Permian Basin Royalty Trust (PBT) investor relations material

Executive summary

• Distributable income for 2025 was $14.3 million ($0.31 per unit), down from $25.4 million in 2024 and $28.0 million in 2023, primarily due to the Waddell Ranch properties being in a deficit position and not contributing to royalty income for 2025.

• The Trust received a $4.5 million partial settlement from Blackbeard in 2025, with the remaining $4.5 million to be paid in 2026, following litigation over royalty payment calculations.

• A special meeting approved a non-binding proposal to seek judicial modification of the Trust Indenture, potentially lowering the threshold for amendments.

Financial highlights

• Total royalty income for 2025 was $11.6 million, all from Texas Royalty Properties, as Waddell Ranch properties did not contribute due to excess costs.

• Average oil price received in 2025 was $65.95 per barrel, down from $75.88 in 2024; average gas price was $1.78 per Mcf, up from $1.45 in 2024.

• Lease operating expenses for Waddell Ranch increased to $98 million (gross) in 2025 from $82 million in 2024.

• Capital expenditures for Waddell Ranch properties were $228.7 million (gross) in 2025, up from $109.4 million in 2024.

• Distributable income per unit was $0.31 in 2025, $0.55 in 2024, and $0.60 in 2023.

Outlook and guidance

• Oil prices are expected to remain volatile, with NYMEX posted oil prices at $93.39 per barrel as of March 16, 2026, compared to $65.34 used for reserve calculations.

• Gas prices as of March 16, 2026, were $3.03 per MMBtu, slightly below the $3.387 used for reserve calculations.

• The Trust expects continued delays in distributions from Waddell Ranch due to reporting changes by Blackbeard.