Market Overview

San Juan Basin Royalty Trust Declares November Cash Distribution


Compass Bank, as Trustee of the San Juan Basin Royalty Trust (the
"Trust") (NYSE:SJT), today declared a monthly cash distribution to the
holders of its units of beneficial interest of $3,359,614.22 or
$0.072081 per unit, based principally upon estimated
production during the month of September 2017. The distribution is
payable December 14, 2017, to unit holders of record as of November 30,

The sale of San Juan Basin assets, including the oil and gas interests
from which the Trust's royalty interest was carved ("Subject
Interests"), from Burlington Resources Oil & Gas Company LP
("Burlington") to Hilcorp San Juan L.P. ("Hilcorp") closed on July 31,
2017. Due to the transition from Burlington, Hilcorp informed the Trust
that Hilcorp does not yet have all of the revenue decks for September
2017 installed, and therefore does not have the appropriate detail to
provide actual revenue numbers for the November 2017 distribution.

Therefore, Hilcorp estimated the November 2017 distribution based on the
revenue distribution detail for the July 2017 production month
previously provided by Burlington and rounded to the nearest thousand.
The November 2017 declaration of cash distribution includes an
additional $1.0 million in estimated gross revenue based on Hilcorp's
knowledge that production volumes in September 2017 were in line with
production volumes during the month of August 2017. Hilcorp informed the
Trust that the expense decks for September 2017 have been installed.
However, severance taxes continue to be estimated.

Hilcorp has also informed the Trust that Hilcorp may need to use
estimated revenue and severance tax numbers to calculate distributions
for subsequent months. Once Hilcorp has all of the revenue decks
installed, Hilcorp will reconcile the actual revenue numbers versus the
estimated numbers and true-up any distributions, as needed. Hilcorp has
not yet trued-up the actual versus estimated expense numbers for August

Estimated gas production for the Subject Interests totaled 2,155,000 Mcf
(2,394,444 MMBtu) for September 2017. Dividing revenues by production
volume yielded an average estimated gas price for September 2017 of
$2.60 per Mcf ($2.34 per MMBtu) which was identical to August 2017.

The average monthly gas price Hilcorp 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 September 2017, capital costs were $73.48, lease
operating expenses were $1,454,825.88 and property taxes were $13.98.
Estimated severance taxes for the September 2017 production month were

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