Hugoton Royalty Trust Declares April Cash Distribution
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DALLAS, April 20 /PRNewswire-FirstCall/ -- U.S. Trust, Bank of America Private
Wealth Management, as Trustee of the Hugoton Royalty Trust (NYSE: HGT), today
declared a cash distribution to the holders of its units of beneficial
interest of $0.030901 per unit, payable on May 14, 2009, to unitholders of
record on April 30, 2009. The following table shows underlying gas sales and
average prices attributable to the net overriding royalty payments made by XTO
Energy Inc. (XTO Energy) to the Trust for both the current month and prior
month distributions. Underlying gas sales volumes attributable to the current
month distribution were primarily produced in February.
Underlying Gas Sales
Volumes (Mcf) (a) Average Gas
Total Daily Price per Mcf
Current Month Distribution 2,062,000 74,000 $3.28
Prior Month Distribution 2,197,000 71,000 $4.49
(a) Sales volumes are recorded in the month the trust receives the
related net profits income. Because of this, sales volumes may fluctuate
from month to month based on the timing of cash receipts.
XTO Energy has advised the trustee that three wells are currently being
drilled on the underlying properties and that it has deducted budgeted
development costs of $2,000,000, production expense of $1,991,000 and overhead
of $847,000 in determining the royalty payment to the Trust for the current
month.
Development Costs
XTO Energy has advised the trustee that it decreased the monthly development
cost deduction from $4 million to $2 million beginning with the April 2009
distribution and expects it to remain at that level through the June 2009
distribution. At that time, XTO Energy will consider further reducing the
development cost deduction. The monthly deduction is based on the current
level of development expenditures, budgeted future development costs and the
cumulative actual costs under or over the previous deductions.
For more information on the Trust, please visit our web site at
www.hugotontrust.com.
SOURCE U.S. Trust
Nancy G. Willis, Vice President of U.S. Trust, Bank of America Private Wealth
Management, Trustee, 1-877-228-5083; or Louis G. Baldwin, Executive Vice
President & Chief Financial Officer of XTO Energy Inc., +1-817-870-2800
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