8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION 

WASHINGTON, DC 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):  February 16, 2007

HUGOTON ROYALTY TRUST

(Exact Name of Registrant as Specified in Its Charter)

Texas

(State or Other Jurisdiction of Incorporation)

1-10476	58-6379215
(Commission File Number)	(IRS Employer Identification No.)
Trust Division
Royalty Trust Group
Bank of America, N.A.
901 Main Street, 17th Floor
P.O. Box 830650
Dallas, Texas	75283-0650
(Address of Principal Executive Offices)	(Zip Code)

(877) 228-5083

(Registrant’s Telephone Number, Including Area Code)

NONE

(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 (see General Instruction A.2. below):

¨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))

Item 2.02. Results of Operations and Financial Condition.

On February 16, 2007, the Registrant issued a news release announcing its monthly cash distribution to unitholders of record on February 28, 2007. A copy of the news release is furnished as Exhibit 99.1.

The information in this Current Report, including the news release attached hereto, is being furnished pursuant to Item 2.02 of Form 8-K and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liabilities of that Section.

Item 9.01. Financial Statements and Exhibits.

(c) Exhibits.

         99.1 News Release dated February 16, 2007

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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.

HUGOTON ROYALTY TRUST
By:	BANK OF AMERICA, N.A., TRUSTEE FOR
	HUGOTON ROYALTY TRUST

Date: February 16, 2007	By:	/s/ NANCY G. WILLIS
		Nancy G. Willis
		Vice President

XTO ENERGY INC.
By:	/s/ BENNIE G. KNIFFEN
	Bennie G. Kniffen
	Senior Vice President and Controller

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EXHIBIT INDEX

Exhibit Number and Description

99.1 News Release dated February 16, 2007

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EX-99.1

EXHIBIT 99.1

[NEWS RELEASE LETTERHEAD OF HUGOTON ROYALTY TRUST APPEARS HERE]

HUGOTON ROYALTY TRUST

DECLARES FEBRUARY CASH DISTRIBUTION

 Dallas, Texas, February 16, 2007 - Bank of America, N.A., as Trustee of the Hugoton Royalty Trust (NYSE - HGT), today declared a cash distribution to the holders of its units of beneficial interest of $0.169036 per unit, payable on March 14, 2007, to unitholders of record on February 28, 2007.  The following table shows underlying gas sales and average prices attributable to the current month and prior month distributions.  Underlying gas sales volumes attributable to the current month distribution were primarily produced in December. 

	Underlying Gas Sales Volumes (Mcf) (a)
		Total	Daily	Average Gas Price per Mcf
Current Month Distribution		2,399,000	77,000	$   6.34
Prior Month Distribution		2,383,000	79,000	$   6.25

(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.

 XTO Energy has advised the trustee that daily underlying gas sales volumes attributable to the current month distribution were lower because of weather related production problems in Oklahoma. Based on available January 2007 production information, XTO Energy has advised the trustee that gas sales volumes related to the March 2007 distribution may further decline because of weather related problems.

 XTO Energy deducted budgeted development costs of $3,750,000, production expense of $1,639,000 and overhead of $761,000 in determining the royalty payment to the Trust for the month of February.

Development Costs

 XTO Energy has advised the trustee that it decreased the monthly development cost deduction from $5,000,000 to $3,750,000 beginning with the February 2007 distribution. This monthly deduction is based on the current level of development expenditures and the development cost budget for calendar year 2007 and will continue to be evaluated and revised as necessary.

For more information on the Trust, please visit our web site at www.hugotontrust.com.

* * *

 Contacts: Nancy G. Willis Vice President Bank of America, N.A. (Toll Free) 877/228-5083 Louis G. Baldwin Executive Vice President & Chief Financial Officer XTO Energy, Inc. 817/870-2800

Statements made in this news release, including those relating to weather related effects on future gas sales volumes from the underlying properties, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on assumptions and estimates that the trustee and XTO Energy believe are reasonable based on currently available information; however, the trustee’s and XTO Energy’s assumptions and future gas sales volumes from the underlying properties are both subject to a wide range of risks and uncertainties and there is no assurance that these expectations will occur. Any number of factors could cause actual results to differ materially from those in the forward-looking statements, including but not limited to, changes in the underlying demand for oil and gas, the timing and results of drilling activity and weather related or other delays in completing production on the underlying properties, gas pipeline capacity and general market conditions. Further information on risk and uncertainties is available in the trust’s filings with the Securities and Exchange Commission, which are incorporated by this reference as though fully set forth herein.