Cross Timbers Royalty Trust CRT

Company Overview

Cross Timbers Royalty Trust is a publicly traded statutory trust that holds net profits interests and overriding royalty interests in oil and natural gas producing properties located primarily in Texas, Oklahoma, and New Mexico. The trust was formed in 1991 by XTO Energy Inc., which later became part of Exxon Mobil Corporation through ExxonMobil’s acquisition of XTO Energy in 2010. Cross Timbers Royalty Trust operates in the energy sector, specifically within the upstream oil and natural gas royalty segment, and its primary function is to collect and distribute royalty income generated from underlying producing properties to unitholders.

The trust’s principal revenue drivers are proceeds from crude oil and natural gas sales attributable to its royalty interests. Unlike an exploration and production company, the trust does not directly drill wells or actively operate oil and gas assets. Its strategic positioning is tied to low operating overhead, passive ownership of mineral and royalty interests, and exposure to commodity price movements without direct capital expenditure obligations for exploration activities. Historically, the trust evolved from a vehicle created to monetize mature producing properties while providing investors with income-oriented exposure to hydrocarbon production.