Analyze up to 10 years of full 10K Annual Reports and Quarterly 10Q SEC filings for Bp Prudhoe Bay Royalty Trust (BPT) using our online tools to quickly find. BP Prudhoe Bay Royalty Trust (the “Trust”), a grantor trust, was created as a Delaware business trust pursuant to the BP Prudhoe Bay Royalty Trust Agreement. Prudhoe Bay Unit Operation and Ownership. Since several oil companies besides BP Alaska hold acreage within the Prudhoe Bay field, The Trust’s Royalty Interest pertains only to.
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The Trust is administered by employees of the Trustee in the ordinary course of their employment who receive no compensation specifically related to their services to the Trust. Such trust officers will promptly and thoroughly review and discuss any such supplements, amendments or agreements with representatives of BP Alaska to confirm that such trust officers understand the significance of such supplements, amendments or agreements and the impact they may have with respect to the Royalty Interest and Royalty payments received by the Trust.
The Trustee is entitled to be indemnified out of the assets of the Trust for any liability or loss incurred by it in the performance of its duties unless the loss results from its negligence, bad faith or fraud or from expenses incurred baj carrying out its duties that exceed the compensation and reimbursement to which it is entitled under the Trust Agreement. BP Alaska is required to provide the Trust such information concerning the Royalty Interest as the Trustee may need and to which BP Alaska has access to permit the Trust to comply with any prudjoe or disclosure obligations of the Trust pursuant to applicable law and the requirements of any stock exchange on which the Units are issued.
The Units do not 1-k an interest in or an obligation of BP Alaska, Standard Oil or any of their respective affiliates. State or other jurisdiction of incorporation or organization.
The Prudhoe Bay Unit Operating Agreement also defines operator responsibilities and voting requirements and is unusual in its establishment of separate participating areas roya,ty the gas cap and oil rim. The progressivity rate imposed by the Amendments was equal to 0. Borrowings must be repaid in full before any further distributions are made to holders of Units. There is no compensation committee or committee performing similar functions with authority to determine any compensation of the Trustee other than the fees and reimbursable expenses provided for in the Trust Agreement.
BP has guaranteed the performance of the Company of its payment obligations with respect to the Royalty Interest.
Royalty revenues are generally received on the fifteenth day of the month following the end of the calendar quarter in which the related Royalty Production occurred. At the meeting the Unit holders may appoint a successor trustee meeting the requirements set forth in the Trust Agreement.
The Trust makes quarterly distributions to the persons who held Units of record on each Quarterly Record Date. The Trustee is obligated to distribute the available net proceeds of any such sale to the Unit holders after establishing reserves for liabilities of the Trust.
Historically, pipelines have flowed from the Gulf Coast to Cushing. Sales of Royalty Interest; Borrowings and Reserves. Average net production of crude oil and condensate from the proved reserves allocated to the Trust was less than 90, barrels per day during certain quarters. No resignation or removal of the Trustee will become effective until a successor trustee has accepted appointment. BP Alaska believes that the equipment and facilities currently being used in its operations generally comply with the applicable legislation and regulations.
These actions could prohibit new oil production in much of Alaska, which has seen production decline from a peak of 2.
BP Prudhoe Bay Royalty Trust(BPT) Annual Report (10K) Quarterly Report (10Q)
There is no precise method of allocating estimates of physical quantities of reserve ;rudhoe between BP Alaska and the Trust, since the Royalty Interest is not a working interest and the Trust does not own and is not entitled to receive any specific volume of reserves from the Prudhoe Bay field.
Table of Contents Neither BP nor BP Alaska may transfer or assign its rights or obligations under the Support Agreement without the prior written consent of the Trustee, except that BP can arrange for its obligations to be performed by any its affiliates so long as BP remains responsible for ensuring that its obligations are performed in a timely manner.
Table of Contents Chargeable Costs. Limited Liability of Unit Holders. Major upgrades to the pipeline may be required to counteract the effects of cooler oil temperature. As a result, the portion of hydrocarbon liquids previously allocated as condensate to the gas cap participating area will be allocated to the oil rim participating area. Oil production in the United States has also surged owing, in part, to a dramatic increase in horizontal drilling and hydraulic fracturing, or fracking, and other technological advances in pgudhoe detection and extraction.
The allocation of hydrocarbon liquids between the oil and condensate from the Prudhoe Bay field is a theoretical.
Trusst if expected reservoir performance does not change, the estimated reserves, economic life, and future revenues attributable to the Trust may change significantly in the future. Future payments of cash distributions are dependent on such factors as prevailing WTI Prices, the relationship of the rate of change in the WTI Price to the rate of change in the Consumer Price Index, the Chargeable Costs, the rates of Production Taxes prevailing from time to time, and the actual Royalty Production from the Working Interests.
During the years and and the period of up to the date of this report, WTI Prices have been above the level necessary for the Trust to receive a Per Barrel Royalty.
Unless the Trust already has a trustee that is a resident of or has a principal office in Delaware, any successor trustee must be a resident foyalty Delaware or have a principal office in Delaware.
The following are the principal sources of the change in the standardized measure of discounted future net cash flows in thousands:. Trust corpus at year end. E, Financial Statements of Royalty Trusts. The SEC pridhoe maintains an Internet site that contains reports, proxy and information statements, and other information regarding issuers including the Trust that file electronically with the SEC.
Table of Contents reserves 5. The Gulf Coast pipeline is projected to eventually be able to pruvhoebarrels of oil per day to Pruduoe Coast refineries.
Revisions by BP Alaska of its Royalty Production calculations may result in quarterly royalty payments by BP Alaska which reflect adjustments for overpayments or underpayments of royalties with respect to prior quarters.
These controls and procedures include but are not limited to controls and procedures designed to ensure that information required to be disclosed by the Trust in the reports that it files or submits under the Exchange Act is accumulated and communicated to the responsible trust officers of the Trustee to allow timely decisions regarding required disclosure.
The Lrudhoe will terminate: No exploratory drilling activities were conducted in the field during the three-year period. Royaltyy Trustee has the power to borrow on behalf of the Trust or to sell Trust assets to pay liabilities of the Trust and to establish a reserve for the payment of liabilities without the consent of the Unit holders under the following circumstances:.
Since the end ofthe tfust monitoring and mitigation practices for the oil transit lines in the Prudhoe Bay Unit have been monitored and reviewed by the U.
Royalty trusts typically pay enormous dividends by Wall Street standards, making them popular with investors, particularly during times pruehoe the price of oil is high, or other market sectors are performing poorly.
BP Prudhoe Bay Royalty Trust
It is susceptible along its length to damage from earthquakes, forest fires and other natural disasters. The Prudhoe Bay field is a complex, combination-drive reservoir, with widely varying reservoir properties. This may result from changes in the WTI Price or from changes in other prescribed variables utilized in calculations defined by the Overriding Royalty Conveyance.
The Prudhoe Bay Field. The Company also has the right to sell or assign all or any part of its working interest in the Prudhoe Bay Prudboe, so long as the sale or assignment is expressly made subject trist the Royalty Interest and the terms and provisions of the Conveyance.