BP Prudhoe Bay Royalty Trust (BPT) is a passive Delaware grantor trust that holds an overriding royalty interest in oil production from the Prudhoe Bay field on Alaska's North Slope. The Trust's sole asset is the right to receive a per-barrel royalty on a share of oil and condensate produced from Hilcorp North Slope's (HNS) working interests in the field. The Trust does not operate any assets, employ staff, or make business decisions — it collects royalty payments from HNS and distributes cash to its 21.4 million unitholders quarterly. The per-barrel royalty equals the WTI price minus adjusted Chargeable Costs and production taxes, meaning royalties are only generated when WTI exceeds a break-even threshold. That threshold has risen well above prevailing oil prices, driven by contractually escalating Chargeable Costs (increasing ~$2.75/barrel per year) multiplied by a CPI-indexed Cost Adjustment Factor (~2.43x), pushing adjusted costs to roughly $91/barrel in late 2024 against WTI prices of ~$66–$75/barrel. Having received no royalty revenues in either 2023 or 2024 — the trigger for termination under the Trust Agreement — the Trust formally terminated on December 31, 2024. The Trustee is now winding up affairs, which involves selling the Royalty Interest (with HNS holding a purchase option) and distributing any net proceeds to unitholders after settling liabilities.