0000072633-17-000014.txt : 20170515 0000072633-17-000014.hdr.sgml : 20170515 20170515113438 ACCESSION NUMBER: 0000072633-17-000014 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20170428 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20170515 DATE AS OF CHANGE: 20170515 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NORTH EUROPEAN OIL ROYALTY TRUST CENTRAL INDEX KEY: 0000072633 STANDARD INDUSTRIAL CLASSIFICATION: OIL ROYALTY TRADERS [6792] IRS NUMBER: 222084119 STATE OF INCORPORATION: DE FISCAL YEAR END: 1031 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-08245 FILM NUMBER: 17842342 BUSINESS ADDRESS: STREET 1: P O BOX 456 STREET 2: 43 WEST FRONT STREET SUITE 19-A CITY: RED BANK STATE: NJ ZIP: 07701 BUSINESS PHONE: 7327414008 MAIL ADDRESS: STREET 1: P O BOX 456 STREET 2: 43 WEST FRONT STREET SUITE 19-A CITY: RED BANK STATE: NJ ZIP: 07701 8-K 1 ek051217.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): May 12, 2017 -------------- NORTH EUROPEAN OIL ROYALTY TRUST ------------------------------------------------------ (Exact name of Registrant as specified in its charter) Commission File No. 1-8245 Delaware 22-2084119 ----------------------- ----------------------- (State of organization) (IRS Employer I.D. No.) Suite 19A, 43 West Front Street, Red Bank, N.J. 07701 ---------------------------------------------------------------- (Address of principal executive offices) 732-741-4008 --------------------------------------------------- (Registrant's telephone number including area code) Not Applicable ------------------------------------------------------------ Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: [ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) [ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) [ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) [ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) -2- Item 2.02. Results of Operations and Financial Condition. ---------------------------------------------- On May 12, 2017 North European Oil Royalty Trust issued a press release via PR Newswire announcing the Trust's net income and results for the second quarter of fiscal 2017. Furnished herewith is a copy of the press release, which is incorporated by reference herein. Item 9.01. Financial Statements and Exhibits. ---------------------------------- (c) Exhibits The following exhibit is furnished herewith: Exhibit 99. A press release dated May 12, 2017 and disseminated through PR Newswire announcing the net income and results for North European Oil Royalty Trust for the second quarter of fiscal 2017. 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 hereunto duly authorized. NORTH EUROPEAN OIL ROYALTY TRUST -------------------------------- (Registrant) By: /s/ John R. Van Kirk ------------------------ John R. Van Kirk Managing Director Dated: May 12, 2017 EX-99 2 x99-0512.txt -3- Exhibit 99 PR NEWSWIRE NORTH EUROPEAN OIL ROYALTY TRUST ANNOUNCES NET INCOME AND RESULTS FOR THE SECOND QUARTER OF FISCAL 2017 Red Bank, N.J. May 12, 2017 -- North European Oil Royalty Trust (NYSE-NRT) reported the net income and results for the second quarter of fiscal 2017 which appear below compared with the second quarter of fiscal 2016. Total royalty income reflects the inclusion of any adjustments made by the operating companies based upon their corrected royalty calculations for prior periods as well as the inclusion of Mobil sulfur royalties. The total adjustments for the second quarter of fiscal 2017 increased total royalty income by $42,984 while total adjustments for the second quarter of fiscal 2016 reduced total royalty income by $32,857. 2nd Fiscal Qtr. 2nd Fiscal Qtr. Percentage Ended 4/30/2017 Ended 4/30/2016 Change --------------- --------------- ---------- Total Royalty Income $1,918,830 $2,333,670 - 17.78% Net Income $1,699,909 $2,100,364 - 19.07% Distributions Per Unit $0.19 $0.24 - 20.83% The Trust receives all of its royalties under two royalty agreements. The Mobil Agreement, the higher royalty rate agreement, covers gas sales from the western half of the Oldenburg concession. The OEG Agreement, the lower royalty rate agreement, covers gas sales from the entire Oldenburg concession. The factors determining the amount of gas royalties payable under the two agreements from the preceding calendar quarter are shown in the table below comparing the first calendar quarters of 2017 and 2016. Further details will be available in the Trust's 10-Q filing available through the SEC or on the Trust's website, www.neort.com, on or about May 30, 2017. Gas Data Providing Basis for Fiscal Quarter Royalties ----------------------------------------------------- 1st Calendar Qtr. 1st Calendar Qtr. Percentage Mobil Agreement Ended 3/31/2017 Ended 3/31/2016 Change --------------- --------------- --------------- ---------- Gas Sales (Bcf)(1) 5.934 6.834 - 13.17% Gas Prices(2)(Ecents/Kwh)(3) 1.7434 1.5622 + 11.60% Average Exchange Rate (4) $1.0625 $1.1173 - 4.91% Gas Royalties $1,255,366 $1,369,315 - 8.32% OEG Agreement ------------- Gas Sales (Bcf) 18.885 20.434 - 7.58% Gas Prices (Ecents/Kwh) 1.7779 1.5282 + 16.34% Average Exchange Rate $1.0630 $1.1171 - 4.84% Gas Royalties $530,792 $487,877 + 8.80% (1) Billion cubic feet (2) Gas prices derived from November-January period (3) Euro cents per Kilowatt hour (4) Based on average Euro/dollar exchange rates of cumulative royalty transfers -4- Trust expenses for the second quarter of fiscal 2017 decreased 6.51%, or $15,294, to $219,707 from $235,001 in the second quarter of fiscal 2016 due to decreased legal costs resulting from the prior completion of the examination and review of the pricing proposal put forth by the operating companies and the incorporation of the resulting details in the amendments to the royalty agreements. Total royalty income received during the first six months of fiscal 2017 declined in comparison to fiscal 2016 due to lower gas prices, lower gas sales and lower average exchange rates under both the Mobil and the OEG Agreements. The comparison of the relevant periods is shown below. Six Months Six Months Percentage Ended 4/30/2017 Ended 4/30/2016 Change --------------- --------------- ---------- Total Royalty Income $ 3,643,516 $ 4,166,141 - 12.54% Net Income $ 3,174,926 $ 3,674,051 - 13.59% Distributions per Unit $0.34 $0.40 - 15.00% The previously declared distribution of 19 cents per unit will be paid on May 31, 2017 to owners of record as of May 19, 2017. For further information contact John R. Van Kirk, Managing Director, at (732) 741-4008 or via e-mail at jvankirk@neort.com. The text of the Trust's press releases along with other pertinent information is available on the Trust's website: www.neort.com.