LEGACY CARRIZO ROYALTY OWNERS
On December 20, 2019, Callon Petroleum Company (“Callon”) completed its merger with Carrizo Oil & Gas, Inc. (“Carrizo”). As such, your lease agreement with Carrizo will be administered by Callon prospectively.
While the terms of your lease will not change due to the merger, we recognize that during this transition period, you may have questions regarding your lease and/or royalty payments. For specific questions related to the merger, please see the below list of Frequently Asked Questions. If you have questions that are not answered by the FAQs provided below, you may contact owner relations directly by visiting https://secure.oildexdx.com/carrizo or by calling 855-301-5241. This will direct you to the same owner relations representatives who have historically handled your account. They will be prepared to assist you. If you would like to learn more about general information for Callon royalty owners, you may visit Callon’s website at https://www.callon.com/royalty-owners.
FREQUENTLY ASKED QUESTIONS FOR LEGACY CARRIZO ROYALTY AND/OR WORKING INTEREST OWNERS
- Why is Callon my point of contact instead of Carrizo?
Effective December 20 2019, Callon completed its merger with Carrizo, with Carrizo merging with and into Callon, and Callon existing as the surviving entity. As such, your lease agreement with Carrizo will be administered by Callon prospectively and Callon’s Land Department is now your point of contact.
- I am a legacy Carrizo Royalty or Working Interest Owner. Who should I contact with any questions?
At this time we request that you continue to contact owner relations at: https://secure.oildexdx.com/carrizo regarding your interest. Future communications will convey any changes to this process.
- Will I continue to receive my royalty payments?
Yes. Provided your account is in good standing and your payment balance meets minimum thresholds there should be no change in your payment status.
- Who do I contact with questions about my check?
Until further notice, continue to contact the same organization as you have in the past.
- Will my check change?
If you are an interest owner associated with a property formerly operated by Carrizo, the only change to your check format at this time will be that the check is on Callon letterhead, rather than Carrizo. If you have historically received a separate royalty payment and/or a joint interest statement from Callon, you will receive two royalty payments and/or two joint interest statements in Callon’s name each month from now until the integration process is completed (target date mid-2020).
- How will I keep up with changes to my owner account related to this acquisition?
Expect future communications to appear on https://www.callon.com/royalty-owners
- If I am a legacy Carrizo owner, will I need to establish an account with Callon?
At this time, there is no need to establish a Callon account. You will continue to go to https://secure.oildexdx.com/carrizo for your owner information. Future communications will convey any changes to this process.
- I have a Joint-Interest with Carrizo. Do I need to provide my W-9 to Callon?
No. Please contact owner relations at: https://secure.oildexdx.com/carrizo.
- How do I change my account from Carrizo to Callon?
At present, there is no need for you to change your account. Future communications will convey any changes to this process.
- Whom should I contact if I move?
Changes to your Carrizo account should be directed to the following:
- Who do I contact if I need to obtain copies of historical checks, 1099s, etc.?
- What if I am unsure which company I have done business with in the past?
Please visit https://www.callon.com/royalty-owners, and we will assist you in determining that information.
- Whom do I contact if I own a royalty or working interest in properties with both companies?
If you own royalty or working interests with both legacy Carrizo and Callon, then each such interest for a period of time will continue to be managed by the company that managed it prior to the acquisition. For example, if you had a royalty interest payable by Carrizo and a working interest operated by Callon, then questions regarding your royalty interest should be directed as follows.
- How do I add someone to my account?
Provide owner relations with a copy of the conveyance document establishing joint tenancy/ownership that has been recorded in the county and state where the minerals reside.
- When are royalty checks issued?
For properties formerly owned by Carrizo, payments are released on the last day of the month. If that falls on a weekend or holiday, payments are released on the following business day. Please allow sufficient time for mail delivery (10 business days) prior to contacting owner relations at https://secure.oildexdx.com/carrizo.
- What is minimum pay amount?
An owner must accumulate a minimum balance in their account of $100 in order for a check to be issued.
- Why does my monthly payment amount vary?
Many factors may cause your payment to vary, including but not limited to, market conditions, suspended payments, adjustments (including any overpayments or underpayments), fluctuating commodity prices, regulatory or contractual changes, production volumes, seasonal conditions and routine maintenance or operating issues which may affect the volumes produced from a well during a given time period.
- Why does my payment differ from others in my family?
This can occur because ownership between family members is not equal, because one party has not provided a Tax ID (TIN) or other required information, or because some family members may own interest in other properties in addition to those commonly owned. Other factors possibly causing variances between family member check amounts may be related to stale dated checks, returned checks and/or address changes.
- What are royalties?
Royalties represent the interests retained by lessors under an oil, natural gas and mineral lease. Funds are payable on these interests based upon the value of a percentage of the minerals produced from the lease.
- When are royalty payments suspended?
Royalty payments may be suspended (or held in suspense) until certain conditions are satisfied. Generally, royalty payments may be suspended for several reasons including, but not limited to, the following: a missing Tax ID, insufficient address, assignment of interest, notice of death, lack of documentation/title confirming ownership, or disputes involving proper apportionment or ownership of interests in the minerals produced.
Amounts due are accumulated and are released when the matter in question has been resolved and all related documents have been received and processed. All payments are retroactive to the date of suspension.
- How do I make a change to my ownership?
The types of documents that can change ownership on a real property account include (but are not limited to): a deed, title, a court order or a death certificate. In some cases, there may be a need to file more than one type of document to complete the process. The documents must be recorded in the county where the minerals are located.
If you have any questions about the preparation or filing of a document, you may want to consult with an attorney, real estate professional or title company.
- What information is needed when there is a change in Trustee?
Provide a copy of the applicable portion of the Trust document that identifies the successor Trustee, the duties and the powers of the Trustee, and the circumstances leading to the replacement of the Trustee.
- I sent my transfer documentation in. How long will it take to hear back?
The amount of time that it takes to complete a transfer depends on the complexity of the issue.
Joint Interest Billing (JIB)
- Who do I contact with JIB questions?
- For Callon, nothing is changing at this time with respect to JIB inquires.
- For legacy Carrizo, continue to contact EnergyLink at 1-888-573-3364 or on their website at https://www.energylink.com