MTR
- Mesa Royalty Trust
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Overview
Company Summary
Mesa Royalty Trust (MTR) is a publicly traded company that operates as a trust, specifically a perpetual royalty trust. The company's primary objective is to collect and distribute royalty income from oil and natural gas properties.
Mesa Royalty Trust was established as a result of the conveyance and sale of oil and gas properties by the Standard Oil Company of Ohio (SOHIO) to Mesa Petroleum Company in 1982. As part of the transaction, a portion of the royalty interests generated from these properties was transferred to the trust.
The trust is responsible for managing the royalty interests and collecting the associated income generated from the production and sale of oil and natural gas from the underlying properties. These properties are located primarily in the Hugoton field of Kansas, as well as in other fields located in Texas and New Mexico.
Mesa Royalty Trust does not engage in any exploration, drilling, or production activities itself. Rather, it relies on the operators of the underlying properties to extract and sell the oil and gas. The trust then receives a portion of the revenue generated from these operations, which is subsequently distributed to the trust's unit holders.
The company's main role is to act as an intermediary between the royalty interests and the unit holders, ensuring the collection, management, and distribution of the royalty income in an efficient and transparent manner. It also provides regular reports and financial statements to unit holders, offering transparency regarding the trust's operations and financial performance.
As a publicly traded entity, Mesa Royalty Trust's units are listed on stock exchanges, allowing investors to buy and sell units and participate in the potential profits generated from the underlying oil and gas properties.
In summary, Mesa Royalty Trust operates as a trust that collects, manages, and distributes royalty income derived from oil and gas properties in Kansas, Texas, and New Mexico. It acts as an intermediary between the royalty interests and unit holders, providing an investment opportunity for individuals interested in receiving regular income from oil and gas production.