MV Oil Trust Announces Trust First Quarter Distribution
April 03 2020 - 3:05PM
Business Wire
MV Oil Trust (NYSE: MVO) announced the Trust distribution of net
profits for the first quarterly payment period ended March 31,
2020.
Unitholders of record on April 15, 2020 will receive a
distribution amounting to $2,357,500 or $0.205 per unit payable
April 24, 2020.
Volumes, average price and net profits for the payment period
were:
Volume (BOE)
182,282
Average price (per BOE)
$
51.36
Gross proceeds
$
9,362,522
Costs
$
5,335,028
Net profits
$
4,027,494
Percentage applicable to Trust’s 80%
Net profits interest
$
3,221,996
MV Partners reserve for capital
expenditures
$
--
Total cash proceeds available for the
Trust
$
3,221,996
Provision for estimated Trust expenses
$
(864,496
)
Net cash proceeds available for
distribution
$
2,357,500
MV Partners, LLC has reported to the Trustee the West Texas
Intermediate spot price of crude oil has dropped sharply from
$61.17 per barrel on January 2, 2020 to $20.09 per barrel on March
30, 2020, in response to the economic effects of the recent
announcements by Saudi Arabia to abandon output restraints and the
COVID-19 pandemic. COVID-19 has resulted in widespread and
localized health crises that adversely affect general commercial
activity, the economies and financial markets of many countries and
localities, as well as global demand for oil and natural gas.
COVID-19 also has resulted in significant business and operational
disruptions, including business closures, disruptions to supply
chains, travel restrictions and limitations on the availability of
workforces. The full impact of COVID-19 is unknown and is rapidly
evolving, and it is not possible to reliably estimate the impact
that these developments will have on future periods. If commodity
prices for crude oil remain at reduced levels, subsequent
distributions in 2020 will be substantially lower than historical
distributions, and in certain periods there may be no distribution
to unitholders. In light of the current uncertain economic
environment, the provision for estimated Trust expenses referenced
above includes amounts that would be sufficient to pay estimated
Trust expenses over approximately the next twelve months.
This press release contains forward-looking statements. Although
MV Partners, LLC has advised the Trust that MV Partners, LLC
believes that the expectations contained in this press release are
reasonable, no assurances can be given that such expectations will
prove to be correct. The announced distributable amount is based on
the amount of cash received or expected to be received by the
Trustee from the underlying properties on or prior to the record
date with respect to the quarter ended March 31, 2020. Any
differences in actual cash receipts by the Trust could affect this
distributable amount. Other important factors that could cause
these statements to differ materially include the actual results of
drilling operations, risks inherent in drilling and production of
oil and gas properties, the ability of commodity purchasers to make
payment, the effect, impact, potential duration or other
implications of the recent outbreak of COVID-19, and other risk
factors described in the Trust’s Form 10-K for the year ended
December 31, 2019 filed with the Securities and Exchange
Commission. Statements made in this press release are qualified by
the cautionary statements made in these risk factors. The Trust
does not intend, and assumes no obligations, to update any of the
statements included in this press release.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200403005485/en/
MV Oil Trust The Bank of New York Mellon Trust Company, N.A.,
as Trustee Michael Ulrich 512-236-6599
MV Oil (NYSE:MVO)
Historical Stock Chart
From Jun 2024 to Jul 2024
MV Oil (NYSE:MVO)
Historical Stock Chart
From Jul 2023 to Jul 2024