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Oil & Gas Royalty Co's : BPT, HGT, SJT, SDT etc

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Oil & Gas Royalty Co's : BPT, HGT, SJT, SDT etc

 

Trust------------------------------------ Distribution Yield% : 10/13 : P/ER : Yield% : Paid : Low-to-High

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BP Prudhoe Bay Royalty Trust (NYSE:BPT ) 12.3% : 21.50 : 6.21 : 12.5% : $0.00 : 15.00-32.95
Chesapeake Granite Wash Trust (NYSE:CHKR) 24.2% : $2.10 : 7.98 : 19.1% : $0.00 : $2.10-$3.85
Hugoton Royalty Trust (NYSE:HGT) 27.0% : $1.70 : 13.9 : 2.66%, $0.00 : $1.55-$2.75
Sandridge Mississippian Trust I (NYSE:SDT) 26.4% : $1.31 : 5.96 : 14.7%, $0.00 : $1.20-$1.85
SandRidge Mississippian Trust II (NYSE:SDR) 28.5% : $1.35 : 5.57 : 14.8%, $0.00 : $1.28-$1.79
Sandridge Permian Trust (NYSE:PER) 19.3% : $2.80 : 5.56 : 17.0%, $0.00 : $2.65-$4.00
San Juan Basin Royalty Trust (NYSE:SJT) 8.4% : $7.87 : 14.2 : 33.1%, $0.00 : $5.51-$8.49
Pacific Coast Oil Trust (NYSE:ROYT) 11.4% : $1.52 : 35.2 : 0.92%, $0.00 : $0.87-$2.23
Permian Basin Royalty Trust (NYSE:PBT) 9.5% : $9.27 : 14.6 : 5.21%, $0.00 : $6.66-10.30
Sabine Royalty Trust (NYSE:SBR) 8.4% : 41.10 : 18.1 : 4.41%, $0.00 : 33.46-41.86

======

> https://www.fool.com/investing/general/2014/06/23/energy-investing-101-researching-royalty-trusts.aspx

 

What is a royalty trust ?
For individual investors, royalty trusts are generally high-yielding investments that also have some very unique tax benefits. A company, normally an oil and gas producer, will issue units of a royalty trust on the open market as a method for raising capital to develop one particular field.

These trusts are exempt from corporate taxes because they are pass-through entities, much like master limited partnerships. But unlike an MLP, where you pay income taxes on distributions -- the name for dividends from MLPs and royalty trusts -- royalty trust distributions are considered capital gains, and therefore taxed at a lower rate. Also, since you are a part owner of the oil wells, you can depreciate those assets to lower your cost basis, which means you can delay taxes, and potentially be eligible for certain tax credits.

There are 20 or so royalty trusts that are currently traded on the U.S. exchanges, but some are very small (less than $50 million)...

 

BP Prudhoe Bay Royalty Trust (NYSE:BPT ) 12.3% : 21.50 : 6.21 : 12.5% : $0.00 : 15.00-32.95

KXGEcJs.gif

 

Chesapeake Granite Wash Trust (NYSE:CHKR) 24.2% : $2.10 : 7.98 : 19.1% : $0.00 : $2.10-$3.85

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Hugoton Royalty Trust (NYSE:HGT) 27.0% : $1.70 : 13.9 : 2.66%, $0.00 : $1.55-$2.75

dMqyjMU.gif

 

Sandridge Mississippian Trust I (NYSE:SDT) 26.4% : $1.31 : 5.96 : 14.7%, $0.00 : $1.20-$1.85

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SandRidge Mississippian Trust II (NYSE:SDR) 28.5% : $1.35 : 5.57 : 14.8%, $0.00 : $1.28-$1.79

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Sandridge Permian Trust (NYSE:PER) 19.3% : $2.80 : 5.56 : 17.0%, $0.00 : $2.65-$4.00

juSxc8p.gif

 

San Juan Basin Royalty Trust (NYSE:SJT) 8.4% : $7.87 : 14.2 : 33.1%, $0.00 : $5.51-$8.49

8XyTssB.gif

 

Pacific Coast Oil Trust (NYSE:ROYT) 11.4% : $1.52 : 35.2 : 0.92%, $0.00 : $0.87-$2.23

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Permian Basin Royalty Trust (NYSE:PBT) 9.5% : $9.27 : 14.6 : 5.21%, $0.00 : $6.66-10.30

Ij017OZ.gif

 

Sabine Royalty Trust (NYSE:SBR) 8.4% : 41.10 : 18.1 : 4.41%, $0.00 : 33.46-41.86

ayLLX4B.gif

==

New thread:

> LINK: US Oil & Gas Royalty co's: http://tinyurl.com/OGroyaltyCos

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MORE O & G Royalty Co's

 

> http://investsnips.com/list-of-publicly-traded-oil-gas-trusts/

============================

 

 

List of Publicly Traded Oil and Gas Royalty Trusts Listed on Major U.S. Exchanges

As a general rule, these trusts do not engage in the operations or activities of oil & gas properties. Instead, the trusts generate their revenues from other sources relating to these properties which can include:

  • Royalty interests
  • Overriding royalty interest
  • Net profits interests
  • Leasehold interests

Resources:

Additional publicly traded energy companies and energy categories can be accessed through the link below:

List of Energy Companies

A comparison widget that shows trend, earnings per share (EPS), P/E ratio and beta for each of the companies on this list can be accessed through the link below.

Oil and Gas Trust Industry Comparison Widget

Select the company’s link to access charts, news links and company website and social media information.

Oil and Gas Trusts: Mid-Cap Stocks

Black Stone Minerals LP (BSM) (IPO in May 2015: oil & gas mineral and royalty interests)

Texas Pacific Land Trust (TPL) (Land trust; revenues from oil & gas royalties, grazing leases, etc.)

Oil and Gas Trusts: Small-Cap Stocks

BP Prudhoe Bay Royalty Trust (BPT) (Interests in in the Prudhoe Bay oil field located in Alaska)

Dorchester Minerals, L.P. (DMLP) (Royalty, overriding royalty, net profits and leasehold interests in oil & gas properties)

Kimbell Royalty Partners, LP (KRP) (IPO February 3, 2017; mineral and royalty interests in oil/natural gas properties)

Permian Basin Royalty Trust (PBT) (Royalty interests in oil & gas properties in Texas)

Sabine Royalty Trust (SBR) (Trust formed by Sabine Corporation)

San Juan Basin Royalty Trust (SJT) (Royalty interest in oil & gas properties located in New Mexico)

Oil and Gas Trusts: Micro-Cap Stocks

Chesapeake Granite Wash Trust (CHKR) (Royalty interests in oil and natural gas wells located in Oklahoma)

Cross Timbers Royalty Trust (CRT) (Interests in oil and gas properties)

Enduro Royalty Trust (NDRO) (Net profits interest in properties owned by Enduro Resource Partners)

Hugoton Royalty Trust (HGT) (Net profits interests in natural gas properties)

MV Oil Trust (MVO) (Net profits interests in oil and gas properties of MV Partners)

North European Oil Royalty Trust (NRT) (Collects, holds and verifies royalties paid by the operating companies)

Pacific Coast Oil Trust (ROYT) (Trust formed by Pacific Coast Energy Company)

SandRidge Mississippian Trust II (SDR) (Royalty interests in oil and natural gas properties in Oklahoma and Kansas)

SandRidge Permian Trust (PER) (Royalty interests in oil & gas properties located in Texas)

VOC Energy Trust (VOC) (Net profits interest in oil & natural gas properties)

Oil and Gas Trusts: Nano-Cap Stocks

ECA Marcellus Trust I (ECT) (Royalty interests in natural gas properties owned by Energy Corporation of America)

Marine Petroleum Trust (MARPS) (Royalty interests in oil and natural gas leases in the Gulf of Mexico)

Mesa Royalty Trust (MTR) (Royalty interests in oil and gas properties)

SandRidge Mississippian Trust I (SDT) (Royalty interests in oil and natural gas properties in Oklahoma)

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CHARTS, smaller co's

 

Mid-Cap Stocks

Black Stone Minerals LP (BSM) (IPO in May 2015: oil & gas mineral and royalty interests)

Texas Pacific Land Trust (TPL) (Land trust; revenues from oil & gas royalties, grazing leases, etc.)

Small-Cap Stocks

Dorchester Minerals, L.P. (DMLP) (Royalty, overriding royalty, net profits and leasehold interests in oil & gas properties)

Kimbell Royalty Partners, LP (KRP) (IPO February 3, 2017; mineral and royalty interests in oil/natural gas properties)

Permian Basin Royalty Trust (PBT) (Royalty interests in oil & gas properties in Texas)

Micro-Cap Stocks

Cross Timbers Royalty Trust (CRT) (Interests in oil and gas properties)

Enduro Royalty Trust (NDRO) (Net profits interest in properties owned by Enduro Resource Partners)

MV Oil Trust (MVO) (Net profits interests in oil and gas properties of MV Partners)

North European Oil Royalty Trust (NRT) (Collects, holds and verifies royalties paid by the operating companies)

VOC Energy Trust (VOC) (Net profits interest in oil & natural gas properties)

Nano-Cap Stocks

ECA Marcellus Trust I (ECT) (Royalty interests in natural gas properties owned by Energy Corporation of America)

Marine Petroleum Trust (MARPS) (Royalty interests in oil and natural gas leases in the Gulf of Mexico)

Mesa Royalty Trust (MTR) (Royalty interests in oil and gas properties)

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Royalty Trust vs OIH

 

As you would expect, the prices of Royalty trusts correlate with crude oil prices, and with Oil Service stocks

 

CRT vs OIH ... update

reuxpX3.gif

 

The Royalty trusts have the risk of limited life, but they tend to pay higher dividends then OIH stocks, and with tax advantages

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Comparisons / BPT overvalued?

 

Oil And Gas Trust Value Ranking, June 2017
Jun. 28, 2017
|
Includes: BPT, CHKR, COP, ECT, FV, HGT, HH, IRR, MTR, MVO, NDRO, NPV, PBT, PER, ROYT, SDR, SDT, SJT, VOC, WHZT, WTI
big_pic.png
Research analyst, oil & gas, energy
(1,239 followers)
Summary

The return on investment varies significantly from one oil and gas trust to another.

Volatility in SDR and SDT has been very profitable.

NDRO announces hefty acreage sale; possible option play?

ROYT is looking better, but lower prices could be coming.

WHZT is fairly valued but with high upside.

 

Summary

As those familiar with my articles know, I forecast the value and future distributions of various oil and gas trusts. This article presents a comparison of 15 trusts, given forecasts of their future performance.

Quarter in Review

The second quarter was not a kind one to the oil market. After holding $50/bbl and $48/bb, in April and May, oil spot and futures priced dipped significantly in June. The decline has wiped out price gains in the trusts; Pacific Coast Royalty Trust (ROYT) took a 20% haircut in just a few weeks. However, the dip hasn’t affected all trusts evenly, or fairly. BP Prudhoe Bay Trust (BPT), an oil stalwart, barely budged, while gassy SandRidge Mississippian Trusts I (SDR) and II (SDT) took what might amount to an undeserved beating. And another, Enduro Royalty Trust (NDRO), is up big time after announcing a major asset sale.

 

The Forensic Accountant has been a bit distracted recently, but that hasn’t completely gotten in the way of portfolio moves. I closed nice positions in SDR and SDT and trimmed my super heavy-weight Whiting USA Trust II (WHZT) position ex-dividend, all before oil prices let go of the handrail. But that doesn’t mean that there aren't still opportunities this month. A few thoughts to consider:

  • Did ROYT get hammered too much? I sure think so.
  • NDRO’s possible asset sale drove heavy volume into both the stock and its options. Right now, there’s someone who wants to pay you to hold it for them.
  • Much to my shock, SDR’s and SDT’s gassy secret still seems to hold.
  • BPT’s overvaluation, however, is the worst-kept secret on the planet. When’s the next short squeeze?

Two Ways to Forecast Value

I compute two different estimates of value for each trust. The first is a fundamental valuation that uses an engineering-style model and discounted cash flow (DCF) analysis. The second is an adjusted NPV-10 based on previously published reserve reports.

==

> https://seekingalpha.com/article/4084514-oil-gas-trust-value-ranking-june-2017

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SDR versus SDT

 

"Much to my shock, SDR’s and SDT’s gassy secret still seems to hold."

YvSaIOC.png

 

There is normally a season low in Natgas prices in late Q1

 

SDR vs SDT update : all-data : last 12 mos :

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SDT is more volatile, but overall their prices correlate beautifully - and have become more closely correlated

 

RATIO

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Why SandRidge Mississippian Trust has a 20%+ Dividend Yield (SDT ...
www.investopedia.com/.../why-sandridge-mississippian-trust-has-20-dividend-yield-s...

Sep 3, 2016 - SandRidge Mississippian Trust I is a statutory trust that holds royalty interests in oil ... There is also a SandRidge Mississippian Trust II (NYSE: SDR ... a trust holder can depreciate the assets and lower his or her cost basis in ...

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