The Trust said lower production for the quarter was the principal reason for the lower royalty.

The royalty received for the half year is $18,277,495, which was $4,487,966 below the previous half year, which the Trust blamed on lower average oil prices obtained during the period.

The oil price for the March 2002 quarter averaged $41.64 a barrel (bbl) against $39.74 bbl for the December 2001 quarter, an increase of 4.8%.

The average oil price for the six months ended 31 March 2002 was $40.69 bbl, which was $11.93 or 22.7% lower than the average for the previous six month period ended 30 September 2001.

The Trust said in a statement to the Australian Stock Exchange that oil production for the March 2002 quarter was 13.5 million barrels (mmbbls), a decrease of 1.3 mmbbls or 8.8% over the previous quarter.

Oil production for the six months ended 31 March 2002 was 28.3 mmbbls, which was 3.7% lower than the previous half year.

The Trust also informed the exchange that the total distribution per ordinary redeeming unit for the royalty period 1 October 2001 to 31 March 2002 - payable on 15 July to registered unit holders - will be 41.53976 cents, comprising a 25c capital redemption payment and 16.53976c income.