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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
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 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 RihnYBLuYOmFGkQZV8NK9xfidWNtH2zLcZh8EEzuSrZ4CqLSQM0OtRAvIYkBqXLe
 AlxVrrJi8+H+x0RLJUG1ow==

<SEC-DOCUMENT>0001209191-04-000050.txt : 20040102
<SEC-HEADER>0001209191-04-000050.hdr.sgml : 20040101
<ACCEPTANCE-DATETIME>20040102111758
ACCESSION NUMBER:		0001209191-04-000050
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20031230
FILED AS OF DATE:		20040102

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			SMITH JERRY L
		CENTRAL INDEX KEY:			0001260577

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31759
		FILM NUMBER:		04500443

	MAIL ADDRESS:	
		STREET 1:		59444 LUTHER LANE 401
		CITY:			DALLAS
		STATE:			TX
		ZIP:			75225

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PANHANDLE ROYALTY CO
		CENTRAL INDEX KEY:			0000315131
		STANDARD INDUSTRIAL CLASSIFICATION:	CRUDE PETROLEUM & NATURAL GAS [1311]
		IRS NUMBER:				731055775
		STATE OF INCORPORATION:			OK
		FISCAL YEAR END:			0930

	BUSINESS ADDRESS:	
		STREET 1:		5400 NW GRAND BLVD
		STREET 2:		GRAND CENTRE STE 210
		CITY:			OKLAHOMA CITY
		STATE:			OK
		ZIP:			73112
		BUSINESS PHONE:		4059481560
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>doc4.xml
<DESCRIPTION>FORM 4 SUBMISSION
<TEXT>
<XML>
<?xml version="1.0"?><ownershipDocument><schemaVersion>X0201</schemaVersion>    <documentType>4</documentType><periodOfReport>2003-12-30</periodOfReport><notSubjectToSection16>0</notSubjectToSection16><issuer><issuerCik>0000315131</issuerCik><issuerName>PANHANDLE ROYALTY CO</issuerName>        <issuerTradingSymbol>PANRA</issuerTradingSymbol></issuer><reportingOwner><reportingOwnerId><rptOwnerCik>0001260577</rptOwnerCik><rptOwnerName>SMITH JERRY L</rptOwnerName></reportingOwnerId><reportingOwnerAddress><rptOwnerStreet1>5944 LUTHER LANE</rptOwnerStreet1><rptOwnerStreet2># 401</rptOwnerStreet2><rptOwnerCity>DALLAS</rptOwnerCity><rptOwnerState>TX</rptOwnerState><rptOwnerZipCode>75225</rptOwnerZipCode><rptOwnerStateDescription></rptOwnerStateDescription></reportingOwnerAddress><reportingOwnerRelationship><isDirector>1</isDirector><isOfficer>0</isOfficer><isTenPercentOwner>0</isTenPercentOwner><isOther>0</isOther></reportingOwnerRelationship></reportingOwner><nonDerivativeTable><nonDerivativeTransaction><securityT
itle><value>Panhandle Royalty Coampany Class A Common</value></securityTitle><transactionDate><value>2003-12-30</value></transactionDate><deemedExecutionDate><value>2004-01-05</value></deemedExecutionDate><transactionCoding><transactionFormType>4</transactionFormType><transactionCode>S</transactionCode><equitySwapInvolved>0</equitySwapInvolved></transactionCoding><transactionTimeliness><value></value></transactionTimeliness><transactionAmounts><transactionShares><value>10000.0000</value></transactionShares><transactionPricePerShare><value>31.0000</value></transactionPricePerShare><transactionAcquiredDisposedCode><value>D</value></transactionAcquiredDisposedCode></transactionAmounts><postTransactionAmounts><sharesOwnedFollowingTransaction><value>9372.0000</value></sharesOwnedFollowingTransaction></postTransactionAmounts><ownershipNature><directOrIndirectOwnership><value>D</value></directOrIndirectOwnership></ownershipNature></nonDerivativeTransaction></nonDerivativeTable><footnotes></footnotes><remarks></rema
rks><ownerSignature><signatureName>Jerry L. Smith, Michael C. Coffman, Attorney In Fact</signatureName><signatureDate>2004-01-02</signatureDate></ownerSignature></ownershipDocument>

</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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