Company: MTR
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001104659-25-111306
Chunk: 11

Company: MESA ROYALTY TRUST/TX
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 11
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 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Distributable income before reserve for contingent liabilities and expenses                  88,894         54,942                365,709        472,622  
  Increase in the Contingent Reserve                                                        (150,149)      (107,200)              (522,141)      (644,873)  
  Withdrawal from the Contingent Reserve                                                      133,255         62,572                466,375        507,294  
  Distributable income available for distribution                                              72,000         10,314                309,943        335,043  
  Distributable income available for distribution per unit                                     0.0386         0.0055                 0.1663         0.1797  
  Units outstanding                                                                         1,863,590      1,863,590              1,863,590      1,863,590  

Item 2. Trustee’s Discussion and Analysis of Financial Condition and Results of Operations.

The following review of the financial condition and results of operations of Mesa Royalty Trust (the “ Trust”) should be read in conjunction with the financial statements and notes thereto. The discussion of net production attributable to the Hugoton Royalty Properties and San Juan Basin Royalty Properties (as each is defined below) represents production volumes that are to a large extent hypothetical as the Trust does not own and is not entitled to any specific production volumes. Any discussion of “actual” production volumes represents the reported hydrocarbons that were produced from the properties in which the Trust has an overriding royalty interest. See Note 7 to the financial statements in the Trust’s Annual Report on Form 10-K for the year ended December 31, 2024.

The Trust was created on November 1, 1979 and is now governed by the Mesa Royalty Trust Indenture (as amended, the “ Trust Indenture”). Through a series of conveyances, assignments, and acquisitions, the Trust currently owns an overriding royalty interest (the “ Royalties”) equal to 11.44% of 90% of the Net Proceeds (as defined and described in an Overriding Royalty Conveyance dated as of November 1, 1979 (the “ Conveyance”)) attributable to the specified interest in certain producing oil and gas properties located in the:

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Hugoton