Permianville Royalty Trust Announces Monthly Cash Distribution - Seite 2

Recorded oil cash receipts from the Underlying Properties totaled $2.5 million for the current month on realized wellhead prices of $49.22/bbl. Recorded natural gas cash receipts from the Underlying Properties totaled $0.8 million for the current month on realized wellhead prices of $2.77/mcf.

Total direct operating expenses for the period were $2.0 million, reflecting a decrease in accrued lease operating expenses to incorporate more recent operating expense trends. Capital expenditures were $0.2 million in the month of December 2018.

Recent Developments

As previously disclosed, in the third quarter of 2018 the Sponsor determined to participate in three non-operated Wolfcamp shale wells to be drilled by a well-known, investment grade public exploration and production company at locations subject to the Trust’s net profits interest. As publicly reported by the operator in January 2019, the three gross wells associated with the Underlying Properties reported an average 24-hour gross initial production rate of 1,627 boe/d (89% oil) at an average lateral length of 10,769 feet, or 149 boe/d per 1,000 feet of lateral length. The three wells are on-line and production is expected to begin to be reflected in cash distributions sometime in the first quarter of 2019. The average initial production results of the three wells was 35% higher than initial expectations for these wells.

About Permianville Royalty Trust

Permianville Royalty Trust is a Delaware statutory trust formed to own a net profits interest representing the right to receive 80% of the net profits from the sale of oil and natural gas production from certain, predominantly non-operated, oil and gas properties in the states of Texas, Louisiana and New Mexico. As described in the Trust’s filings with the Securities and Exchange Commission, the amount of the periodic distributions is expected to fluctuate, depending on the proceeds received by the Trust as a result of actual production volumes, oil and gas prices, the amount and timing of capital expenditures, and the Trust’s administrative expenses, among other factors. Future distributions are expected to be made on a monthly basis. For additional information on the Trust, please visit www.permianvilleroyaltytrust.com.