properties on or prior to the record date, they will be included in the following month's distribution.
As noted above, no proceeds were received by the Trustee in January 2026 to be included in the February distribution.  All excess costs, including any accrued interest, will need to be recovered by future proceeds from the Waddell Ranch properties before any proceeds are distributed to the Trust. Due to the fact that Blackbeard provides production, pricing and cost information quarterly instead of monthly, the Trustee will be disclosing that information in the quarterly reports on Form 10-Q and annual reports on Form 10-K for the foreseeable future (to the extent timely received from Blackbeard).

TEXAS ROYALTY PROPERTIES
Production for the underlying Texas Royalty Properties was 15,292 barrels of oil and 9,841 Mcf of gas. The production for the Trust's allocated portion of the Texas Royalty Properties was 13,325 barrels of oil and 8,573 Mcf of gas. The average price for oil was $56.78 per bbl and for gas was $5.85, which includes significant NGL pricing, per Mcf. This would mainly reflect production and pricing in November for oil and October for gas. These allocated volumes were impacted by the pricing of both oil and gas. This production and pricing for the underlying properties resulted in revenues for the Texas Royalty Properties of $925,795. Deducted from these revenues were taxes and expenses of $118,946 resulting in a Net Profit of $806,849 for January. With the Trust's NPI of 95% of the underlying properties, this would result in a net contribution by the Texas Royalty Properties of $766,506 to this month's distribution.

	Underlying Properties		Net to Trust Sales
	Volumes		Volumes		Average Price
	Oil (bbls)	Gas (Mcf)	Oil (bbls)	Gas       (Mcf) (1)	Oil (per bbl)	Gas            (per Mcf) (2)
Current Month
Waddell Ranch	(3)	(3)	(3)	(3)	(3)	(3)
Texas Royalties	15,292	9,841	13,325	8,573	$56.78	$5.85
Prior Month
Waddell Ranch	(3)	(3)	(3)	(3)	(3)	(3)
Texas Royalties	17,309	8,378	15,285	7,401	$59.18	$8.49
(1) These volumes are net to the Trust, after allocation of expenses to Trust's net profit interest, including any prior period adjustments.
(2) This pricing includes sales of gas liquid products.
(3) Information is not being made available monthly but may be provided within 30 days next following the close of each calendar quarter. To the extent the Trustee receives such information timely following the quarter, information will be included in the Trust's quarterly report on Form 10-Q for the applicable quarter (or the annual report on Form 10-K with respect to the fourth quarter).

 

General and Administrative Expenses deducted for the month, net of interest earned were $103,644 resulting in a distribution of $662,862 to 46,608,796 units outstanding, or $0.014221 per unit.
The worldwide market conditions continue to affect the pricing for domestic production. It is difficult to predict what effect these conditions will have on future distributions.

UNITHOLDER MAILING FILED BY SOFTVEST
On or about February 10, 2026, SoftVest, L.P. ("SoftVest"), a unit holder of the Trust, mailed documents to holders of units of beneficial interest ("Unitholders") which included a cover letter, a Citation in the District Court of Tarrant County, Texas ("Citation"), the Original Petition for Modification of Trust (the "Petition") in the District Court of Tarrant County, Texas (Cause No. 96-373245-25) seeking judicial modification of the Trust's Indenture, and the Petitioner SoftVest, L.P.'s Notice of Bench Trial on Petitioner's Original Petition for Modification of Trust ("Notice of Bench Trial"), also collectively known as the "Unitholder Mailing". The Unitholder Mailing advises Unitholders of a hearing to be scheduled Friday, May 8, 2026, at 10:30 a.m. before the 96th District Court of Tarrant County, Tom Vandergriff Civil Courts Building, 4th Floor, 100 North Calhoun Street, Fort Worth, Texas 76196, on the merits of SoftVest's Petition pursuant to which it seeks to (1) amend Section 8.03 of the Indenture to eliminate the requirement that certain amendments require approval by 75% of the outstanding units of the Trust, and (2) delete Section 10.01 of the Indenture that sets forth certain prohibited amendments and replace Article X of the Indenture with a provision permitting amendment of any provision of the Indenture by a vote of unitholders in accordance with Article VIII (which, as amended, would permit amendment by a majority in interest of unitholders constituting a quorum at a meeting of unitholders where a quorum is present).

The 2024 Annual Report with Form 10-K, which includes the December 31, 2024, Reserve Summary, has been filed with the Securities Exchange Commission. Permian's cash distribution history, current and prior year financial reports, tax information booklets, and a link to filings made with the Securities and Exchange Commission, all can be found on Permian's website at http://www.pbt-permian.com/. Additionally, printed reports can be requested and are mailed free of charge.

FORWARD-LOOKING STATEMENTS
Any statements in this press release about future events or conditions, and other statements containing the words "estimates," "believes," "anticipates," "plans," "expects," "will," "may," "intends," and similar expressions, other than historical facts, constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Factors or risks that could cause the Trust's actual results to differ materially from the results the Trustee anticipates include, but are not limited to the factors described in Part I, Item 1A, "Risk Factors" of the Trust's Annual Report on Form 10-K for the year ended December 31, 2024, and Part II, Item 1A, "Risk Factors" of subsequently filed Quarterly Reports on Form 10-Q.

Actual results may differ materially from those indicated by such forward-looking statements. In addition, the forward-looking statements included in this press release represent the Trustee's views as of the date hereof. The Trustee anticipates that subsequent events and developments may cause its views to change. However, while the Trustee may elect to update these forward-looking statements at some point in the future, it specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Trustee's views as of any date subsequent to the date hereof.

Contact: Nancy Willis, Director of Royalty Trust Services, Argent Trust Company, Trustee, Toll Free – 1.855.588.7839

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SOURCE Permian Basin Royalty Trust

FAQ

What is the February 2026 cash distribution for Permian Basin Royalty Trust (PBT)?

The Trust declared a cash distribution of $0.014221 per unit. According to Permian Basin Royalty Trust, the distribution is payable March 13, 2026, to unitholders of record February 27, 2026.

Why were Waddell Ranch proceeds excluded from PBT's February 2026 distribution?

No proceeds from Waddell Ranch were included because Production Costs exceeded Gross Proceeds for January. According to Permian Basin Royalty Trust, excess costs must be recovered before any distributions.

How much did Texas Royalty Properties contribute to PBT's February 2026 distribution?

The Trust's allocated portion from Texas Royalties contributed $766,506 to this month's distribution. According to Permian Basin Royalty Trust, that reflects a NPI of 95% after taxes and expenses.

What corporate action did SoftVest take regarding PBT's trust indenture (PBT)?

SoftVest mailed a petition seeking judicial modification of the indenture and set a hearing for May 8, 2026. According to Permian Basin Royalty Trust, the petition proposes amending vote requirements and Article X.

How did production and pricing affect PBT's February 2026 distribution?

Lower oil and gas pricing and reduced oil volumes decreased the distribution compared to the prior month. According to Permian Basin Royalty Trust, higher natural gas volumes partially offset declines.