Sabine Royalty Trust Files Annual Report on Form 10-K for Fiscal Year Ended December 31, 2023

TL;DR

<b>Sabine Royalty Trust has filed its 2023 annual report (10-K) detailing its operations and financial status.</b>

AI Summary

SABINE ROYALTY TRUST (SBR) filed a Annual Report (10-K) with the SEC on February 29, 2024. Sabine Royalty Trust filed its annual report on Form 10-K for the fiscal year ended December 31, 2023. The trust is incorporated in Texas and its IRS Employer Identification No. is 75-6297143. The principal executive offices are located at 3838 Oak Lawn Avenue, Suite 1720, Dallas, Texas. Units of Beneficial Interest are traded on the New York Stock Exchange under the trading symbol SBR. The registrant is not a well-known seasoned issuer and is not required to file reports pursuant to Section 13 or Section 15(d) of the Act for shorter periods.

Why It Matters

For investors and stakeholders tracking SABINE ROYALTY TRUST, this filing contains several important signals. This filing provides stakeholders with a comprehensive overview of the trust's performance and financial health for the past fiscal year, crucial for investment decisions. As a publicly traded entity, the 10-K filing ensures transparency and compliance with SEC regulations, allowing investors to assess the trust's assets and liabilities.

Risk Assessment

Risk Level: low — SABINE ROYALTY TRUST shows low risk based on this filing. The filing is a standard annual report (10-K) and does not contain immediate material changes or significant new risks beyond typical disclosures for a royalty trust.

Analyst Insight

Review the full 10-K filing for detailed financial statements, risk factors, and operational updates to assess the trust's performance and future outlook.

Key Numbers

• 2023 — Fiscal Year End (Reported fiscal year)
• 1231 — Fiscal Year End (Reported fiscal year)
• 001-08424 — SEC File Number (Commission File Number)
• 75-6297143 — IRS Number (IRS Employer Identification No.)

Key Players & Entities

• Sabine Royalty Trust (company) — Registrant name
• 2023 (date) — Fiscal year end
• December 31, 2023 (date) — Fiscal year end
• Texas (location) — State of incorporation
• 75-6297143 (other) — IRS Employer Identification No.
• Argent Trust Company (company) — Address of principal executive offices
• 3838 Oak Lawn Avenue, Suite 1720, Dallas, Texas (location) — Business address
• SBR (ticker) — Trading Symbol

FAQ

Risk Factors

• Reporting Requirements [low — regulatory]: The registrant must file annual reports (10-K) and other required reports pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
• Interactive Data File Submission [low — regulatory]: The registrant must submit electronically every Interactive Data File required by Rule 405 of Regulation S-T.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K filing.
• 2024-02-29: Filing Date — Date the 10-K report was filed with the SEC.

Glossary

Form 10-K

An annual report required by the U.S. Securities and Exchange Commission (SEC), which gives a comprehensive summary of a company's financial performance. (This is the primary document filed by Sabine Royalty Trust to report its annual financial results and operational status.)

Units of Beneficial Interest

Represents ownership in a trust, entitling the holder to a share of the trust's income or assets. (These are the securities traded by investors in Sabine Royalty Trust.)

Key Financial Figures

• $961 million — tes of the registrant was approximately $961 million. At February 29, 2024 there were 14,5
• $3,564,339 — ve expenses for the Trust for 2023 were $3,564,339 of which, pursuant to the terms of the
• $67,800 — nt to the terms of the Trust Agreement, $67,800 was paid to Simmons Bank, as Trustee, a
• $203,200 — s paid to Simmons Bank, as Trustee, and $203,200 was paid to Simmons Bank as escrow agen
• $477,800 — s paid to Simmons Bank as escrow agent. $477,800 was paid to Argent Trust Company, as Tr
• $1,433,600 — o Argent Trust Company, as Trustee, and $1,433,600 was paid to Argent Trust Company, as es
• $2,000,000 — om the Royalty Properties are less than $2,000,000 per year, (ii) a vote of Unit holders a

Filing Documents

• d753001d10k.htm (10-K) — 471KB
• d753001dex23.htm (EX-23) — 4KB
• d753001dex31.htm (EX-31) — 7KB
• d753001dex32.htm (EX-32) — 4KB
• d753001dex97.htm (EX-97) — 24KB
• d753001dex99.htm (EX-99) — 23KB
• g753001g41a44.jpg (GRAPHIC) — 29KB
• 0001193125-24-052967.txt (&nbsp;) — 569KB

Business

Business 1 Description of the Trust 1 Assets of the Trust 2 Liabilities of the Trust 3 Duties and Limited Powers of Trustee 3 Liabilities of Trustee 3 Duration of Trust 4 Voting Rights of Unit Holders 4 Description of Units 4 Distributions of Distributable Income 5 Transfer 5 Reports to Unit Holders 5 Widely Held Fixed Investment Trust Reporting Information 6 Liability of Unit Holders 6 Possible Divestiture of Units 6 Federal Taxation 7 9 Regulation and Prices 10 Regulation 10 Prices 17 Item 1A.

Risk Factors

Risk Factors 17 Item 1B. Unresolved Staff Comments 22 Item 1C. Cybersecurity 22 Item 2.

Properties

Properties 23 Title 24 Reserves 24 Item 3.

Legal Proceedings

Legal Proceedings 32 Item 4. Mine Safety Disclosures 32 PART II Item 5. Market for Registrants Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 33 Item 6. [Reserved] 33 Item 7. Trustees Discussion and Analysis of Financial Condition and Results of Operations 33 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 37 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 38 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 49 Item 9A.

Controls and Procedures

Controls and Procedures 49 Item 9B. Other Information 51 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 51 PART III Item 10. Directors and Executive Officers and Corporate Governance 51 Item 11.

Executive Compensation

Executive Compensation 51 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 52 Item 13. Certain Relationships and Related Transactions, and Director Independence 52 Item 14. Principal Accounting Fees and Services 52 PART IV Item 15. Exhibits, Financial Statement Schedules 53 i Table of Contents PART I Item1. Business. DESCRIPTION OF THE TRUST Sabine Royalty Trust (the Trust) is an express trust formed under the laws of the State of Texas by the Sabine Corporation Royalty Trust Agreement (as amended, the Trust Agreement) made and entered into effective as of December 31, 1982, between Sabine Corporation, as trustor, and InterFirst Bank Dallas, N.A. (InterFirst), as trustee. The current trustee of the Trust is Argent Trust Company, a Tennessee chartered trust company (Argent). In accordance with the successor trustee provisions of the Trust Agreement, Argent, as trustee of the Trust (the Trustee) is subject to all terms and conditions of the Trust Agreement. The principal office of the Trust (sometimes referred to herein as the Registrant) is located at 3838 Oak Lawn Avenue, Suite 1720, Dallas, Texas, 75219. The telephone number of the trust is 1-855-588-7839. The Trust maintains an Internet website, and as a result, reports such as its annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and amendments to such reports filed or furnished pursuant to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended, will now be made available at http://www.sbr-sabine.com as soon as reasonably practicable after such information is electronically filed with or furnished to the SEC. On November 12, 1982, the shareholders of Sabine Corporation approved and authorized Sabine Corporations transfer of royalty and mineral interests, including landowners royalties, overriding royalty interests, minerals (other than executive rights, bonuses and delay rentals), production payments

Description of Units Reports to Unit Holders

Item 1 Description of Units Reports to Unit Holders. The Trust Agreement grants the Trustee only such rights and powers as are necessary to achieve the purposes of the Trust. The Trust Agreement prohibits the Trustee from engaging in any business, commercial or, with certain exceptions, investment activity of any kind and from using any portion of the assets of the Trust to acquire any oil and gas lease, royalty or other mineral interest other than the Royalty Properties. The Trustee may sell Trust properties only as authorized by a vote of the Unit holders, or when necessary to provide for the payment of specific liabilities of the Trust then due or upon termination of the Trust. Pledges or other encumbrances to secure borrowings are permitted without the authorization of Unit holders if the Trustee determines such action is advisable. Any sale of Trust properties must be for cash unless otherwise authorized by the Unit holders or unless the properties are being sold to provide for the payment of specific liabilities of the Trust then due, and the Trustee is obligated to distribute the available net proceeds of any such sale to the Unit holders. Liabilities of Trustee The Trustee is to be indemnified out of the assets of the Trust for any liability, expense, claim, damage or other loss incurred by it in the performance of its duties unless such loss results from its negligence, bad faith or fraud or from its expenses in carrying out such duties exceeding the compensation and reimbursement it is entitled to under the Trust Agreement. The Trustee can be reimbursed out of the Trust assets for any liability imposed upon the Trustee for its failure to ensure that the Trusts liabilities are satisfiable only out of Trust assets. In no event will the Trustee be deemed to have acted negligently, fraudulently or in bad faith if it takes or suffers action in good faith in reliance upon and in accordance with the advice of parties considered to be qualified as experts on

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