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Houston, TX, Sept. 18, 2012 (GLOBE NEWSWIRE) -- NGP Capital Resources Company (NASDAQ: NGPC) (the "Company") today announced that its Board of Directors has declared a quarterly dividend to stockholders in the amount of $0.16 per common share. The expected dividend payment date is October 8, 2012 to stockholders of record on September 28, 2012.
Steve Gardner, President and CEO, commented, "This marks the thirty-first consecutive quarterly dividend since our initial public offering in November 2004, and a 23% increase from the dividend declared in the second quarter of 2012."
Management expects that the dividend will be paid out of ordinary income for tax purposes. The Company determines the tax characteristics of its dividend distributions as of the end of the fiscal year, based on the taxable income for the full year and distributions paid during the year. The tax characteristics for dividends paid in 2012 will be reported to each stockholder on Form 1099-DIV after the end of the year. All dividend distributions in 2011 were paid from ordinary income.
The Company has an "opt out" dividend reinvestment plan, or "DRIP," for its stockholders. Consequently, when the Company declares a cash dividend, stockholders who have not opted out of the DRIP automatically have their dividends reinvested in shares of NGPC common stock, rather than receiving their dividends in cash. A stockholder who has elected to receive dividends in cash may re-enroll in the DRIP at any time be notifying the plan administrator.
The Company also announced portfolio activity and developments involving a number of portfolio investments, including ATP Oil & Gas Corporation ("ATP"), Everest Acquisition, LLC ("Everest"), and a new investment in Midstates Petroleum Company, Inc. ("Midstates").
In 2011 and 2012, the Company purchased from ATP limited-term overriding royalty interests ("ORRI") in certain offshore oil and gas producing properties operated by ATP in the Gulf of Mexico. Under this arrangement, the Company owns the right to portions (ranging from 5.0% to 10.8%) of the monthly revenues from the production from various oil and gas properties subject to the ORRI in ATP's Gomez and Telemark properties. The Company's unrecovered investment as of the date of this release is $42.9 million. The terms of the ORRI provide that it will terminate after the Company receives payments that equal its investments in the ORRI plus a time-value factor that is calculated at a rate of 13.2 % per annum.