Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Permian Basin a "Near Infinite" resource?
http://www.aei.org/publication/we-should-view-americas-most-prolific-oil-field-the-permian-basin-as-a-permanent-near-infinite-resource/
Cha ching:
http://per.investorhq.businesswire.com/press-release/sandridge-permian-trust-announces-quarterly-distribution-16
SandRidge Permian Trust Announces Quarterly Distribution
Thursday, July 27, 2017 3:15 pm CDT
Dateline:
AUSTIN, Texas
EmailPDFPrintRSS
Public Company Information:
NYSE:PER
AUSTIN, Texas--(BUSINESS WIRE)--SANDRIDGE PERMIAN TRUST (NYSE: PER) today announced a quarterly distribution for the three-month period ended June 30, 2017 (which primarily relates to production attributable to the Trust’s interests from March 1, 2017 to May 31, 2017) of $6.2 million, or $0.119 per unit. The Trust makes distributions on a quarterly basis on or about the 60th day following the completion of each quarter. The distribution is expected to occur on or before August 25, 2017 to holders of record as of the close of business on August 11, 2017.
During the three-month production period ended May 31, 2017, combined sales volumes were slightly lower than the previous period and oil, natural gas and natural gas liquids (“NGL”) prices decreased. As no additional development wells will be drilled, the Trust’s production is expected to decline each quarter during the remainder of its life.
The Trust owns royalty interests in oil and natural gas properties in the Central Basin Platform of the Permian Basin in Andrews County, Texas and is entitled to receive proceeds from the sale of production attributable to the royalty interests. As described in the Trust’s filings with the Securities and Exchange Commission (the “SEC”), the amount of the quarterly distributions is expected to fluctuate from quarter to quarter, depending on the proceeds received by the Trust as a result of actual production volumes, oil, NGL and natural gas prices and the amount and timing of the Trust’s administrative expenses, among other factors. All Trust unitholders share distributions on a pro rata basis.
Volumes, price and distributable income available to unitholders for the period were (dollars in thousands, except per unit):
Sales Volumes
Oil (MBbl) 144
NGL (MBbl) 21
Natural Gas (MMcf) 69
Combined (MBoe) 177
Average Price
Oil (per Bbl) $ 46.15
NGL (per Bbl) $ 18.77
Natural Gas (per Mcf) $ 2.07
Natural Gas (per Mcf) including impact of post-production expenses $ 1.86
Revenues $ 7,202
Expenses 1,001
Distributable income available to unitholders $ 6,201
Distributable income per unit (52,500,000 units issued and outstanding) $ 0.119
Pursuant to IRC Section 1446, withholding tax on income effectively connected to a United States trade or business allocated to foreign partners should be made at the highest marginal rate. Under Section 1441, withholding tax on fixed, determinable, annual, periodic income from United States sources allocated to foreign partners should be made at 30% of gross income unless the rate is reduced by treaty. This is intended to be a qualified notice by SandRidge Permian Trust to nominees and brokers as provided for under Treasury Regulation Section 1.1446-4(b), and while specific relief is not specified for Section 1441 income, this disclosure is intended to suffice. Nominees and brokers should withhold at the highest marginal rate, currently 39.6% for individuals, on the distribution made to foreign partners.
This press release contains statements that are “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. All statements contained in this press release, other than statements of historical facts, are “forward-looking statements” for purposes of these provisions. These forward-looking statements include the amount and date of any anticipated distribution to unit holders. The anticipated distribution is based, in part, on the amount of cash received or expected to be received by the Trust from SandRidge Energy, Inc. (“SandRidge”) with respect to the relevant period. Any differences in actual cash receipts by the Trust could affect this distributable amount. The amount of such cash received or expected to be received by the Trust (and its ability to pay distributions) has been and will be significantly and negatively impacted by prevailing low commodity prices, which could remain low for an extended period of time or decline further. Other important factors that could cause actual results to differ materially include expenses of the Trust and reserves for anticipated future expenses. Statements made in this press release are qualified by the cautionary statements made in this press release. Neither SandRidge nor the Trustee intends, and neither assumes any obligation, to update any of the statements included in this press release. An investment in Common Units issued by SandRidge Permian Trust is subject to the risks described in the Trust’s Annual Report on Form 10-K for the year ended December 31, 2016, and all of its other filings with the SEC. The Trust’s quarterly and other filed reports are or will be available over the Internet at the SEC’s web site at http://www.sec.gov .
Contact:
SandRidge Permian Trust
The Bank of New York Mellon Trust Company, N.A., as Trustee
Sarah Newell, 1-512-236-6555
PER=No brainer.
SandRidge Permian Trust declares $0.13 dividend
Apr. 27, 2017 5:48 PM ET|About: SandRidge Permian Trust (PER)
SandRidge Permian Trust (NYSE:PER) declares $0.13/share quarterly dividend, 8.3% increase from prior dividend of $0.12.
Forward yield 16.51%
Payable May 26; for shareholders of record May 12; ex-div May 10.
Now read: Westmoreland Resource Partners declares $0.1333 dividend »
I'm Fripping this divi into LODE. My hunch is the Texas oil trust will hedge itself against the Comstock Lode deposit of gold.
Been quite here for a while. Anybody think this is worth buying more?
Or is the dividends about done making this worth it?
Sup here?? 50% divi???
Am i reading wrong? Up 11% today...nice dip....what am I missing that this has only gone wayyyy down
Loading for this next divy and then I think I'm out unless oil prices starts to increase.
Should be seeing a hike upward soon with the dividend announcement coming up.
Before may 15th
When would you have to buy to collect the divy?
This baby is ready to go! Let's move up those shares on the ask!
Oil And Gas Trust Value Rankings, Q4 2014 (3/23/15)
http://seekingalpha.com/article/3019846-oil-and-gas-trust-value-rankings-q4-2014
How's that working out for you? :)
Meh. I'll wait.
SandRidge Permian Trust Announces Quarterly Distribution (1/29/15)
AUSTIN, Texas--(BUSINESS WIRE)--SANDRIDGE PERMIAN TRUST (NYSE: PER) today announced a quarterly distribution for the three-month period ended December 31, 2014 (which primarily relates to production attributable to the Trust’s interests from September 1, 2014 through November 30, 2014) of $27.7 million, or $0.656 per Common Unit and $0.141 per Subordinated Unit. The Trust makes distributions on a quarterly basis approximately 60 days after the end of each quarter. The distribution is expected to occur on or before February 27, 2015 to holders of record as of the close of business on February 13, 2015.
During the three-month production period ended November 30, 2014, total sales volumes were lower than initial Trust estimates and lower than the previous period. The lower production resulted in quarterly income available for distribution of $0.527 per unit, which is below the subordination threshold. As a result, the distribution per common unit is the subordination threshold of $0.656 for the period.
The Trust owns royalty interests in oil and natural gas properties in the Central Basin Platform of the Permian Basin in Andrews County, Texas and is entitled to receive proceeds from the sale of production attributable to the royalty interests. As described in the Trust’s filings with the Securities and Exchange Commission (the “SEC”), the amount of the quarterly distributions is expected to fluctuate from quarter to quarter, depending on the proceeds received by the Trust as a result of actual production volumes, oil, natural gas liquids (“NGLs”) and natural gas prices and the amount and timing of the Trust’s administrative expenses, among other factors. Although there is no assurance of any minimum distribution in any quarterly period, during the subordination period (as described in the Trust’s filings), holders of Common Units are entitled to receive an amount up to the “Subordination Threshold” (which varies from quarter to quarter) prior to any distribution being made for that quarter in respect of the Subordinated Units, all of which are held by SandRidge Energy, Inc. (“SandRidge”). If the amount available for distribution in any quarterly period is sufficient to distribute an amount equal to the Subordination Threshold to the holders of all units (including the Subordinated Units), any additional balance is distributed to holders of all units pro rata, up to the amount of the Incentive Threshold for the quarter. Trust units are entitled to receive 50% of any cash available for distribution in excess of the Incentive Threshold for the quarter. The Trust’s quarterly income available for distribution to all Trust units was $0.527 per unit, which was below the Subordination Threshold for the Common Units of $0.656 per unit for the quarter. As a result, the distribution to the Subordinated Units was decreased to $0.141 per unit in order to permit a distribution per Common Unit equal to the Subordination Threshold for the quarter.
[tables deleted]
In addition to wells that were producing at the effective date of the assignment of the royalty interests to the Trust, SandRidge, pursuant to a development agreement with the Trust, was obligated to drill, or cause to be drilled, the equivalent of 888 development wells, determined by reference to SandRidge’s net revenue interest in a well, in an area of mutual interest by March 31, 2016. As of November 30, 2014, SandRidge had drilled 888 development wells and met its obligation under the development agreement. As no additional development wells will be drilled, the Trust’s production is expected to decline each quarter during the remainder of its life.
Equivalent development wells producing, or drilled and perforated for completion, during production periods upon which distributions are based are as follows:
[tables deleted]
On the day following the end of the fourth full calendar quarter subsequent to SandRidge’s satisfaction of its drilling obligation with respect to the development wells, January 1, 2016, the Subordinated Units will automatically convert into Common Units, distributions made to Common Units in respect of subsequent periods will no longer have the protection of the Subordination Threshold, and all Trust unitholders will share on a pro rata basis in the Trust’s distributions.
Pursuant to IRC Section 1446, withholding tax on income effectively connected to a United States trade or business allocated to foreign partners should be made at the highest marginal rate. Under Section 1441, withholding tax on fixed, determinable, annual, periodic income from United States sources allocated to foreign partners should be made at 30% of gross income unless the rate is reduced by treaty. This is intended to be a qualified notice by SandRidge Permian Trust to nominees and brokers as provided for under Treasury Regulation Section 1.1446-4(b), and while specific relief is not specified for Section 1441 income, this disclosure is intended to suffice. Nominees and brokers should withhold at the highest marginal rate, currently 39.6% for individuals, on the distribution made to foreign partners.
http://www.businesswire.com/news/home/20150129006002/en/SandRidge-Permian-Trust-Announces-Quarterly-Distribution#.VMsCJIktGUk
They cant maintain a 41 % dividend yield, can they ?
So what will divi get cut to ??
I have been watching this this stock for some time now waiting for the right entry point. Buying this issue for under $10 a share is a steal. I will get my 25-30% over the next 12 months easy especially with the dividends. :)
@Catdaddyrt I think you are spot on my friend. Triple digits are forthcoming and soon in my opinion.
its a given that inflation is going to get severe the way the feds are printing money -should be seeing some impact this year imo
Based on our update outlook for commodity prices and production, we expect SandRidge Permian Trust to disburse $28.71 per unit between now and its termination on March 31, 2031.
At the current quote of about $17 per unit, an investment translates into an internal rate of return of about 8.25 percent per year. When you consider the conservative bias of our commodity price assumptions, SandRidge Permian Trust appears to offer a compelling value.
We then apply a 5 percent discount rate used in our model, which yields a fair value of $20.50 per unit. Although some might question whether our 5 percent discount rate is sufficient, investors should remember that if inflation were to pick up in coming years, oil prices would likely climb, making our estimated price realizations much too low.
That being said, this esoteric exercise hasn't taken into account other fundamental and technical factors that will continue to influence SandRidge Permian Trust's unit price in the near term. The financial health and motivations of the trust's sponsor, SandRidge Energy, and its controversial CEO, Tom Ward, remain a point of concern.
SandRidge Energy is an aggressive exploration and production that has divested noncore assets, acquired liquids-rich acreage and amended its drilling strategy to shift its production mix to emphasize natural gas over oil and NGLs.
Although we applaud SandRidge Energy's efforts to grow its liquids output, this transition has proved expensive. To fund acquisitions and accelerate drilling activity, the company has assumed a mountain of debt that totaled about $4.3 billion at the end of the third quarter.
Issuing additional stock also swelled the company's float to almost 500 million shares from 138 million shares in 2007; although the firm has grown its oil output, production per share has actually declined over the past five years. Not surprisingly, the stock has floundered and in early November approached the low hit during the financial crisis.
News related to SandRidge Energy's struggles and the strategies pursued by its controversial CEO occasionally drive price fluctuations in the unit price of its three royalty trusts.
For example, units of SandRidge Permian Trust took a hit in early November 2012, after SandRidge Energy announced that it would explore the sale of its assets in the Permian Basin to reduce its debt and fund an expensive horizontal drilling on its Mississippian acreage in Kansas and Oklahoma.
Although SandRidge Energy issued statements emphasizing that this divestment wouldn't include assets associated with SandRidge Permian Trust and wouldn't alter the sponsor's drilling program, the trust's units still sold off precipitously.
But fears that SandRidge Energy wouldn't achieve a fair price for its assets in the Permian Basin have proved overblown. In December 2012, the company announced an agreement to sell this operation for $2.6 billion, or $106,000 per flowing barrel of oil equivalent production, to private-equity fund Sheridan Production Partners II. The company plans to use the proceeds to reduce debt, freeing up enough capital to fund its drilling program through 2014.
The company has other opportunities to monetize assets, including a potential joint venture to develop its Mississippian assets in Kansas. There's also speculation that a larger firm might acquire SandRidge Energy outright, in which case the former's drilling obligations would pass to the acquirer.
As the sale of SandRidge Energy's assets in the Permian Basin improved the firm's creditworthiness, this development should alleviate concerns about whether the sponsor can fund its drilling program.
However, investors have legitimate concerns that SandRidge Energy could raise capital by divesting part of its equity interest in SandRidge Permian Trust. As of its most recent filing, SandRidge Energy owned 2.875 million of the trust's common units and 13.125 million subordinated units, which will convert to standard units once the sponsor fulfills its drilling obligations. Until the subordination period ends, these units only forego their quarterly distribution if the payout on the common stock would fall more than 20 percent short of the quarterly target.
Although we expect SandRidge Energy to ultimately divest some of its equity stake in the trust, the company wouldn't be able to do so until the subordination period ends.
The case of SandRidge Missippian Trust I (SDT) provides insight into how such a sale would affect the stock: When SandRidge sold part of its stake in this trust, the units sold off sharply but recovered once the market absorbed these additional shares. In other words, the sale would give investors an opportunity to buy SandRidge Permian Trust at a nice discount.
Moreover, such a decision wouldn't vitiate the trust's ability to pay its distribution; at that point, the sponsor would have completed the 888 developmental wells.
http://seekingalpha.com/article/1102671-sandridge-permian-trust-what-every-investor-needs-to-know
I am a huge SandRidge fan any way you look at it.
Followers
|
13
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
80
|
Created
|
04/04/12
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |