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):
November 15, 2018

NORTH EUROPEAN OIL ROYALTY TRUST
(Exact name of Registrant as specified in its charter)

Commission File No. 1-8245

Delaware
(State of organization)

22-2084119
IRS Employer I.D. No.

43 West Front Street, Suite 19A, Red Bank, NJ 07701
(Address of principal executive offices)

(732) 741-4008
(Registrant's telephone number including area code)

Not Applicable
(Former name or former address, 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:

[ ] Written communications pursuant to Rule 425 under the Securities Act
   (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act
   (17 CFR 240.14a-12)

[ ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the
   Exchange Act 17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
   Exchange Act (17 CFR 240.13e-4(c))

 

Item 2.02.    Results of Operations and Financial Condition.

On November 15, 2018, North European Oil Royalty Trust issued a press release via PR Newswire announcing the Trust's net income for the fourth quarter of fiscal 2018. Furnished herewith is a copy of the press release, which is incorporated by reference herein.


Item 9.01.    Financial Statements and Exhibits.

(c) Exhibits

The following exhibit is furnished herewith:

Exhibit 99.    A press release dated November 15, 2018 and disseminated through PR Newswire announcing the net income for North European Oil Royalty Trust for the fourth quarter of fiscal 2018.


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 hereunto duly authorized.


NORTH EUROPEAN OIL ROYALTY TRUST

(Registrant)

/s/ John R. Van Kirk

John R. Van Kirk

Managing Director

November 16, 2018

Exhibit 99

PR NEWSWIRE

NORTH EUROPEAN OIL ROYALTY TRUST ANNOUNCES THE
NET INCOME FOR THE FOURTH QUARTER OF FISCAL 2018

Red Bank, N.J.  November 15, 2018  -  North European Oil Royalty Trust (NYSE-NRT) reported the net income for the fourth quarter of fiscal 2018 which appears below compared with the fourth quarter of fiscal 2017. Total royalty income includes adjustments made by the operating companies based upon their corrected royalty calculations for prior periods.

4th Fiscal Quarter Ended 10/31/2018 4th Fiscal Quarter Ended 10/31/2017 Percentage Change
Total Royalty Income $1,474,191 $2,144,268 - 31.25%
Net Income $1,324,902 $2,010,828 - 34.11%
Distributions per Unit $0.15 $0.22 - 31.82%

The Trust receives nearly all of its royalties under two royalty agreements. The Mobil Agreement, the higher royalty rate agreement, covers gas sales from the western half of the Oldenburg concession. The OEG Agreement, the lower royalty rate agreement, covers gas sales from the entire Oldenburg concession. The factors determining the amount of gas royalties payable under the two agreements from the preceding calendar quarter are shown in the table below comparing the third calendar quarters of 2018 and 2017. Further details will be available in the Trust's annual report on Form 10-K which will be available through the SEC or on the Trust's website, www.neort.com, on or about December 28, 2018.

Quarterly Gas Data Providing Basis for Fiscal Quarter Royalties
Mobil Agreement 3rd Calendar Quarter Ended 9/30/2018  3rd Calendar Quarter Ended 9/30/2017 Percentage Change
Gas Sales (Bcf) 1 4.495 5.643 - 20.34%
Gas Prices2 (Ecents/Kwh)3 1.9231 1.6197 +18.73%
Average Exchange Rates4 1.1550 1.1806 - 2.17%
Gas Royalties $1,145,844 $1,228,092 - 6.70%
OEG Agreement
Gas Sales (Bcf) 14.029 17.770 -  21.05%
Gas Prices (Ecents/Kwh) 1.9612 1.6517 +18.74%
Average Exchange Rates 1.1540 1.1788 - 2.10%
Gas Royalties $459,542 $500,886 - 8.25%

Footnotes:

    1. 1. Billion cubic feet
    2. 2. Gas prices derived from May-July period
    3. 3. Euro cents per kilowatt hour
    4. 4. Based on average Euro/dollar exchange rates of cumulative royalty transfers

Trust expenses for the fourth quarter of fiscal 2018 increased 11.09%, or $14,971, to $149,957 from $134,986 in comparison to the fourth quarter of fiscal 2017. The increase was due to higher legal expenses incurred during the planning for the conversion of the Trust's physical office to a virtual office as a cost saving measure.

Total royalty income received for fiscal 2018 decreased in comparison to fiscal 2017 primarily due to the combination of lower positive adjustments and lower gas sales associated with the earlier problems at the desulfurization plant. The Trust received positive adjustments in fiscal 2018 which increased royalty income by $189,529, whereas in fiscal 2017 the Trust received positive adjustments which increased royalty income by $411,884. Under the Mobil Agreement for fiscal 2018, gas sales, gas prices and average exchange rates showed percentage changes of -19.63%, +10.75% and +7.93%, respectively, in comparison to fiscal 2017. Under the OEG Agreement for fiscal 2018, gas sales, gas prices and average exchange rates showed percentage changes of -19.16%, +10.56% and +7.48%, respectively, in comparison to fiscal 2017. The comparison of the relevant periods is shown below.

Fiscal Year Ended 10/31/2018 Fiscal Year Ended 10/31/2017 Percentage Change
Total Royalty Income $7,198,534 $7,762,225 - 7.26%
Net Income $6,407,955 $7,026,448 - 8.80%
Distributions per Unit $0.70 $0.76 - 7.89%

The 2018 Annual Meeting is scheduled to begin at 10:00 A.M. on February 21, 2019. Further details will be provided in the Notice of Annual Meeting of Unit Owners which is being mailed in early January.

The previously declared distribution of 15 cents per unit will be paid on November 28, 2018 to owners of record as of November 16, 2018. For further information, contact John R. Van Kirk, Managing Director, at (732) 741-4008 or via e-mail at jvankirk@neort.com. The Trust's press releases along with other pertinent information is available on the Trust's website: www.neort.com.