UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 20, 2018

PERMIAN BASIN ROYALTY TRUST

(Exact name of Registrant as specified in its charter)

Registrant’s Telephone Number, including area code: (855) 588-7839

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2.):

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

On July 20, 2018, the Registrant issued a press release announcing its monthly cash distribution to unitholders of record on July 31, 2018. The press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

This Report on Form 8-K is being furnished pursuant to Item 2.02, Results of Operations and Financial Condition. The information furnished is not deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to the liabilities of that section and is not deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Date: July 20, 2018

Exhibit 99.1

Permian Basin Royalty Trust

PERMIAN BASIN ROYALTY TRUST

ANNOUNCES JULY CASH DISTRIBUTION

DALLAS, Texas, July 20, 2018 – Simmons Bank, as Trustee of the Permian Basin Royalty Trust (NYSE: PBT) (“Permian”) today declared a cash distribution to the holders of its units of beneficial interest of $0.057454 per unit, payable on August 14, 2018, to unit holders of record on July 31, 2018.

This month’s distribution increased from the previous month due to a reduction of LOE expenditures from previous month, which in turn, through the allocation of the Trust’s production from the underlying properties, resulted in an increase in both oil and gas production allocated to the Trust’s interest for the Waddell Ranch properties, although the actual production for the underlying properties actually decreased due to some declining field activity. This factor along with slightly higher oil and gas prices contributed to the increase. The Texas Royalty Properties saw an increase in both production and pricing for the month.

WADDELL RANCH

Production for the underlying properties at the Waddell Ranch was 49,338 barrels of oil and 303,640 Mcf of gas. The production for the Trust’s allocated portion of the Waddell Ranch was 17,170 barrels of oil and 106,463 Mcf of gas. The average price for oil was $63.05 per bbl and for gas was $3.13 per Mcf. This would primarily reflect production and pricing for the month of May for oil and the month of April for gas. These allocated volumes were significantly impacted by the pricing of both oil and gas.

This production and pricing for the Underlying Properties resulted in revenues for the Waddell Ranch Properties of $4,101,211. Deducted from these would be the Lease Operating Expense (LOE) of $1,997,827, taxes of $270,296 and Capital Expenditures (CAPEX) of $(11,883) totaling $2,256,240 resulting in a Net Profit of $1,844,971 for the month of June. With the Trust’s Net Profit Interest (NPI) of 75% of the underlying properties, this would result in a net contribution by the Waddell Ranch Properties of $1,383,728 to this month’s distribution.

TEXAS ROYALTY PROPERTIES

Production for the underlying properties at the Texas Royalties was 23,613 barrels of oil and 23,903 Mcf of gas. The production for the Trust’s allocated portion of the Texas Royalties was 20,708 barrels of oil and 20,944 Mcf of gas. The average price for oil was $63.15 per bbl and for gas was $5.54 per Mcf. This would primarily reflect production and pricing for the month of May for oil and the month of April for gas. These allocated volumes were impacted by the pricing of both oil and gas.

This production and pricing for the underlying properties resulted in revenues for the Texas Royalties of $1,623,568. Deducted from these were taxes of $183,541 resulting in a Net Profit of $1,440,027 for the month of June. With the Trust’s Net Profit Interest (NPI) of 95% of the Underlying Properties, this would result in net contribution by the Texas Royalties of $1,368,026 to this month’s distribution.

General and Administrative Expenses deducted for the month were $76,170 resulting in a distribution of $2,677,862 to 46,608,796 units outstanding, or $0.057454 per unit.

The worldwide market conditions continue to affect the pricing for domestic production. It is difficult to predict what effect these conditions will have on future distributions.

Permian’s cash distribution history, current and prior year financial reports, including a summary of reserves as of 1/1/2018, tax information booklets, and a link to filings made with the Securities and Exchange Commission, all can be found on its website at http://www.pbt-permian.com/.

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