PERMIAN BASIN ROYALTY TRUST ANNOUNCES JANUARY CASH DISTRIBUTION, EXCESS COST POSITION ON WADDELL RANCH PROPERTIES AND PETITION FILED BY SOFTVEST

Rhea-AI Summary

Permian Basin Royalty Trust (NYSE: PBT) declared a cash distribution of $0.040056 per unit, payable Feb 13, 2026, to holders of record on Jan 30, 2026. The distribution excludes proceeds from the Waddell Ranch properties because Production Costs exceeded Gross Proceeds for December, creating a continuing excess cost position recoverable only from future Waddell proceeds. Texas Royalty Properties generated $1,095,523 revenue and contributed $914,915 to the distribution after NPI and expenses. General and administrative expenses were $172,927. SoftVest filed a petition seeking modification of the Trust indenture; a preliminary hearing is set for Jan 28, 2026.

Positive

• Distribution declared: $0.040056 per unit
• Texas royalties revenue: $1,095,523 in December
• Texas NPI contribution: $914,915 to January distribution

Negative

• Waddell Ranch in excess cost position; no December proceeds
• General and administrative expenses of $172,927 reduced distribution
• Blackbeard provides quarterly data, delaying monthly NPI transparency

News Market Reaction

+0.75%

1 alert

+0.75% News Effect

On the day this news was published, PBT gained 0.75%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

January distribution: $0.040056 per unit Total distribution: $1,866,989 Texas Royalty revenues: $1,095,523 +5 more

8 metrics

January distribution $0.040056 per unit Declared payable February 13, 2026 to holders of record January 30, 2026

Total distribution $1,866,989 January 2026 cash distribution across 46,608,796 units

Texas Royalty revenues $1,095,523 Revenues from Texas Royalty Properties underlying production for the month

Texas Royalty net profit $963,069 Net Profit after $132,454 taxes and expenses for December

Texas Royalty contribution $914,915 Net contribution from Texas Royalty Properties to this month’s distribution

G&A expenses $172,927 General and administrative expenses deducted for the month, net of interest earned

Oil price $59.18 per bbl Average price on Texas Royalty Properties allocated volumes, mainly October oil

Gas price $8.49 per Mcf Average price including significant NGL pricing, mainly September gas

Market Reality Check

Price: $18.76 Vol: Volume 39,413 vs 20-day a...

normal vol

$18.76 Last Close

Volume Volume 39,413 vs 20-day average 54,661 (relative volume 0.72) suggests no outsized positioning ahead of this update. normal

Technical Units traded at $18.62, above the 200-day MA of $14.95, keeping the trust in a longer-term uptrend despite ongoing Waddell Ranch excess costs.

Peers on Argus

PBT gained 1.2% while close royalty and shipping peers were mixed: SBR -0.41%, T...

PBT gained 1.2% while close royalty and shipping peers were mixed: SBR -0.41%, TK -0.41%, NAT -0.73%, NGL +2.09%, TEN -1.39%. The move appears driven by trust-specific distribution and governance developments rather than a broad sector rotation.

Historical Context

5 past events · Latest: Dec 19 (Neutral)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 19	Monthly distribution	Neutral	-0.8%	December 2025 cash distribution and continued Waddell excess cost disclosure.
Nov 17	Distribution update	Negative	-7.1%	Lower November 2025 distribution and ongoing Waddell excess cost position.
Oct 21	Distribution & meeting	Neutral	-3.4%	October 2025 payout details and notice of SoftVest-requested special meeting.
Sep 19	Distribution & settlement	Positive	-2.4%	Large distribution including first <b>$4.5M</b> settlement payment but no Waddell proceeds.
Aug 19	Litigation settlement	Positive	+3.1%	Announcement of <b>$9M</b> Blackbeard settlement and revised royalty terms.

Pattern Detected

Recent PBT news has centered on monthly distributions, persistent Waddell Ranch excess costs, and SoftVest-led governance efforts. Several distribution announcements with Waddell in deficit coincided with negative price reactions, while the August 2025 Blackbeard litigation settlement saw a positive move, suggesting investors reacted more favorably to structural/legal resolution than to routine distribution updates.

Recent Company History

Over the last six months, PBT updates have focused on monthly distributions, the continuing excess-cost deficit at Waddell Ranch, and the progression of SoftVest’s campaign to reform the Trust Indenture. A $9 million settlement with Blackbeard and its initial $4.5 million installment supported a larger September 2025 payout, but subsequent distributions still excluded Waddell proceeds. Special-meeting and proxy materials around SoftVest’s reformation proposal led to a non-binding supportive vote and, later, a formal court petition, which today’s article further details along with an increased January 2026 cash distribution driven largely by settlement receipts and Texas Royalty performance.

Market Pulse Summary

This announcement details a higher January cash distribution of $0.040056 per unit, funded entirely ...

Analysis

This announcement details a higher January cash distribution of $0.040056 per unit, funded entirely by Texas Royalty Properties and settlement payments while Waddell Ranch remains in an excess-cost position. It also updates holders on SoftVest’s petition to modify the Trust Indenture, which, if granted, could change how future amendments are approved. Investors may watch quarterly Form 10-Q and 10-K disclosures for updated Waddell data and track court proceedings around SoftVest’s requested governance changes.

Key Terms

net profits interest, form 10-q, form 10-k, mcf

4 terms

net profits interest financial

"information from Blackbeard... necessary to calculate the net profits interest ("NPI") proceeds"

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

"the Trustee will be disclosing that information in the quarterly reports on Form 10-Q"

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

"and annual reports on Form 10-K for the foreseeable future"

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

"Production for the underlying Texas Royalty Properties was 17,309 barrels of oil and 8,378 Mcf of gas."

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.

AI-generated analysis. Not financial advice.

DALLAS, Jan. 20, 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 $0.040056 per unit, payable on February 13, 2026, to unit holders of record on January 30, 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 December, 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 increased compared to the previous month due primarily to the second settlement payment being received from Blackbeard Operating LLC, this in conjunction with Texas Royalty Properties having higher oil volumes, along with higher natural gas pricing, partially offset by lower natural gas volumes and oil pricing for the month reported.

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 December 2025 to be included in the January 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 17,309 barrels of oil and 8,378 Mcf of gas. The production for the Trust's allocated portion of the Texas Royalty Properties was 15,285 barrels of oil and 7,401 Mcf of gas. The average price for oil was $59.18 per bbl and for gas was $8.49, which includes significant NGL pricing, per Mcf. This would mainly reflect production and pricing in October for oil and September 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 $1,095,523. Deducted from these revenues were taxes and expenses of $132,454 resulting in a Net Profit of $963,069 for December. With the Trust's NPI of 95% of the Underlying Properties, this would result in a net contribution by the Texas Royalty Properties of $914,915 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	17,309	8,378	15,285	7,401	$59.18	$8.49
Prior Month
Waddell Ranch	(3)	(3)	(3)	(3)	(3)	(3)
Texas Royalties	13,834	12,089	11,957	10,456	$60.17	$8.32
(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 $172,927 resulting in a distribution of $1,866,989 to 46,608,796 units outstanding, or $0.040056 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.

PETITION FILED BY SOFTVEST
On December 26, 2025, SoftVest, L.P.("SoftVest"), a unit holder of the Trust, filed an 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. In the Petition, SoftVest seeks to (i) 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 unit holders in accordance with Article VIII (which, as amended, would permit amendment by a majority in interest of unit holders constituting a quorum at a meeting of unit holders where a quorum is present). A preliminary hearing will be held Wednesday, January 28, 2026, at 3:00 p.m. before the 96^th District Court of Tarrant County, Tom Vandergriff Civil Courts Building, 4^th Floor, 100 North Calhoun Street, Fort Worth, Texas 76196 to address SoftVest's Motion for Substituted Service of Process in the matter.

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

View original content:https://www.prnewswire.com/news-releases/permian-basin-royalty-trust-announces-january-cash-distribution-excess-cost-position-on-waddell-ranch-properties-and-petition-filed-by-softvest-302663280.html

SOURCE Permian Basin Royalty Trust

FAQ

What is the Permian Basin Royalty Trust (PBT) distribution for February 13, 2026?

The Trustee declared a cash distribution of $0.040056 per unit, payable Feb 13, 2026.

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

Production Costs exceeded Gross Proceeds for December, creating an excess cost position; no proceeds were available for distribution.

How much did Texas Royalty Properties contribute to PBT's January 2026 distribution (PBT)?

The Trust's allocated Texas NPI contribution was $914,915 for the month reported.

What are the material expenses affecting PBT's January 2026 distribution?

General and administrative expenses net of interest were $172,927 for the month.

What legal action did SoftVest file against Permian Basin Royalty Trust (PBT) and when is the hearing?

SoftVest filed a petition to modify the Trust indenture; a preliminary hearing is scheduled for Jan 28, 2026 at 3:00 p.m.

Where can investors find PBT's financial reports and distribution history?

Reports and distribution history are available on the Trust's website at http://www.pbt-permian.com/ and via SEC filings.