Market Overview

San Juan Basin Royalty Trust Declares December Cash Distribution


Compass Bank, as Trustee of the San Juan Basin Royalty Trust (NYSE: SJT), today declared a monthly cash distribution to the holders of its units of beneficial interest of $2,932,658.07 or $0.062921 per unit, based principally upon production during the month of October 2016. The distribution is payable January 17, 2017, to unit holders of record as of December 30, 2016.

Gas production for the properties from which the royalty was carved (the "Subject Interests") totaled approximately 2,410,202 Mcf (2,684,406 MMBtu) for October 2016. Dividing revenues by production volume yielded an average gas price for October 2016 of $2.61 per Mcf ($2.34per MMBtu) as compared to $2.42 per Mcf ($2.18 per MMBtu) for September 2016.

The average monthly gas price Burlington reports to the Trust is a calculated price. It is determined by dividing gross monthly revenue by production volume, and therefore, it does not represent an average of actual sales prices. The average gas price may vary from the posted index price for the San Juan Basin. The index price is a gross sales price, and the revenues used in the calculation of average gas prices are net of transportation, processing and gathering costs. Furthermore, the distribution to the Trust in any given month may include significant volume adjustments for sales in prior months that reflect pricing for those prior months.

For the month ended November 2016, capital costs were $17,825, lease operating expenses were $2,171,922, and property taxes were $48,210. Severance taxes for the October production month were $673,013. The amount of royalty income payable to the Trust in December included $569,812 in interest for granted audit exceptions.

San Juan Basin Royalty Trust
Compass Bank, Trustee
Joshua R. Peterson, Vice President & Senior Trust Officer
Kaye Wilke, Investor Relations, toll-free: 866-809-4553

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