Enduro Royalty Trust (NYSE: NDRO) expects it capital to increase during the year. The trust will focus its 2014 capex budget on the Texas Midland Basin’s Wolfcamp project, the trust said Jan. 21.Capex monies vary. Based on properties where it owns interest, Enduro’s capex ranges from $27 to $30 million, the trust said. But based on its 80% net profits interest, the capex ranges from $22 to $24 million. Of the capex, $18 million will go to drilling projects operated by Pioneer Natural Resources in Reagan and Irion Counties, Texas.

The remaining $9 to $11 million is for workovers and developments at north Louisiana projects, as well as other greater Permian Basin projects, the company added.

Enduro plans to drill on 25 Wolfcamp locations, where the trust has various working interests up to 25%, the trust said. The trust expects internal rates of return (IRR) of 50% at $90 per barrel of crude oil and $4 per million cubic feet (Mcf) of natural gas, the trust said. Gross capital cost per well should be $7.2 million, and estimated ultimate recovery (EUR) should be 525 million barrels of oil equivalent (MBOE), the trust said.

Enduro owns 1,200 net prospective Wolfcamp acres that Pioneer operates, the trust said. There are additional prospective zones on other Wolfcamp acreage, and additional capital could be deployed there, the trust added.

Enduro Royalty Trust, based in Delaware, is a statutory trust formed by Enduro Resource Partners LLC. It owns a net profits interest from oil and natural gas production sales in Texas, Louisiana and New Mexico.