Panhandle Oil and Gas Inc
5400 North Grand Blvd. , Grand Centre Bldg., Suite 300 , Oklahoma City, Oklahoma, United States

The Company was founded in Range, Texas County, the Oklahoma Panhandle, in 1926, as Panhandle Cooperative Royalty Company and operated as a Co-op until 1979. At that time the Company was merged into Panhandle Royalty Company and its shares were registered with the SEC. On April 2, 2007 the Companys name was changed to Panhandle Oil and Gas Inc. The name change was made to clear up confusion as to the nature of the Companys business operations. Panhandle has never been a Royalty Trust and is not strictly a royalty company. The Company pays dividends on its common shares each March, June, September and December to each of its approximately 5,600 shareholders.    Initially the Co-op issued one share of stock, par value $50, for 40 acres of minerals in a homesteaders 160 acre tract. While operating as a Co-op, the Company returned most of its income to shareholders as dividends. Upon conversion to a public company in 1979, though still paying dividends, the Company began to retain a substantial part of its cash flow to acquire additional mineral acreage and participate with a working interest in the drilling of wells on its mineral acreage. Several acquisitions of additional mineral acreage and small companies were made in the 80s and 90s, and the acquisition of Wood Oil Company was consummated on October 1, 2001.    Currently the Company owns 255,000 fee mineral acres and a working interest and/or a royalty interest in over 5,800 wells. However, the Company does not operate any wells.

Business Profile

The majority of Panhandle Oil and Gas Inc.s revenues are derived from the production and sale of oil and natural gas. The Companys oil and gas holdings, including its 255,000 net mineral acreage and its working interests and royalty interests in producing wells, are primarily located in Arkansas, Oklahoma and Texas. The Companys proved reserves at September 30, 2017 were 168.6 Bcfe, with 72% being natural gas, 20% oil and 8% natural gas liquids. The Companys total proved, probable and possible reserves at September 30, 2017, were 641.9 Bcfe. Panhandle does not operate any of its oil and gas properties. Exploration on and development of the Companys oil and gas properties are conducted in association with operating oil and gas companies, primarily large independent companies. The Company has been an active working interest participant for many years in wells drilled on the Companys mineral acreage and has been active in unconventional resource projects on its mineral acreage in several Oklahoma Woodford shale plays, the Arkansas Fayetteville shale and the Anadarko Cana Woodford, Meramec and Springer shales. The Company has also been active in the Eagle Ford shale in South Texas, on held by production leasehold. Panhandles activity in these projects began in 2007 and is expected to continue for many years as it has more than 4,800 gross potential drilling locations in these plays. Of the Companys 255,000 net mineral acres, 183,000 are currently unleased and undeveloped.