Pacific Coast Oil Trust Announces There Will Be No April Cash Distribution
ARO is the recognition related to net present value of future plugging and abandonment costs that all oil and gas operators face.
- ARO is the recognition related to net present value of future plugging and abandonment costs that all oil and gas operators face.
- Therefore, until the net profits deficit is eliminated, the only cash proceeds the Trust will receive are pursuant to the 7.5% overriding royalty interest.
- Costs associated with returning wells to service must be recovered before cash flow to the Trust can be created.
- Pacific Coast Oil Trust is a Delaware statutory trust formed by PCEC to own interests in certain oil and gas properties in the Santa Maria Basin and the Los Angeles Basin in California (the Underlying Properties).