Permian Basin Royalty Trust (PBT) investor relations material

Executive summary

• Royalty income for Q2 2026 was $4.16M, up from $3.09M in Q2 2025, mainly due to a $1.125M settlement payment from Blackbeard; distributable income per unit rose to $0.08 from $0.05 year-over-year.

• For the six months ended June 30, 2026, royalty income was $7.71M, up from $6.14M in the prior year, with distributable income per unit at $0.15 versus $0.11.

• A settlement agreement with Blackbeard resulted in $2.25M in partial payments during the first half of 2026, with additional payments scheduled.

• Legal and administrative expenses decreased significantly due to lower professional service costs following the Blackbeard litigation.

Financial highlights

• Q2 2026 distributable income: $3.87M ($0.08/unit); Q2 2025: $2.40M ($0.05/unit).

• Six months ended June 30, 2026 distributable income: $6.90M ($0.15/unit); prior year: $4.99M ($0.11/unit).

• Cash and short-term investments at June 30, 2026: $2.25M, up from $1.72M at year-end 2025.

• Total liabilities at June 30, 2026: $2.25M, up from $1.72M at year-end 2025.

Outlook and guidance

• Distributions remain highly sensitive to oil and gas prices, which have been volatile due to geopolitical events.

• The Trust expects continued exemption from Texas franchise tax as a passive entity.

• A special meeting will be called to vote on a proposed business combination with Blackbeard Holdings, potentially converting the Trust into a new public corporation.