-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, QQ+3+Sn7oe2tTZKU+n5PCg8MVsHnHMNz099YGIxPN1WTWZqzN+iU7oS1geoP4hfC 5N1OLnHukkmCaE/owmk0xw== 0000930661-97-002669.txt : 19971117 0000930661-97-002669.hdr.sgml : 19971117 ACCESSION NUMBER: 0000930661-97-002669 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970930 FILED AS OF DATE: 19971114 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: SAN JUAN BASIN ROYALTY TRUST CENTRAL INDEX KEY: 0000319655 STANDARD INDUSTRIAL CLASSIFICATION: OIL ROYALTY TRADERS [6792] IRS NUMBER: 756279898 STATE OF INCORPORATION: TX FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 001-08032 FILM NUMBER: 97719867 BUSINESS ADDRESS: STREET 1: BANK ONE TEXAS N A TRUST CITY: FT WORTH STATE: TX ZIP: 76113 BUSINESS PHONE: 8178844630 MAIL ADDRESS: STREET 1: 1600 BANK ONE TOWER STREET 2: 500 THROCKMORTON CITY: FORT WORTH STATE: TX ZIP: 76102-3899 10-Q 1 FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended September 30, 1997 Commission File No. 1-8032 SAN JUAN BASIN ROYALTY TRUST Texas I.R.S. No. 75-6279898 Bank One, Texas, NA, Trust Department P. O. Box 2604 Fort Worth, Texas 76113 Telephone Number 817/884-4630 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and (2) has been subject to such filing requirements for the past 90 days. Yes X No --- --- Number of units of beneficial interest outstanding at November 14, 1997: 46,608,796 ---------- SAN JUAN BASIN ROYALTY TRUST PART I - FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS. The condensed financial statements included herein have been prepared by Bank One, Texas, NA as Trustee for the San Juan Basin Royalty Trust, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted pursuant to such rules and regulations, although the Trustee believes that the disclosures are adequate to make the information presented not misleading. It is suggested that these condensed financial statements be read in conjunction with the financial statements and the notes thereto included in the Trust's latest annual report on Form 10-K. In the opinion of the Trustee, all adjustments, consisting only of normal recurring adjustments, necessary to present fairly the assets, liabilities and trust corpus of the San Juan Basin Royalty Trust at September 30, 1997, and the distributable income and changes in trust corpus for the three-month and nine-month periods ended September 30, 1997 and 1996 have been included. The distributable income for such interim periods is not necessarily indicative of the distributable income for the full year. Deloitte & Touche LLP, independent certified public accountants, has made a limited review of the condensed financial statements as of September 30, 1997 and for the three-month and nine-month periods ended September 30, 1997 and 1996 included herein. -2- INDEPENDENT ACCOUNTANTS' REPORT Bank One, Texas, NA as Trustee for the San Juan Basin Royalty Trust: We have made a review of the condensed statement of assets, liabilities and trust corpus of the San Juan Basin Royalty Trust as of September 30, 1997 and the related condensed statements of distributable income and changes in trust corpus for the three-month and nine-month periods ended September 30, 1997 and 1996. These financial statements are the responsibility of the Trustee. We conducted our reviews in accordance with standards established by the American Institute of Certified Public Accountants. A review of interim financial information consists principally of applying analytical procedures to financial data and making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion. The accompanying condensed financial statements are prepared on a modified cash basis as described in Note 1, which is a comprehensive basis of accounting other than generally accepted accounting principles. Based on our reviews, we are not aware of any material modifications that should be made to such condensed financial statements for them to be in conformity with the basis of accounting described in Note 1. We have previously audited, in accordance with generally accepted auditing standards, the statement of assets, liabilities and trust corpus of the San Juan Basin Royalty Trust as of December 31, 1996, and the related statements of distributable income and changes in trust corpus for the year then ended (not presented herein); and in our report dated March 25, 1997, we expressed an unqualified opinion on those financial statements. In our opinion, the information set forth in the accompanying condensed statement of assets, liabilities and trust corpus as of December 31, 1996 is fairly stated in all material respects, in relation to the statement of assets, liabilities and trust corpus from which it has been derived. DELOITTE & TOUCHE LLP October 29, 1997 -3- SAN JUAN BASIN ROYALTY TRUST CONDENSED STATEMENTS OF ASSETS, LIABILITIES AND TRUST CORPUS - -------------------------------------------------------------------------------
SEPTEMBER 30, DECEMBER 31, ASSETS 1997 1996 (UNAUDITED) Cash and short-term investments $ 3,129,326 $ 3,127,828 Net overriding royalty interests in producing oil and gas properties (net of accumulated amortization of $75,595,080 and $70,467,380 at September 30, 1997 and December 31, 1996, respectively) 57,680,448 62,808,148 ----------- ----------- $60,809,774 $65,935,976 =========== =========== LIABILITIES AND TRUST CORPUS Distribution payable to Unit holders $ 3,129,326 $ 3,127,828 Trust corpus - 46,608,796 Units of beneficial interest authorized, issued and outstanding 57,680,448 62,808,148 ----------- ----------- $60,809,774 $65,935,976 =========== ===========
CONDENSED STATEMENTS OF DISTRIBUTABLE INCOME (UNAUDITED) - --------------------------------------------------------------------------------
THREE MONTHS ENDED NINE MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, ------------------------------- ------------------------------ 1997 1996 1997 1996 Royalty income (Note 3) $ 9,763,541 $ 24,135,208 $ 37,134,776 $ 32,890,337 Interest income 21,669 4,093 76,214 17,925 ------------- ------------- ------------- ------------- 9,785,210 24,139,301 37,210,990 32,908,262 General and administrative expenditures 180,243 1,348,584 773,496 3,248,171 ------------- ------------- ------------- ------------- Distributable income $ 9,604,967 $ 22,790,717 $ 36,437,494 $ 29,660,091 ============= ============= ============= ============= Distributable income per Unit (46,608,796 Units) $ .206076 $ .488979 $ .781772 $ .636361 ============= ============= ============= =============
The accompanying notes to condensed financial statements are an integral part of this statement. -4- SAN JUAN BASIN ROYALTY TRUST CONDENSED STATEMENTS OF CHANGES IN TRUST CORPUS (UNAUDITED) - -------------------------------------------------------------------------------
THREE MONTHS ENDED NINE MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, ---------------------------- --------------------------- 1997 1996 1997 1996 Trust corpus, beginning of period $ 59,227,104 $ 66,778,834 $ 62,808,148 $ 70,133,536 Amortization of net overriding royalty interest (1,546,656) (1,662,476) (5,127,700) (5,017,178) Distributable income 9,604,967 22,790,717 36,437,494 29,660,091 Distributions declared (9,604,967) (22,790,717) (36,437,494) (29,660,091) ------------ ------------ ------------ ------------ Trust corpus, end of period $ 57,680,448 $ 65,116,358 $ 57,680,448 $ 65,116,358 ============ ============ ============ ============
The accompanying notes to condensed financial statements are an integral part of these statements. -5- SAN JUAN BASIN ROYALTY TRUST NOTES TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED) - -------------------------------------------------------------------------------- 1. BASIS OF ACCOUNTING The San Juan Basin Royalty Trust ("Trust") was established as of November 1, 1980. The financial statements of the Trust are prepared on the following basis: . Royalty income recorded for a month is the amount computed and paid by the interest owner, Burlington Resources Oil & Gas Company ("BROG"), to the Trustee for the Trust. Royalty income consists of the amounts received by the owner of the interest burdened by the net overriding royalty interest ("Royalty") from the sale of production less accrued production costs, development and drilling costs, applicable taxes, operating charges, and other costs and deductions, multiplied by 75%. . Trust expenses recorded are based on liabilities paid and cash reserves established from royalty income for liabilities and contingencies. . Distributions to Unit holders are recorded when declared by the Trustee. . The conveyance which transferred the overriding royalty interests to the Trust provides that any excess of production costs over gross proceeds must be recovered from future net profits. The financial statements of the Trust differ from financial statements prepared in accordance with generally accepted accounting principles ("GAAP") because revenues are not accrued in the month of production and certain cash reserves may be established for contingencies which would not be accrued in financial statements prepared in accordance with GAAP and amortization of the Royalty calculated on a unit-of-production basis is charged directly to trust corpus. 2. FEDERAL INCOME TAXES For Federal income tax purposes, the Trust constitutes a fixed investment trust which is taxed as a grantor trust. A grantor trust is not subject to tax at the trust level. The Unit holders are considered to own the Trust's income and principal as though no trust were in existence. The income of the Trust is deemed to have been received or accrued by each Unit holder at the time such income is received or accrued by the Trust rather than when distributed by the Trust. The Royalty constitutes an "economic interest" in oil and gas properties for Federal income tax purposes. Unit holders must report their share of the revenues of the Trust as ordinary income from oil and gas royalties and are entitled to claim depletion with respect to such income. The Royalty is treated as a single property for depletion purposes. The Trust has on file technical advice memoranda confirming the tax treatment described above. The Trust began receiving royalty income from coal seam wells beginning in 1989. Under Section 29 of the Internal Revenue Code, production from coal seam gas wells drilled prior to January 1, 1993, qualifies for the federal income tax credit for producing non-conventional fuels. This tax credit was -6- approximately $1.03 per MMBtu for the year 1996 and is adjusted for inflation annually. The credit currently applies to production through the year 2002. Each Unit holder must determine his pro rata share of such production based upon the number of Units owned during each month of the year and apply the tax credit against his own income tax liability, but such credit may not reduce his regular tax liability (after the foreign tax credit and certain other nonrefundable credits) below his tentative minimum tax. Section 29 also provides that any amount of Section 29 credit disallowed for the tax year solely because of this limitation will increase his credit for prior year minimum tax liability, which may be carried forward indefinitely as a credit against the taxpayer's regular tax liability, subject, however, to the limitations described in the preceding sentence. There is no provision for the carryback or carryforward of the Section 29 credit in any other circumstances. The classification of the Trust's income for purposes of the passive loss rules may be important to a Unit holder. As a result of the Tax Reform Act of 1986, royalty income will generally be treated as portfolio income and will not reduce passive losses. 3. ROYALTY INCOME Royalty income for the quarter ended September 30, 1996, is comprised of $4,313,203, which represents the net overriding royalty interest in the net profits of the properties from which the net overriding royalty was carved, and $19,822,005 paid to the Trust as a result of the settlement of litigation involving Bank One, Texas, NA, as Trustee, Meridian Oil Inc., now known as BROG, and Southland Royalty Company. ****** -7- ITEM 2. TRUSTEE'S DISCUSSION AND ANALYSIS FORWARD LOOKING INFORMATION Certain information included in this report contains, and other materials filed or to be filed by the Trust with the Securities and Exchange Commission (as well as information included in oral statements or other written statements made or to be made by the Trust) may contain or include, forward looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Such forward looking statements may be or may concern, among other things, capital expenditures, drilling activity, development activities, production efforts and volumes, hydrocarbon prices and the results thereof, and regulatory matters. Such forward looking statements generally are accompanied by words such as "estimate," "expect," "predict," "anticipate," "goal," "should," "assume," "believe," or other words that convey the uncertainty of future events or outcomes. THREE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996 The San Juan Basin Royalty Trust received royalty income of $9,763,541 and interest income of $21,669 during the third quarter of 1997. After deducting administrative expenses of $180,243, distributable income for the third quarter was $9,604,967, or $.206076 per Unit. In the third quarter of 1996, royalty income was $24,135,208, interest income was $4,093, administrative expenses were $1,348,584 and distributable income was $22,790,717, or $.488979 per Unit. Royalty income for the third quarter of 1996 included $19,822,005 paid to the Trust as a result of the settlement of litigation involving Bank One, Texas, NA, as Trustee, Meridian Oil Inc., now known as BROG, and Southland Royalty Company (the "Litigation"). (See Note 5 to Financial Statements in the Trust's Annual Report for 1996 for further information on the Litigation.) Based on 46,608,796 Units outstanding, the per Unit distributions for the third quarter of 1997 were as follows: July $ .067500 August .071436 September .067140 --------- Quarter Total $ .206076 =========
The tax credit relating to production from coal seam wells totaled approximately $.05 per Unit for the third quarter of 1997 and $.04 per Unit for the third quarter of 1996. For further information concerning this tax credit, Unit holders should refer to the Trust's Annual Report for 1996. The decrease in royalty income for the three months ended September 30, 1997 as compared to the three month period ended September 30, 1996 was primarily a result of the settlement of the Litigation. Excluding the settlement of the Litigation, royalty income for the three months ended September 30, 1997 increased to $9,763,541, as compared to $4,313,203 for the comparable 1996 period. This increase was primarily a result of increase in the average price of gas from $1.18 in the third quarter of 1996 to $1.76 in the third quarter of 1997. Interest income was higher in the third quarter of 1997 as compared to the third quarter of 1996 primarily due to higher distributable income in the 1997 period, exclusive of the payment for the settlement of the Litigation in the 1996 period. Administrative expenses were lower in the third quarter of 1997 as compared to the third quarter of 1996 primarily due to decreased expenses relating to the Litigation. -8- Capital costs incurred by BROG for the third quarter of 1997 amounted to $1,537,795, as compared to $2,563,836 for the third quarter of 1996. BROG has informed the Trust that it has revised the estimate for the 1997 capital plan from $1,700,000 reported in the Trust's 1996 Annual Report, to $5,000,000, including $1,000,000 for facilities expenditures, an additional $1,800,000 for 1997 projects and $500,000 for non-operated properties, none of which amounts were included in the original estimate. Additionally, approximately $2,000,000 has been or will be spent in 1997 for projects planned or begun in 1996 but not included in the capital plan for 1997. Lease operating expenses and property taxes attributable to the Trust Properties were $2,649,405 for the third quarter of 1997 compared to $3,178,857 for the third quarter of 1996. BROG has informed the Trust that during the third quarter of 1997, three gross (1.76 net) conventional wells were recompleted through September 30, 1997. Five gross (1.15 net) conventional well recompletions and twelve gross (.46 net) coal seam recompletions were in progress as of September 30, 1997. Twelve gross (.60 net) conventional gas wells were completed on the properties from which the Royalty was carved during the third quarter of 1997. There was one gross (.04 net) coal seam well and 29 gross (2.4 net) conventional wells in progress on September 30, 1997. Six gross (1.01 net) coal seam well recavitations were completed and nine gross (.71 net) coal seam well recavitations were in progress as of September 30, 1997. In the third quarter of 1996, one gross (.83 net) conventional well was recompleted and seven gross (.29 net) coal seam wells were recavitated through September 30, 1996. Three gross (.23 net) conventional gas wells and one gross (.16 net) coal seam well were completed during the third quarter of 1996. There were seven gross (.30 net) coal seam wells and eleven gross (2.06 net) conventional wells in progress on September 30, 1996. Unit holders are referred to "Description of the Properties" in the Trust's Annual Report for 1996 for further information concerning BROG's coal seam well drilling program in the San Juan Basin. This program includes properties in which the Trust owns an interest. Gas and oil sales from the properties from which the Royalty was carved and sales attributable to the Royalty for the quarters ended September 30, 1997 and 1996, were as follows:
1997 1996 AGGREGATE SALES FROM PROPERTIES FROM WHICH THE ROYALTY WAS CARVED: Gas: Total Mcf 10,679,663 10,656,613 Mcf per day 116,083 115,833 Average price (per Mcf) $ 1.76 $ 1.18 Oil: Total Bbls 21,568 24,538 Bbls per day 234 267 Average price (per Bbl) $ 17.67 $ 19.15 SALES ATTRIBUTABLE TO THE ROYALTY: Gas sales (Mcf) 6,057,651 3,945,599 Oil sales (Bbls) 12,247 9,288
-9- During the third quarter of 1997, gas prices were higher than during the third quarter of 1996. Gas production increased slightly in 1997 as compared to 1996. The price per barrel of oil during the third quarter of 1997 was lower than that received for the third quarter of 1996. The third quarter sales figures are associated with actual oil and gas production during May through July from the properties from which the Royalty was carved. Sales volumes attributable to the Royalty are determined by dividing the net profits attributable to oil and gas, respectively, by the prices received for sales volumes from the properties from which the Royalty was carved, taking into consideration production taxes attributable to the properties from which the Royalty was carved. Since the oil and gas sales attributable to the Royalty are based on an allocation formula that is dependent on such factors as price and cost, including capital expenditures, the aggregate sales amounts from the properties from which the Royalty was carved may not provide a meaningful comparison to sales attributable to the Royalty. BROG's contract with a third-party purchaser as pertains to baseload gas volumes in the firm amount of 45,000 MMBtu per day has been extended through December 31, 1997. The remaining volumes of Trust gas continue to be marketed by El Paso Energy Marketing Company ("El Paso"). BROG has notified El Paso of its intention to terminate the existing contract effective as of December 31, 1997. Requests for proposals have been distributed by BROG and negotiations are under way for the sale of all Trust gas commencing January 1, 1998. Unit holders are referred to "Trustee's Discussion and Analysis" in the Trust's 1996 Annual Report for further information concerning the marketing of Trust gas. NINE MONTHS ENDED SEPTEMBER 30, 1997 AND 1996 For the nine months ended September 30, 1997, distributable income was $36,437,494 ($.781772 per Unit), compared to $29,660,091 ($.636361 per Unit) of income distributed during the same period in 1996. Excluding the settlement of the Litigation, royalty income for the nine months ended September 30, 1997 increased to $37,134,776 from $13,068,332 for the comparable 1996 period. This increase was primarily a result of the increase in the average price of gas from $1.15 in the first nine months of 1996 to $2.19 in the first nine months of 1997. Royalty income for the first nine months of 1996 includes $19,822,005 paid to the Trust as a result of the settlement of the Litigation. Interest income for the nine months ended September 30, 1997 was $76,214 compared to $17,925 during the first nine months of 1996. The increase in interest income was due to higher distributable income throughout the first nine months of 1997 as compared to the same period in 1996. Capital costs incurred for the nine month period ending September 30, 1997 were $5,651,763. For the first nine months of 1996, capital expenditures totaled $5,226,791. As previously discussed, capital expenditures for 1997 are expected to total $7,000,000. BROG has informed the Trust that during the nine months ended September 30, 1997, 41 gross (2.66 net) conventional gas wells were completed on Trust Properties. Four gross (2.59 net) conventional wells and one gross (.84 net) coal seam well were recompleted, and ten gross (1.56 net) coal seam wells were recavitated during the first nine months of 1997. -10- Lease operating expenses and property taxes totaled $8,303,522 for the first nine months of 1997 compared to $8,947,008 for the first nine months of 1996. For the nine months ended September 30, 1997 and 1996, gas and oil sales from the properties from which the Royalty was carved and sales attributable to the Royalty compared as follows:
AGGREGATE SALES FROM PROPERTIES FROM WHICH THE ROYALTY WAS CARVED: 1997 1996 Gas: Total Mcf 31,506,749 30,203,245 Mcf per day 115,409 110,231 Average price (per Mcf) $ 2.19 $ 1.15 Oil: Total Bbls 70,054 64,092 Bbls per day 257 234 Average price (per Bbl) $ 19.70 $ 19.17 SALES ATTRIBUTABLE TO THE ROYALTY: Gas sales (Mcf) 18,122,585 12,449,648 Oil sales (Bbls) 39,460 26,532
The first nine months production figures are associated with actual oil and gas production during November 1996 through July 1997. The average price of gas sold from the properties from which the Royalty was carved increased from $1.15 per Mcf to $2.19 per Mcf. The average price per barrel of oil for the first nine months of 1997 increased to $19.70 from $19.17 for the same period in 1996. Sales volumes attributable to the Royalty are determined by dividing the net profits attributable to oil and gas, respectively, by the prices received for sales volumes from the properties from which the Royalty was carved, taking into consideration production taxes attributable to the properties from which the Royalty was carved. Since the oil and gas sales attributable to the Royalty are based on an allocation formula that is dependent upon such factors as price and costs, including capital expenditures, the aggregate sales amounts from the properties from which the Royalty was carved may not provide a meaningful comparison to the sales attributable to the Royalty. -11- ROYALTY CALCULATION: Royalty income received by the Trust for the three months and nine months ended September 30, 1997 and 1996, respectively, was computed as shown in the following table:
THREE MONTHS ENDED NINE MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, ------------------------------------------------------------------- 1997 1996 1997 1996 Gross proceeds of sales from the properties from which the net overriding royalty was carved: Gas proceeds $18,758,331 $12,563,259 $69,003,247 $ 34,609,854 Oil proceeds 381,186 469,868 1,380,372 1,228,908 ----------- ----------- ----------- ------------ Total 19,139,517 13,033,127 70,383,619 35,838,762 ----------- ----------- ----------- ------------ Less production costs: Severance tax - Gas 1,896,788 1,430,319 6,782,548 4,047,528 Severance tax - Oil 37,474 50,089 132,751 133,903 Lease operating expenses and property tax 2,649,405 3,178,857 8,303,522 8,947,008 Capital expenditures 1,537,795 2,563,836 5,651,763 5,226,791 Other 59,089 59,089 ----------- ----------- ----------- ------------ Total 6,121,462 7,282,190 20,870,584 18,414,319 ----------- ----------- ----------- ------------ Net profits 13,018,055 5,750,937 49,513,035 17,424,443 ----------- ----------- ----------- ------------ Net overriding royalty interest 75 % 75 % 75 % 75 % ----------- ----------- ----------- ------------ Royalty income $ 9,763,541 $ 4,313,203* $37,134,776 $ 13,068,332* =========== =========== =========== ============
* Amount does not include $19,822,005 received by the Trust as a result of the settlement of the Litigation. (See Note 5 to Financial Statements in the Trust's Annual Report for 1996 for further information on the Litigation.) ITEM 3. QUALITATIVE AND QUANTITATIVE DISCLOSURES ABOUT MARKET RISK BROG has informed the Trust that no gas or oil sales attributable to the Royalty will be impacted by financial arrangements such as hedges, swaps, options or derivatives. -12- PART II - OTHER INFORMATION Items 1-5 Not Applicable Item 6. Exhibits and Reports on Form 8-K (a) Exhibits (4)(a) San Juan Basin Royalty Trust Indenture dated November 3, 1980, between Southland Royalty Company (now Burlington Resources Oil & Gas Company) and The Fort Worth National Bank (now Bank One, Texas, NA), as Trustee, heretofore filed as Exhibit (4)(a) to the Trust's Annual Report on Form 10-K to the Securities and Exchange Commission for the fiscal year ended December 31, 1980 is incorporated herein by reference. (4)(b) Net Overriding Royalty Conveyance from Southland Royalty Company (now Burlington Resources Oil & Gas Company) to The Fort Worth National Bank (now Bank One, Texas, NA), as Trustee, dated November 3, 1980 (without Schedules), heretofore filed as Exhibit (4)(b) to the Trust's Annual Report on Form 10-K to the Securities and Exchange Commission for the fiscal year ended December 31, 1980 is incorporated herein by reference. (27) Financial Data Schedule (b) Reports on Form 8-K The San Juan Basin Royalty Trust did not file any reports on Form 8-K during the three-month period ended September 30, 1997. -13- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized. BANK ONE, TEXAS, NA, AS TRUSTEE FOR THE SAN JUAN BASIN ROYALTY TRUST By /s/ LEE ANN ANDERSON --------------------- Lee Ann Anderson Vice President Dated as of November 14, 1997 (The Trust has no directors or executive officers.) -14- INDEX TO EXHIBITS SEQUENTIALLY EXHIBIT NUMBERED NUMBER EXHIBIT PAGE (4)(a) San Juan Basin Royalty Trust Indenture dated November 3, 1980, between Southland Royalty Company (now Burlington Resources Oil & Gas Company) and The Fort Worth National Bank (now Bank One, Texas, NA), as Trustee, heretofore filed as Exhibit (4)(a) to the Trust's Annual Report on Form 10-K to the Securities and Exchange Commission for the fiscal year ended December 31, 1980 is incorporated herein by reference.* (4)(b) Net Overriding Royalty Conveyance from Southland Royalty Company (now Burlington Resources Oil & Gas Company) to The Fort Worth National Bank (now Bank One, Texas, NA), as Trustee, dated November 3, 1980 (without Schedules), heretofore filed as Exhibit (4)(b) to the Trust's Annual Report on Form 10-K to the Securities and Exchange Commission for the fiscal year ended December 31, 1980 is incorporated herein by reference.* (27) Financial Data Schedule ** * A copy of this Exhibit is available to any Unit holder, at the actual cost of reproduction, upon written request to the Trustee, Bank One, Texas, NA, P.O. Box 2604, Fort Worth, Texas 76113. ** Filed herewith. -15- EX-27 2 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE UNAUDITED CONDENSED STATEMENTS OF ASSETS, LIABILITIES AND TRUST CORPUS OF SAN JUAN BASIN ROYALTY TRUST AS OF SEPTEMBER 30, 1997, AND THE RELATED CONDENSED STATEMENTS OF DISTRIBUTABLE INCOME AND CHANGES IN TRUST CORPUS FOR THE THREE-MONTH PERIOD ENDED SEPTEMBER 30, 1997. 3-MOS DEC-31-1997 SEP-30-1997 3,129,326 0 0 0 0 3,129,326 133,275,528 75,595,080 60,809,774 3,129,326 0 0 0 0 57,680,448 60,809,774 0 9,785,210 0 0 180,243 0 0 9,604,967 0 9,604,967 0 0 0 9,604,967 0 0
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