ECA Marcellus Trust I Announces Quarterly Distribution

ECA Marcellus Trust I, a Delaware-based company (OTCMKTS: ECT), recently disclosed its quarterly distribution details through an official statement dated February 13, 2025. The trust anticipates distributing $0.020 per unit to holders of record by or before March 3, 2025, for the concluded quarter ending on December 31, 2024.

Over the course of the trust’s operations since the first quarter of 2019, a cash reserve has been gradually accumulated by the Trustee. This reserve is intended to cater to future expected or contingent expenses or liabilities by withholding specific amounts from each quarterly distribution. The cash reserve has been built up from approximately $1.8 million to an estimated $3.8 million as determined by the Trustee in November 2021.

The Trustee has been setting aside $90,000 per quarter from the distributions or 10% of the available funds, whichever is higher, since the first quarter of 2019. Following the achievement of the initial reserve target in the last quarter of 2022, the trust continues to withhold $90,000 per quarter to reach the intended reserve amount. The trust retains the flexibility to alter the targeted reserve amount and the rate of withholding at its discretion without prior notice to unitholders.

ECA Marcellus Trust I’s purpose is to hold royalty interests in natural gas properties predominantly located in the Marcellus Shale formation in Greene County, Pennsylvania. The trust gains proceeds based on Greylock Energy LLC’s interests in the sale of production from these properties. Cash distributions to unitholders may fluctuate based on production proceeds, natural gas prices, and administrative expenses among other variables subject to changes in commodity prices.

The trust provided detailed notes on tax implications for non-U.S. individuals and businesses as outlined in relevant sections of the Internal Revenue Code. Additionally, notable clauses regarding withholding taxes, treatment of Trust unit sales, and specific disclosure requirements have been highlighted to ensure compliance with regulations.

This press release contains forward-looking statements discussing the anticipated distribution to unitholders, acknowledging the conditioned nature of these estimates on actual cash receipts and potential factors impacting the trust’s financials. Interested parties are encouraged to refer to the Trust’s reports, including the most recent Form 10-K for detailed risk disclosures available through the Securities and Exchange Commission’s website.

For further information, interested individuals can refer to the trust’s official filings or reach out to the Bank of New York Mellon Trust Company, N.A. at the provided contact details.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read ECA Marcellus Trust I’s 8K filing here.

ECA Marcellus Trust I Company Profile

ECA Marcellus Trust I is a statutory trust. It owns royalty interest in producing wells and development wells. It also acquires horizontal natural gas development wells to be drilled to the Marcellus Shale formation. The company was founded in March 2010 and is headquartered in Houston, TX.