MARINE PETROLEUM TRUST

Previous wording

The Trust is a royalty trust that was created in 1956 under the laws of the State of Texas. Effective February 20, 2018, Simmons Bank became corporate trustee of the Trust (“Simmons”) as a result of a merger between Simmons Bank and Southwest Bank, the former corporate trustee of the Trust. On November 4, 2021, Simmons announced that it had entered into an agreement with Argent Trust Company, pursuant to which Simmons would resign as trustee of the Trust and nominate Argent Trust Company as successor trustee of the Trust. The change in trustee from Simmons to Argent Trust Company was effective on December 30, 2022.

Current wording

The Trust is a royalty trust that was created in 1956 under the laws of the State of Texas. Effective February 20, 2018, Simmons Bank (“Simmons”) became corporate trustee of the Trust as a result of a merger between Simmons and Southwest Bank, the former corporate trustee of the Trust. On November 4, 2021, Simmons announced that it had entered into an agreement with Argent Trust Company, pursuant to which Simmons would resign as trustee of the Trust and nominate Argent Trust Company as successor trustee of the Trust. The change in trustee from Simmons to Argent Trust Company was effective on December 30, 2022.

Previous wording

The Trust is not permitted to engage in any business activity because it was organized for the sole purpose of providing an efficient, orderly and practical means for the administration and liquidation of rights to payments from certain oil and natural gas leases in the Gulf of America, pursuant to license agreements and amendments between the Trust’s predecessors and Gulf Oil Corporation (“Gulf”). As a result of various transactions that have occurred since 1956, these interests were largely held by Chevron Corporation (“Chevron”) and are now predominantly held by its assignees, including Arena Energy, LP (collectively with Chevron and its assignees, the “Interest Owners”). The Trust holds title to interests in properties that are situated offshore of Texas.

Current wording

The Trust is not permitted to engage in any business activity because it was organized for the sole purpose of providing an efficient, orderly and practical means for the administration and liquidation of rights to payments from certain oil and natural gas leases in the Gulf of America (formerly known as the Gulf of Mexico), pursuant to license agreements and amendments between the Trust’s predecessors and Gulf Oil Corporation (“Gulf”). As a result of various transactions that have occurred since 1956, these interests were largely held by Chevron Corporation (“Chevron”) and are now predominantly held by its assignees, including Arena Energy, LP (collectively with Chevron and its assignees, the “Interest Owners”). The Trust holds title to interests in properties that are situated offshore of Texas.

Previous wording

Notwithstanding the foregoing, the middlemen holding Trust units on behalf of unitholders, and not the Trustee of the Trust, are solely responsible for complying with the information reporting requirements under the U.S. Treasury Regulations with respect to such Trust units, including the issuance of Internal Revenue Service Forms 1099 and certain written tax statements. Unitholders whose Trust units are held by middlemen should consult with such middlemen regarding the information that will be reported to them by the middlemen with respect to the Trust units.

Current wording

Notwithstanding the foregoing, the middlemen holding Trust units on behalf of unitholders, and not the Trustee of the Trust, are solely responsible for complying with the information reporting requirements under the U.S. Treasury Regulations with respect to such Trust units, including the issuance of IRS Forms 1099 and certain written tax statements. Unitholders whose Trust units are held by middlemen should consult with such middlemen regarding the information that will be reported to them by the middlemen with respect to the Trust units.

Previous wording

Each unitholder should consult their own tax advisor regarding Trust tax compliance matters.

Current wording

Each unitholder should consult its own tax advisor regarding Trust tax compliance matters.

Previous wording

political conditions worldwide, and in particular, political disruptions, terrorist activities, wars or other armed conflicts in oil producing regions, including the war in Eastern Europe and the Middle East;

Current wording

political conditions worldwide, and in particular, political disruptions, terrorist activities, wars or other armed conflicts in oil producing regions, including the Middle East and Eastern Europe;

Previous wording

the effect of worldwide energy conservation measures; and

Current wording

the effect of worldwide energy conservation measures and governmental policies and regulatory incentives for investment in non-fossil fuel energy sources; and

Previous wording

Marine has performed a review of the public records from the Bureau of Ocean Energy Management (BOEM) and Marine's revenue records provided by the operators. Based on this information, Marine believes that as of March 31, 2025, Marine had an overriding royalty interest in 19 different oil and natural gas leases covering an aggregate of 87,326 gross acres. The lease acreage is all located in federal waters in the Central and Western areas of the Gulf of America off the coasts of Louisiana and Texas.

Current wording

Marine has performed a review of the public records from the Bureau of Ocean Energy Management (BOEM) and Marine's revenue records provided by the operators. Based on this information, Marine believes that as of September 30, 2025, Marine had an overriding royalty interest in 19 different oil and natural gas leases covering an aggregate of 87,646 gross acres. The lease acreage is all located in federal waters in the Central and Western areas of the Gulf of America off the coasts of Louisiana and Texas.

Previous wording

Leases are typically granted for a term of five years, during which the lease owner must establish commercial production, or the lease expires. Marine’s overriding royalty area is determined by a contract that defines the area in which Marine is entitled to receive a royalty interest. In some cases, that area does not cover an entire lease block. In those cases, Marine’s royalty interest only applies to the area that lies within the lease. Of the aggregate of 87,326 total gross acres in which Marine has an overriding royalty interest, there are 210 gross acres located on leases that have commercial production, but the production is not on Marine’s overriding royalty area within those leases.

Current wording

Leases are typically granted for a term of five years, during which the lease owner must establish commercial production, or the lease expires. Marine’s overriding royalty area is determined by a contract that defines the area in which Marine is entitled to receive a royalty interest. In some cases, that area does not cover an entire lease block. In those cases, Marine’s royalty interest only applies to the area that lies within the lease. Of the aggregate of 87,646 total gross acres in which Marine has an overriding royalty interest, there are 210 gross acres located on leases that have commercial production, but the production is not on Marine’s overriding royalty area within those leases.

Previous wording

Marine holds an overriding royalty interest that is equal to three-fourths of one percent of the working interest and is calculated on the value at the well of any oil, natural gas or other minerals produced and sold from 19 leases covering 87,326 gross acres located in the Gulf of America. Marine’s overriding royalty interest applies only to existing leases and does not apply to any new leases that the Interest Owners may acquire.

Current wording

Marine holds an overriding royalty interest that is equal to three-fourths of one percent of the working interest and is calculated on the value at the well of any oil, natural gas or other minerals produced and sold from 19 leases covering 87,646 gross acres located in the Gulf of America. Marine’s overriding royalty interest applies only to existing leases and does not apply to any new leases that the Interest Owners may acquire.

Previous wording

Marine did not have any changes in its critical accounting policies or estimates during the three and nine months ended March 31, 2025. Please see Marine’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024 for a detailed discussion of its critical accounting policies.

Current wording

Marine did not have any changes in its critical accounting policies or estimates during the three months ended September 30, 2025. Please see Marine’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025 for a detailed discussion of its critical accounting policies.

Previous wording

During the nine months ended March 31, 2025, the Trust realized approximately 94% of its royalty income from the sale of oil and approximately 6% of its royalty income from the sale of natural gas and natural gas liquids. During the nine months ended March 31, 2024, the Trust realized approximately 99% of its royalty income from the sale of oil and approximately 1% of its royalty income from the sale of natural gas and natural gas liquids. Royalty income includes royalties from oil, natural gas, and natural gas liquids received from producers.

Current wording

During the three months ended September 30, 2025 the Trust realized approximately 94% of its royalty income from the sale of oil and approximately 6% of its royalty income from the sale of natural gas and natural gas liquids. During the three months ended September 30, 2024, the Trust realized approximately 92% of its royalty income from the sale of oil and approximately 8% of its royalty income from the sale of natural gas and natural gas liquids. Royalty income includes royalties from oil and natural gas received from producers.

Previous wording

Distributable income per unit for the nine months ended March 31, 2025, was $0.28 as compared to $0.27 for the comparable period in 2024. Distributions per unit also amounted to $0.27 per unit for the nine months ended March 31, 2025, a decrease from distributions of $0.31 per unit for the comparable period in 2024.

Current wording

Distributable income per unit for the three months ended September 30, 2025 was $0.07 as compared to $0.12 for the comparable period in 2024. Distributions per unit also amounted to $0.07 per unit for the three months ended September 30, 2025, a decrease from distributions of $0.09 per unit for the comparable period in 2024.

Previous wording

For the nine months ended March 31, 2025, oil production decreased to 9,718 barrels (bbls) from 10,005 bbls for the comparable period in 2024. Natural gas volumes sold increased to 14,677 thousand cubic feet (mcf) from 7,615 mcf and natural gas liquids sold increased from 14,524 mcf to 26,686 mcf for the nine months ended March 31, 2025, as compared to the same period in 2024. For the nine months ended March 31, 2025, the average price realized for oil decreased to $75.67 per barrel (bbl) as compared to the price of $76.60 per bbl realized for the comparable period in 2024. The average price realized for natural gas (net of expenses) increased to $2.10 per mcf as compared to the average price of $0.84 per mcf realized for the comparable period in 2024, and the average price realized for natural gas liquids (net of expenses) increased to $0.46 per mcf as compared to the average price of $0.14 per mcf realized for the comparable period in 2024.

Current wording

For the three months ended September 30, 2025, oil production decreased to 3,226 barrels (bbls) from 3,265 bbls for the comparable period in 2024. Natural gas volumes sold decreased to 3,567 thousand cubic feet (mcf) from 5,095 mcf and natural gas liquids sold decreased to 6,290 mcf from 8,437 mcf for the three months ended September 30, 2025, as compared to the same period in 2024. For the three months ended September 30, 2025, the average price realized for oil decreased to $63.52 per barrel (bbl) as compared to the price of $81.11 per bbl realized for the comparable period in 2024. The average price realized for natural gas (net of expenses) increased to $3.14 per mcf as compared to the average price of $3.02 per mcf realized for the comparable period in 2024, and the average price realized for natural gas liquids (net of expenses) decreased to $0.38 per mcf as compared to the average price of $0.75 per mcf realized for the comparable period in 2024.

Previous wording

Income from oil and natural gas royalties increased to $332,993 during the three months ended March 31, 2025, from $234,500 realized for the comparable period in 2024. Royalties increased for the three months ended March 31, 2025 as compared to the comparable period in 2024 primarily due to increases in the production of oil, natural gas, and natural gas liquids.

Current wording

Income from oil and natural gas royalties decreased to $218,526 during the three months ended September 30, 2025 from $286,498 realized for the comparable period in 2024. Royalties decreased for the three months ended September 30, 2025 as compared to the comparable period in 2024 primarily due to decreases in the prices of oil and natural gas liquids and decreases in production of oil, natural gas, and natural gas liquids, partially offset by higher natural gas pricing.

Previous wording

Income from oil royalties, for the three months ended March 31, 2025, increased to $318,672 from $233,186 realized for the comparable period in 2024. The volume of oil sold in the three months ended March 31, 2025, increased to 4,455 bbls from 2,964 bbls realized for the comparable period in 2024, and the average price realized for oil decreased to $71.53 per bbl for the three months ended March 31, 2025, from $78.67 per bbl realized for the comparable period in 2024.

Current wording

Income from oil royalties, for the three months ended September 30, 2025 decreased to $204,913 from $264,786 realized for the comparable period in 2024. The volume of oil sold in the three months ended September 30, 2025 decreased to 3,226 bbls from 3,265 bbls realized for the comparable period in 2024, and the average price realized for oil decreased to $63.52 per bbl for the three months ended September 30, 2025 from $81.11 per bbl realized for the comparable period in 2024.

Previous wording

Income from natural gas liquids royalties (net of expenses), for the three months ended March 31, 2025, increased to $4,001 from $257 for the comparable period in 2024. The volume of natural gas liquids sold in the three months ended March 31, 2025, increased to 11,756 mcf from 3,541 mcf realized for the comparable period in 2024, and the average price realized for natural gas liquids (net of expenses) increased to $0.34 per mcf for the three months ended March 31, 2025, from $0.07 per mcf realized for the comparable period in 2024.

Current wording

Income from natural gas liquids royalties (net of expenses), for the three months ended September 30, 2025 decreased to $2,419 from $6,350 for the comparable period in 2024. The volume of natural gas liquids sold in the three months ended September 30, 2025 decreased to 6,290 mcf from 8,437 mcf realized for the comparable period in 2024, and the average price realized for natural gas liquids

Previous wording

The following table presents the quantities of oil, natural gas, and natural gas liquids sold and the average price realized for the three months ended March 31, 2025, and those realized for the comparable period in 2024. The three months ended March 31, 2024 has been revised from the prior presentation to present the natural gas liquids separately from natural gas. In previous years, the natural gas liquids revenue was included with the natural gas revenue and the average price of natural gas was calculated using the combined revenue number but did not include the natural gas liquids quantities sold. The information in the table below was revised for fiscal year 2024 to conform with the current year presentation to (i) provide natural gas liquids quantities sold, and average sales price for natural gas liquids and (ii) update the average sales price for natural gas. The volumes for natural gas have not been changed. These updates do not impact the prior years' financial statements or distributable income.

Current wording

The following table presents the quantities of oil, natural gas, and natural gas liquids sold and the average price realized for the three months ended September 30, 2025, and those realized for the comparable period in 2024.

Previous wording

General and administrative expenses decreased to $95,670 for the three months ended March 31, 2025 from $132,046 for the comparable period of 2024, primarily due to the timing of payment of professional fees.

Current wording

General and administrative expenses increased to $92,589 for the three months ended September 30, 2025 from $68,640 for the comparable period of 2024, primarily due to the timing of payment of professional fees.

Previous wording

The statements discussed in this Quarterly Report on Form 10-Q regarding Marine’s future financial performance and results, and other statements that are not historical facts, are forward-looking statements as defined in Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which are intended to be covered by the safe harbor created thereby. This report uses the words “anticipate,” “believe,” “budget,” “continue,” “estimate,” “expect,” “intend,” “may,” “plan,” or other similar words to identify forward-looking statements. You should read statements that contain these words carefully because they discuss future expectations, contain projections of Marine’s financial condition, and/or state other “forward-looking” information. Actual results may differ from expected results because of factors, risks, and uncertainties including, but not limited to, the following: reductions in price or demand for oil and natural gas, which might then lead to decreased production or impair Marine’s ability to make distributions; the impact of public health concerns, such as COVID-19, on future production and distributions; reductions in production due to the depletion of existing wells or disruptions in service, which may be caused by storm damage to production facilities, blowouts or other production accidents, or geological changes such as cratering of productive formations; changes in regulations; general economic conditions; actions and policies of petroleum-producing nations; other changes in domestic and international energy markets; the resignation of the Trustee; and the expiration, termination or release of leases subject to Marine’s interests. Additional risks are set forth in Marine’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024. Events may occur in the future that Marine is unable to accurately predict or over which it has no control. If one or more of these uncertainties materialize, or if underlying assumptions prove incorrect, actual outcomes may vary materially from those forward-looking statements included in this Quarterly Report on Form 10-Q. Except as required by applicable securities laws, Marine does not undertake any obligation to update or revise any forward-looking statements.

Current wording

The statements discussed in this Quarterly Report on Form 10-Q regarding Marine’s future financial performance and results, and other statements that are not historical facts, are forward-looking statements as defined in Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), which are intended to be covered by the safe harbor created thereby. This report uses the words “anticipate,” “believe,” “budget,” “continue,” “estimate,” “expect,” “intend,” “may,” “plan,” or other similar words to identify forward-looking statements. You should read statements that contain these words carefully because they discuss future expectations, contain projections of Marine’s financial condition, and/or state other “forward-looking” information. Actual results may differ from expected results because of factors, risks, and uncertainties including, but not limited to, the following: reductions in price or demand for oil and natural gas, which might then lead to decreased production or impair Marine’s ability to make distributions; reductions in production due to the depletion of existing wells or disruptions in service, which may be caused by storm damage to production facilities, blowouts or other production accidents, or geological changes such as cratering of productive formations; changes in regulations; general economic conditions; actions and policies of petroleum-producing nations; other changes in domestic and international energy markets; the impact of pandemics or other public health concerns; and the expiration, termination or release of leases subject to Marine’s interests. Additional risks are set forth in Marine’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025. Events may occur in the future that Marine is unable to accurately predict or over which it has no control. If one or more of these uncertainties materialize, or if underlying assumptions prove incorrect, actual outcomes may vary materially from those forward-looking statements included in this Quarterly Report on Form 10-Q. Except as required by applicable securities laws, Marine does not undertake any obligation to update or revise any forward-looking statements.