Royalty Trust was created on December 1, 1998 when XTO Energy Inc. conveyed
80% net profits interests in certain predominantly gas-producing properties
located in Kansas, Oklahoma and Wyoming to the trust. The net profits
interests are the only assets of the trust, other than cash held for trust
expenses and for distribution to unitholders.
trust was created to collect and distribute to unitholders monthly net
profits income related to the 80% net profits interests. Such net profits
income is calculated as 80% of the net proceeds received from certain
working interests in predominantly gas-producing properties in Kansas,
Oklahoma and Wyoming.
proceeds from properties in each state are calculated by deducting production
costs, development costs and overhead from revenues. Net profits income
received by the trust on the last business day of each month is calculated
and paid by XTO Energy based on net proceeds received from the underlying
properties in the prior month. Distributions, as calculated by the trustee,
are paid to month-end unitholders of record within ten business days.
of beneficial interest in the trust were sold in its initial public offering
in April and May 1999, and are listed and traded on the New York Stock
Exchange under the symbol HGT. As of May 12, 2006, XTO Energy is not a unitholder of the trust.
Prospectus - April 8, 1999