I just received a request for a W-9 form from a Texas LLC. The letter says they have “taken over” operations from X company, certain wells in which I may have an interest in Upshur, Smith and Gregg counties.
(My spouse passed away 5 years ago. His father spent most of his life buying and selling oil properties (50’s and 60’s). The father lived in Smith County.)
As far as I know, there has never been any revenue from the X company and certainly none since my spouse passed.
How would I know if I own any properties that have been “taken over” by this company?
Change of operator can eventually be found on Tx RRC site.
Odds are these are old nonproducing wells that have not been plugged (which explains the no revenue). This new operator would be taking over responsibility for these wells (and perhaps be looking at re-entering and attempting completions)
The W-9 is requested because there is a revenue issue requiring a tax ID. You need to start investigating funds in suspense and possibly unclaimed funds. Contact the company for more information.
Sometimes the operator and the company paying royalties are not the same. Payor could be the oil purchaser or a company hired by the operator to pay the royalties. Was your spouse receiving royalties at the time of his death? Did you file probate or other deed records to transfer title to your name and also notify the operator or payor? Once an oil company is aware of someone’s death, then the royalties will be suspended until title is cleared. You can search Texasfile for deeds in your spouse’s name or his father’s name in the three counties. Also check for unclaimed funds sent to Texas in their names and your name.