DALLAS, May 18, 2012 /PRNewswire/ -- Dominion Resources Black Warrior Trust (NYSE: DOM) today announced a quarterly cash distribution to the holders of its units of beneficial interest of $0.129764 per unit. The distribution will be payable June 8, 2012 to unitholders of record on May 30, 2012. Dominion's cash distribution history, current and prior year financial reports, a link to filings made with the Securities and Exchange Commission and more can be found on its website at http://www.dom-dominionblackwarriortrust.com/ .
This distribution represents the quarterly royalty payment from Walter Black Warrior Basin LLC ("WBWB") reflecting production from January 1, 2012 to March 31, 2012. WBWB reported that production attributable to the Trust's overriding royalty interests was approximately 500 million cubic feet ("MMcf") during this period compared to 526 MMcf in the previous quarter. Prices for this quarter to the trust averaged $2.73 per Mcf compared to $3.50 per Mcf for the previous quarter.
The Trust is designed to provide unitholders with quarterly cash distributions from its royalty interests in certain coal seam gas properties. The units are listed on The New York Stock Exchange under the symbol "DOM".
The Trust owns overriding royalty interests burdening certain proved developed coal seam gas properties currently owned by WBWB and located in the Black Warrior Basin of Alabama. The Trust is a grantor trust originally formed by Dominion Resources, Inc.Dominion Resources Black Warrior Trust, as it does after the end of each year, had a year-end Reserve Report prepared in accordance with the Securities and Exchange Commission's requirements. This report provides an evaluation of the estimated asset value as of December 31 of each year, which can be used to estimate the remaining life of the Trust. The estimated net proved reserves, as of January 1, 2012, attributable to the Trust from the properties appraised are approximately 11 billion cubic feet of gas with a future net value of approximately $42,187,000 with a 10% discounted value of $26,893,000. With the estimated quantities of this year's reserve estimate of 11 billion cubic feet of gas remaining, it could be estimated that the Trust still has a life span of 4 to 5 years. The report is an exhibit to the Trust's Annual Report on Form 10-K that was filed on March 15, 2012 and is available to all unitholders at this time on the Trust website. SOURCE Dominion Resources Black Warrior Trust