/C O R R E C T I O N -- Cross Timbers Royalty Trust/
MWN-AI** Summary
On February 17, 2026, Cross Timbers Royalty Trust (NYSE: CRT) announced a cash distribution of $0.050060 per unit to holders of its beneficial interest units. This payment is set for March 13, 2026, with a record date of February 27, 2026. The announcement follows an updated press release that included a new "Cash Reserve" section detailing financial adjustments and reserves.
In terms of operations, the Trust reported oil sales of 9,000 barrels and gas sales of 73,000 Mcf for the current period, with average prices of $55.35 per barrel for oil and $4.36 per Mcf for gas. In comparison, the prior month saw sales of 10,000 barrels of oil and the same amount of gas, with slightly higher average prices of $57.62 per barrel for oil and $4.13 per Mcf for gas.
Notably, XTO Energy informed the Trustee of increased excess costs affecting both the Texas and Oklahoma Working Interest net profits interests. For Texas, excess costs rose by $80,000, totaling a cumulative excess of $5,637,000. Meanwhile, the Oklahoma properties saw a $262,000 increase in excess costs, bringing remaining cumulative excess costs to $931,000.
The updated "Cash Reserve" section revealed that the Trustee has withheld $50,000 from monthly distributions over the previous ten months to bolster the reserve account, which now stands at $1,500,000. Following this accumulation, the Trustee has decided to cease the $50,000 withholding.
For further details regarding the Trust’s distributions and historical press releases, interested parties can visit the official website at www.crt-crosstimbers.com.
MWN-AI** Analysis
As of October 2023, Cross Timbers Royalty Trust (NYSE: CRT) presents intriguing investment prospects despite recent fluctuations in distribution amounts. The Trust has declared a cash distribution of $0.050060 per unit for February 2026, which is lower than the previous month’s distribution of $0.05762 per unit. This decline, alongside erratic oil and gas sales volumes—9,000 barrels of oil and 73,000 Mcf of gas in the current month versus 10,000 barrels of oil in the prior month—signals the need for cautious engagement with this investment.
The recent announcements indicate a proactive approach towards managing excess costs reflected in their operational reports. XTO Energy highlighted an $80,000 increase in excess costs for Texas interests and a $262,000 rise for Oklahoma interests. Even so, these costs did not adversely impact net proceeds, a sign of resilience in the Trust’s financial management. Additionally, the accumulation of excess costs remains under control, with proactive steps to build cash reserves now achieving a total of $1.5 million. The cessation of the $50,000 monthly withholding should improve future distributions.
For investors, the current distribution and cash reserve dynamics suggest potential for recovery. The Trust’s operational strategy, which now includes a stable reserve account, indicates a forward-looking management approach primed to adapt to market fluctuations. Given the energy market's volatility, particularly in oil prices, it may be wise for investors to monitor mark-to-market fluctuations and consider gradual entry into positions in CRT. Patience and strategic assessments will be crucial for capitalizing on any appreciation in value as market conditions mature. Therefore, prospective investors are advised to keep a close eye on market trends while being prepared for volatility.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
PR Newswire
In the news release, CROSS TIMBERS ROYALTY TRUST DECLARES FEBRUARY CASH DISTRIBUTION, issued 17-Feb-2026 by Cross Timbers Royalty Trust over PR Newswire, we are advised by the company that the "Cash Reserve" paragraph has been added to the release. The complete, corrected release follows:
CROSS TIMBERS ROYALTY TRUST DECLARES FEBRUARY CASH DISTRIBUTION
DALLAS, Feb. 17, 2026 /PRNewswire/ -- Argent Trust Company, as Trustee of the Cross Timbers Royalty Trust (the "Trust") (NYSE: CRT), today declared a cash distribution to the holders of its units of beneficial interest of $0.050060 per unit, payable on March 13, 2026, to unitholders of record on February 27, 2026. The following table shows underlying oil and gas sales and average prices attributable to the current month and prior month distributions.
Underlying Sales | ||||||||||
Volumes (a) | Average Price | |||||||||
Oil (Bbls) | Gas (Mcf) | Oil (per Bbl) | Gas (per Mcf) | |||||||
Current Month Distribution | 9,000 | 73,000 | $55.35 | $4.36 | ||||||
Prior Month Distribution | 10,000 | 73,000 | $57.62 | $4.13 | ||||||
(a) Sales volumes are recorded in the month the Trust receives the related net profits income. Because of this, sales volumes may fluctuate from month to month based on the timing of cash receipts. | ||||||||||
Excess Costs
XTO Energy has advised the Trustee that excess costs increased by $80,000 on properties underlying the Texas Working Interest net profits interests. However, these excess costs did not reduce net proceeds from the remaining conveyances. Underlying cumulative excess costs remaining on the Texas Working Interest net profits interests total $5,637,000, including accrued interest of $1,532,000.
XTO Energy has advised the Trustee that excess costs increased by $262,000 on properties underlying the Oklahoma Working Interest net profits interests. However, these excess costs did not reduce net proceeds from the remaining conveyances. Underlying cumulative excess costs remaining on the Oklahoma Working Interest net profits interests total $931,000, including accrued interest of $4,000.
Cash Reserve
In accordance with Section 3.08 of the Cross Timbers Royalty Trust Indenture, the Trustee withheld $50,000 from the monthly distribution over the past ten months to increase the reserve account balance. The reserve has now reached $1,500,000, and the Trustee has discontinued the $50,000 withholding.
For more information on the Trust, including the annual tax information, distribution amounts, and historical press releases, please visit our website at www.crt-crosstimbers.com.
SOURCE Cross Timbers Royalty Trust
FAQ**
How does the recent cash distribution of $0.050060 per unit by Cross Timbers Royalty Trust (CRT) compare to previous distributions, and what factors contributed to this change?
What impact do the reported excess costs for the Texas and Oklahoma Working Interest net profits interests have on the overall financial health of Cross Timbers Royalty Trust (CRT)?
Can you explain the purpose and significance of the $1,500,000 cash reserve that Cross Timbers Royalty Trust (CRT) has established, and how it may affect future distributions?
With the discontinuation of the $50,000 monthly withholding, how does Cross Timbers Royalty Trust (CRT) plan to manage its cash reserves and maintain financial stability moving forward?
**MWN-AI FAQ is based on asking OpenAI questions about Cross Timbers Royalty Trust (NYSE: CRT).
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