CROSS TIMBERS ROYALTY TRUST DECLARES FEBRUARY CASH DISTRIBUTION

Cross Timbers Royalty Trust (NYSE: CRT), managed by Argent Trust Company, has announced its cash distribution for February 2026, declaring a payment of $0.050060 per unit to its beneficial interest holders. This distribution is set to be paid on March 13, 2026, to those unitholders who are on record by February 27, 2026.

The Trust highlighted the underlying sales volumes and average prices of oil and gas for the current and prior months. In February, the Trust recorded 9,000 barrels of oil and 73,000 Mcf of gas sales, with averages of $55.35 per barrel and $4.36 per Mcf. This represents a decrease in oil sales from the previous month, which had 10,000 barrels sold at an average price of $57.62 per barrel, although gas sales remained stable across both months.

Additionally, the Trust reported an increase in excess costs associated with properties underlying its Texas and Oklahoma Working Interest net profit interests. XTO Energy indicated a rise of $80,000 in excess costs for Texas and an increase of $262,000 for Oklahoma. However, it is important to note that these excess costs did not impact the net proceeds from the remaining conveyances. The cumulative excess costs now stand at $5,637,000 for Texas and $931,000 for Oklahoma, including accrued interest.

Investors and stakeholders can find further information regarding the Trust, including annual tax information, distribution amounts, and additional updates, on their official website at www.crt-crosstimbers.com. The announcement underscores the Trust's continued focus on transparency and communication with its unitholders.

The announcement by the Cross Timbers Royalty Trust (NYSE: CRT), declaring a cash distribution of $0.050060 per unit for February 2026, presents an intriguing opportunity for investors. This distribution, payable on March 13, 2026, reflects a minor decrease in oil prices and sales volume from the prior month. The underlying sales figures indicate a drop in oil sales from 10,000 barrels to 9,000, while average prices saw a slight decline from $57.62 to $55.35 per barrel.

Investors should note that while the cash distribution may seem modest, it is essential to consider the current energy market landscape. The recent fluctuations in oil and gas prices can be attributed to several factors including geopolitical tensions, supply chain disruptions, and evolving demand dynamics. With oil prices remaining relatively stable above $55, the trust may continue to provide consistent distributions, although the decreasing sales volume warrants close monitoring.

Moreover, the report indicates that excess costs from XTO Energy have risen significantly. An additional $80,000 in Texas and $262,000 in Oklahoma have added to cumulative excess costs, again illustrating the variability and potential risks associated with energy sector investments. Nonetheless, the excess costs did not impair net proceeds, which suggests operational resilience.

For current and prospective unit holders, a diversified investment approach may be wise. Given the Royalty Trust's dependence on fluctuating oil and gas sales, investors may want to hedge their positions or explore alternative energy investments to mitigate potential volatility. Additionally, keeping abreast of broader market trends, drilling activities in the regions serviced, and XTO’s operational performance will provide deeper insights into future distributions. Overall, CRT remains a compelling, albeit cautiously optimistic, investment choice within the royalty trust space.