San Juan Basin Royalty Trust said it will not declare a May 2026 cash distribution, citing excess production costs and continued weak natural gas prices. The trust said cumulative excess production costs totaled about $8.48 million gross.
San Juan Basin Royalty Trust said on May 18 that it will not declare a monthly cash distribution for May 2026, citing excess production costs and continued low natural gas prices.
The trust said cumulative excess production costs were about $8.48 million gross, or $6.36 million net to the trust. It also said March 2026 production costs exceeded revenue for the subject interests.
The announcement was made in a press release and filed on Form 8-K with the U.S. Securities and Exchange Commission.
What it means
The no-distribution decision underscores the pressure weak gas prices and elevated costs are putting on the trust's monthly payouts. San Juan Basin Royalty Trust's distributions depend on the cash flow generated by its underlying royalty interests.
The trust did not indicate any change to its operations beyond the May distribution decision.
Revision note
Initial automated publication.