SANDRIDGE MISSISSIPPIAN TRUST II (NYSE:SDR) Files An 8-K Entry into a Material Definitive Agreement

SANDRIDGE MISSISSIPPIAN TRUST II (NYSE:SDR) Files An 8-K Entry into a Material Definitive Agreement
ITEM 1.01. Entry Into a Material Definitive Agreement.

On September 10, 2020, SandRidge Mississippian Trust II (the “Trust”) and SandRidge Exploration and Production, LLC (the “Purchaser”), a wholly owned subsidiary of SandRidge Energy, Inc., entered into a Purchase and Sale Agreement (the “Agreement”) for the sale of all of the overriding royalty interests held by the Trust (the “Royalty Interests”) for a purchase price of $5,250,000. The sale closed on September 10, 2020, with an effective date of July 1, 2020. Accordingly, because the Agreement entitles the Purchaser to the revenues from the oil and natural gas production attributable to the Royalty Interests since July 1, 2020, the Trust will not receive any further proceeds from such production and therefore will not make any further regular quarterly cash distributions to the Trust unitholders.
As required by the Amended and Restated Trust Agreement governing the Trust, The Bank of New York Mellon Trust Company, N.A., as the trustee of the Trust (the “Trustee”), will distribute the net proceeds of the sale, after payment of expenses related to the sale, to the Trust unitholders on the quarterly cash distribution date in November 2020.
The foregoing description of the Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Amendment, which is filed as an exhibit to this Current Report on Form 8-K.
ITEM 2.01. Completion of Acquisition or Disposition of Assets.
The information provided in Item 1.01 of this Current Report on Form 8-K is incorporated herein by reference.
ITEM 9.01. Financial Statements and Exhibits.
SandRidge Mississippian Trust II Exhibit
EX-10.1 2 exhibit10-1.htm EX-10.1 DocumentExhibit 10.1PURCHASE AND SALE AGREEMENT This Purchase and Sale Agreement (“Agreement”) is made and entered into as of September 9,…
To view the full exhibit click here

Story continues below

About SANDRIDGE MISSISSIPPIAN TRUST II (NYSE:SDR)

SandRidge Mississippian Trust II is a statutory trust. The royalty interests conveyed by SandRidge Energy, Inc. (SandRidge) from its interests in certain properties in the Mississippian formation in northern Oklahoma and southern Kansas and held by the Trust are referred to as the Royalty Interests. The Trust holds Royalty Interests in specified oil and natural gas properties. The Royalty Interests entitle the Trust to receive approximately 80% of the proceeds from the sale of oil, natural gas and natural gas liquids (NGLs) production attributable to SandRidge’s net revenue interest in approximately 50 wells producing and over 10 additional wells awaiting (together, the Initial Wells), and over 70% of the proceeds from the sale of oil, natural gas and NGL production attributable to SandRidge’s net revenue interest in approximately 200 horizontal oil and natural gas development wells drilled (the Trust Development Wells) within an area of mutual interest (AMI).

An ad to help with our costs