The sale of San Juan Basin assets, including the oil and gas interests from which the Trust’s royalty interest was carved (“Subject Interests”), from
Therefore, Hilcorp estimated the
Hilcorp has also informed the Trust that Hilcorp may need to use estimated revenue and severance tax numbers to calculate distributions for subsequent months. Once Hilcorp has all of the revenue decks finalized, Hilcorp will reconcile the actual revenue numbers versus the estimated numbers and true-up any distributions, as needed.
Estimated gas production for the Subject Interests totaled 2,155,000 Mcf (2,394,444 MMBtu) for
The average monthly gas price Hilcorp reports to the Trust is a calculated price. It is determined by dividing gross monthly revenue by production volume, and therefore, it does not represent an average of actual sales prices. The average gas price may vary from the posted index price for the San Juan Basin. The index price is a gross sales price, and the revenues used in the calculation of average gas prices are net of transportation, processing and gathering costs. Furthermore, the distribution to the Trust in any given month may include significant volume adjustments for sales in prior months that reflect pricing for those prior months.
For the month ended