SABINE ROYALTY TRUST ANNOUNCES MONTHLY CASH DISTRIBUTION FOR JULY 2025

Rhea-AI Summary

Sabine Royalty Trust (NYSE: SBR) has declared a monthly cash distribution of $0.345930 per unit for July 2025, payable on July 29, 2025, to unitholders of record on July 15, 2025.

The distribution reflects oil production for April 2025 and gas production for March 2025, with preliminary volumes of 42,748 barrels of oil at $65.46 per barrel and 940,600 Mcf of gas at $3.24 per Mcf. This month's distribution decreased compared to the previous month due to lower oil and natural gas production volumes and decreased oil pricing.

Additionally, approximately $505,000 of revenue received will be posted in July, and $5,273,000 in revenue has been received since the close of business in June.

Positive

• Stable gas pricing at $3.24 per Mcf, slightly up from $3.22 in the previous month
• Significant revenue receipt of $5,273,000 since June's close
• Consistent monthly distribution maintained for unitholders

Negative

• 27.3% decrease in oil production from 58,818 to 42,748 barrels
• 6.4% decrease in gas production from 1,004,988 to 940,600 Mcf
• 3.2% decline in oil prices from $67.59 to $65.46 per barrel

Insights

Energy Royalty Trust Analyst

Sabine's July distribution fell to $0.345930 per unit amid decreased oil production and prices; production dropped 27.3% for oil.

Sabine Royalty Trust has announced a $0.345930 per unit cash distribution for July 2025, highlighting a notable decline from the previous month's payout. This decrease stems primarily from a 27.3% drop in oil production (from 58,818 barrels to 42,748 barrels) and a 6.4% reduction in gas production (from 1,004,988 Mcf to 940,600 Mcf). Adding to the distribution pressure, oil prices also decreased by 3.2% to $65.46 per barrel, though gas prices showed a marginal increase of 0.6% to $3.24 per Mcf.

The substantial production decline represents a potential concern for unitholders, as month-to-month fluctuations this significant can introduce volatility to income streams. However, the trust did disclose approximately $5,273,000 in revenue received after June's close but before this press release, suggesting reasonable ongoing cash flow generation. Additionally, about $505,000 in late-June revenue will be included in next month's distribution, potentially providing some stabilization to future payouts.

The timing mismatch between production periods and distribution months (reflecting April oil and March gas production) means unitholders should analyze longer-term trends rather than reacting to single-month movements. While commodity prices remain reasonably healthy, the substantial production decrease warrants monitoring to determine if this represents a temporary fluctuation or signals a more concerning trend in the trust's underlying assets.

DALLAS, July 3, 2025 /PRNewswire/ -- Argent Trust Company, as Trustee of the Sabine Royalty Trust (NYSE: SBR), today declared a cash distribution to the holders of its units of beneficial interest of $0.345930 per unit, payable on July 29, 2025, to unit holders of record on July 15, 2025. Sabine's cash distribution history, current and prior year financial reports and tax information booklets, a link to filings made with the Securities and Exchange Commission and more can be found on its website at http://www.sbr-sabine.com/. Additionally, printed reports can be requested and are mailed free of charge.

This distribution reflects primarily the oil production for April 2025 and the gas production for March 2025, which is considered current production. Preliminary production volumes are approximately 42,748 barrels of oil and 940,600 Mcf of gas. Preliminary prices are approximately $65.46 per barrel of oil and $3.24 per Mcf of gas.

This month's distribution is lower than the previous month's primarily due to a decrease in oil and natural gas production, along with a decrease in oil pricing.

The table below compares this month's production and prices to the previous month's:

		Net to Trust Sales
		Volumes (a)						Average Price (a)
		Oil (bbls)			Gas (Mcf)			Oil (per bbl)		Gas (per Mcf)
Current Month		42,748			940,600			$65.46		$3.24
Prior Month		58,818			1,004,988			$67.59		$3.22

(a) Sales volumes are recorded in the month the Trust receives and identifies the related royalty income. Because of this, sales volumes and pricing may fluctuate from month to month based on the timing of cash receipts.

Revenues are only distributed after they are received, verified, and posted. Most energy companies normally issue payment of royalties on or about the 25^th of every month, and depending on mail delivery, a varying amount of royalties are not received until after the revenue posting on the last business day of the month. The revenues received after that date will be posted within 30 days of receipt.

Due to the timing of the end of the month of June, approximately $505,000 of revenue received will be posted in the following month of July in addition to normal cash receipts received during July. Since the close of business in June and prior to this press release, approximately $5,273,000 in revenue has been received.

The 2024 Annual Report with Form 10-K and the December 31, 2024, Reserve Summary are available on the Sabine website at http://www.sbr-sabine.com/. 

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.

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SOURCE Sabine Royalty Trust

FAQ

What is the SBR dividend payment for July 2025?

Sabine Royalty Trust (SBR) will pay a cash distribution of $0.345930 per unit on July 29, 2025, to unitholders of record as of July 15, 2025.

How did Sabine Royalty Trust's production volumes change in the latest report?

Oil production decreased to 42,748 barrels from 58,818 barrels, and gas production declined to 940,600 Mcf from 1,004,988 Mcf compared to the previous month.

What are the current oil and gas prices for Sabine Royalty Trust (SBR)?

The Trust reported preliminary prices of $65.46 per barrel of oil and $3.24 per Mcf of gas.

Why did SBR's distribution decrease for July 2025?

The distribution decreased primarily due to lower oil and natural gas production volumes, combined with a decrease in oil pricing compared to the previous month.

How much additional revenue will Sabine Royalty Trust post in July 2025?

The Trust will post approximately $505,000 of additional revenue in July, plus $5,273,000 in revenue received since June's close.