San Juan Basin Royalty Trust Files Quarterly Report (10-Q)

Ticker: SJT · Form: 10-Q · Filed: May 14, 2024 · CIK: 319655

Sentiment: neutral

Topics: 10-Q, San Juan Basin Royalty Trust, SJT, Quarterly Report, SEC Filing

Related Tickers: SJT

TL;DR

<b>San Juan Basin Royalty Trust submitted its Q1 2024 10-Q filing, reporting 46,608,796 units outstanding.</b>

AI Summary

SAN JUAN BASIN ROYALTY TRUST (SJT) filed a Quarterly Report (10-Q) with the SEC on May 14, 2024. The San Juan Basin Royalty Trust filed its quarterly report on Form 10-Q for the period ended March 31, 2024. The Trust is registered under the Securities Exchange Act of 1934. Its units are traded on the New York Stock Exchange under the ticker symbol SJT. The filing indicates the Trust is a smaller reporting company and not a large accelerated or accelerated filer. The Trust has 46,608,796 units of beneficial interest outstanding as of May 14, 2024.

Why It Matters

For investors and stakeholders tracking SAN JUAN BASIN ROYALTY TRUST, this filing contains several important signals. This 10-Q filing provides investors with the latest financial and operational updates for the San Juan Basin Royalty Trust, crucial for assessing its performance and future prospects. As a smaller reporting company, the Trust's disclosures may differ from larger entities, requiring careful review by investors seeking detailed financial insights.

Risk Assessment

Risk Level: low — SAN JUAN BASIN ROYALTY TRUST shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate red flags, indicating routine disclosure.

Analyst Insight

Investors should review the detailed financial statements and management's discussion and analysis within the 10-Q to understand the Trust's performance and outlook.

Key Numbers

Key Players & Entities

FAQ

When did SAN JUAN BASIN ROYALTY TRUST file this 10-Q?

SAN JUAN BASIN ROYALTY TRUST filed this Quarterly Report (10-Q) with the SEC on May 14, 2024.

What is a 10-Q filing?

A 10-Q is a quarterly financial report with unaudited financials, management discussion, and interim business updates. This particular 10-Q was filed by SAN JUAN BASIN ROYALTY TRUST (SJT).

Where can I read the original 10-Q filing from SAN JUAN BASIN ROYALTY TRUST?

You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by SAN JUAN BASIN ROYALTY TRUST.

What are the key takeaways from SAN JUAN BASIN ROYALTY TRUST's 10-Q?

SAN JUAN BASIN ROYALTY TRUST filed this 10-Q on May 14, 2024. Key takeaways: The San Juan Basin Royalty Trust filed its quarterly report on Form 10-Q for the period ended March 31, 2024.. The Trust is registered under the Securities Exchange Act of 1934.. Its units are traded on the New York Stock Exchange under the ticker symbol SJT..

Is SAN JUAN BASIN ROYALTY TRUST a risky investment based on this filing?

Based on this 10-Q, SAN JUAN BASIN ROYALTY TRUST presents a relatively low-risk profile. The filing is a standard quarterly report (10-Q) and does not contain immediate red flags, indicating routine disclosure.

What should investors do after reading SAN JUAN BASIN ROYALTY TRUST's 10-Q?

Investors should review the detailed financial statements and management's discussion and analysis within the 10-Q to understand the Trust's performance and outlook. The overall sentiment from this filing is neutral.

How does SAN JUAN BASIN ROYALTY TRUST compare to its industry peers?

The San Juan Basin Royalty Trust is involved in the oil and gas industry, specifically related to royalty interests.

Are there regulatory concerns for SAN JUAN BASIN ROYALTY TRUST?

The Trust is subject to the reporting requirements of the Securities Exchange Act of 1934, including filing quarterly reports on Form 10-Q.

Industry Context

The San Juan Basin Royalty Trust is involved in the oil and gas industry, specifically related to royalty interests.

Regulatory Implications

The Trust is subject to the reporting requirements of the Securities Exchange Act of 1934, including filing quarterly reports on Form 10-Q.

What Investors Should Do

  1. Review the full 10-Q filing for detailed financial statements and operational data.
  2. Analyze the Trust's unit performance and trading activity on the NYSE.
  3. Monitor future filings for changes in financial condition or operational status.

Key Dates

Year-Over-Year Comparison

This filing represents the Trust's routine quarterly disclosure for the period ending March 31, 2024, following its previous reporting cycle.

Filing Stats: 4,431 words · 18 min read · ~15 pages · Grade level 14.4 · Accepted 2024-05-14 14:18:00

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1

Financial Statements

Financial Statements 1 Item 2 Trustee&#x2019;s Discussion and Analysis of Financial Condition and Results of Operations 8 Item 3

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 15 Item 4

Controls and Procedures

Controls and Procedures 15

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1

Legal Proceedings

Legal Proceedings 16 Item 1A

Risk Factors

Risk Factors 16 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 16 Item 3 Defaults Upon Senior Securities 16 Item 4 Mine Safety Disclosures 16 Item 5 Other Information 16 Item 6 Exhibits 17 SIGNATURE Table of Contents SAN JUAN BASIN ROYALTY TRUST PA RT I FINANCIAL INFORMATION

Fin ancial Statements

Item 1. Fin ancial Statements. CONDENSED STATEMENTS OF ASSETS, LIABILITIES AND TRUST CORPUS March 31, December 31, 2024 2023 (Unaudited) (Audited) ASSETS Cash and short-term investments $ 3,323,927 $ 1,574,347 Net overriding royalty interest in producing oil and gas properties (net of accumulated amortization of $130,571,755 and $130,522,279 at March 31, 2024 and December 31, 2023, respectively) 2,703,773 2,753,249 $ 6,027,700 $ 4,327,596 LIABILITIES AND TRUST CORPUS Distribution payable to Unit Holders $ 1,923,927 $ 574,347 Cash reserves 1,400,000 1,000,000 Trust corpus &#x2013; 46,608,796 Units of beneficial interest authorized and outstanding 2,703,773 2,753,249 $ 6,027,700 $ 4,327,596 These Condensed Financial Statements should be read in conjunction with the accompanying

Notes to Financial Statements included herein

Notes to Financial Statements included herein. 1 Table of Contents CONDENSED STATEMENTS OF DISTRIBUTABLE INCOME (UNAUDITED) Three Months Ended March 31, 2024 2023 Royalty income $ 5,091,060 $ 36,416,704 Interest income 17,655 36,936 Total income 5,108,715 36,453,640 General and administrative expenses (1,016,171 ) (482,364 ) Distributable income $ 4,092,544 $ 35,971,276 Distributable income per Unit (46,608,796 Units) $ 0.087806 $ 0.771771 These Condensed Financial Statements should be read in conjunction with the accompanying

Notes to Financial Statements included herein

Notes to Financial Statements included herein. 2 Table of Contents CONDENSED STATEMENTS OF CHANGES IN TRUST CORPUS (UNAUDITED) Three Months Ended March 31, 2024 2023 Trust corpus, beginning of period $ 2,753,249 $ 2,968,707 Amortization of net overriding royalty interest (49,476 ) (110,615 ) Distributable income 4,092,544 35,971,276 Distributions declared (4,092,544 ) (35,971,276 ) Trust corpus, end of period $ 2,703,773 $ 2,858,092 Distributions declared (per Unit) $ 0.087806 $ 0.771771 These Condensed Financial Statements should be read in conjunction with the accompanying

Notes to Financial Statements included herein

Notes to Financial Statements included herein. 3 Table of Contents

Notes to Financial Statements

Notes to Financial Statements 1. Trust Organization and Administration The San Juan Basin Royalty Trust (the &#x201c;Trust&#x201d;) was established on November 1, 1980 when Southland Royalty Company (&#x201c;Southland&#x201d;) conveyed to the Trust a 75% net overriding royalty interest (the &#x201c;Royalty&#x201d;) that burdens certain oil and gas interests (the &#x201c;Subject Interests&#x201d;) in properties owned by Southland and located in the San Juan Basin of northwestern New Mexico. Subsequent to the conveyance of the Royalty, through a series of sales, assignments and mergers, Southland&#x2019;s successor became Hilcorp San Juan L.P. (&#x201c;Hilcorp&#x201d;), which acquired the Subject Interests from Burlington on July 31, 2017. Through an acquisition completed on March 24, 2006, Compass Bank succeeded TexasBank as trustee of the Trust. On September 7, 2007, Compass Bancshares, Inc. was acquired by Banco Bilbao Vizcaya Argentaria, S.A. (&#x201c;BBVA&#x201d;) and became a wholly-owned subsidiary of BBVA. Effective June 10, 2019, Compass Bank changed its name to BBVA USA. On June 1, 2021, The PNC Financial Services Group, Inc. (&#x201c;PNC&#x201d;) announced that it had completed the purchase of BBVA USA Bancshares, Inc., a financial holding company, including its U.S. banking subsidiary, BBVA USA, an Alabama-chartered bank and trustee of the Trust (&#x201c;BBVA USA&#x201d;). On October 8, 2021, PNC Bank, an indirect wholly-owned subsidiary of PNC, succeeded BBVA USA as the trustee of the Trust following BBVA USA&#x2019;s merger with and into PNC Bank. On February 15, 2024, Argent Trust Company succeeded PNC Bank as the trustee of the Trust following the resignation of PNC Bank. The defined term &#x201c;Trustee&#x201d; as used herein shall refer to PNC Bank for periods from October 8, 2021 through February 14, 2024, and shall refer to Argent Trust Company for periods on and after February 15, 2024. For all periods prior to October 8, 2021, use of the de

Trustee&#x2019;s Discu ssion and Analysis of Financial Condition and Results of Operations. Overview

Item 2. Trustee&#x2019;s Discu ssion and Analysis of Financial Condition and Results of Operations. Overview Introduction The following discussion and analysis is intended to help the reader understand the Trust&#x2019;s financial condition, results of operations, liquidity and capital resources. This discussion and analysis should be read in conjunction with the Trust&#x2019;s unaudited condensed financial statements and the accompanying notes included in this Quarterly Report on Form 10-Q (&#x201c;Quarterly Report&#x201d;) and the Trust&#x2019;s audited financial statements and the accompanying notes included in the Trust&#x2019;s 2023 Annual Report. Cautionary Statement Regarding Forward Looking Statements Certain information included in this Quarterly Report contains, and other materials filed or to be filed by the Trust with the SEC (as well as information included in oral statements or other written statements made or to be made by the Trust) may contain or include, forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the &#x201c;Exchange Act&#x201d;) and Section 27A of the Securities Act of 1933, as amended. Such forward-looking statements may involve or may concern, among other things, the amount and variability in capital expenditures by Hilcorp, drilling activity, development activities, production efforts and volumes, hydrocarbon prices, estimated future net revenues, estimates of reserves, the results of the Trust&#x2019;s activities, the differences between Hilcorp&#x2019;s estimated revenue and actual revenue, and regulatory matters. Such forward-looking statements generally are accompanied by words such as &#x201c;may,&#x201d; &#x201c;will,&#x201d; &#x201c;based,&#x201d; &#x201c;estimate,&#x201d; &#x201c;expect,&#x201d; &#x201c;predict,&#x201d; &#x201c;project,&#x201d; &#x201c;anticipate,&#x201d; &#x201c;believe,&#x201d; &#x201c;plan,&#x201d; &#x201c;intend,&#x201d; or other words tha

View Full Filing

View this 10-Q filing on SEC EDGAR

View on Read The Filing