It is my understanding that the gas and oil companies (like a lot of medium-sized companies) are waiting on a line of credit so they aren't using their reserves to make payroll.   This will be when the banks start loaning money to each other again.   Carizzo is a Houston-based company (and Texas is weathering the economic downtrun quite well), but this interbank lending is between very large banking entities all over the US and in Europe.

At present the US Treasury Bill-Euro Dollar spread is 2.5 but needs to get to 1.0 and preferably 0.5.   Then we will see lines of credit opening up again but it might take a couple of months.

I understand all the G7 countries have their own versions of people buying overpriced properties with unusual loans with the idea of "flipping" the house after the price doubles, so it is not unique to the United States.    And their tax assessors have been counting on "revenue" from increases in propery value to fund various programs.

I also understand any leases filed at the courthouses are enforceable so I doubt Carrizo will shortchange anyone.   We just have to wait until the banks figure out what sorts of questionable derivatives are on their books-- these are loans and mortgages listed at prices above what they can be appraised and sold.

Actually our leaseagreements were completed through Cheaha not Carizzo, so I would like to see the verbiage in the contract between the two as we are no longer in a working relationship with Cheaha!  I called Carizzo today in Houston and got a recording from 9/13/2008 that says our offices will be open tomorrow!  So if our lease was sold to Carizzo are we not entitled to notification and written guarantee that all agreements will be followed through with?  I understand what you're saying but if a company should file Chapter 11 bankruptcy protection for whatever reason, then they would have only limited financial obligations, meanwhile we are stuck with a 3 year lease and there are a number of us that have not received all/any of our money, at the advise of our hoa the company(cheaha at the time) was told to "hold off" on the abatement payments, until the sub-division was completely leased(I suppose the thought was peer pressure works wonders)!  Regardless of what, why, where when or how, our HOA is speaking on everyones behalf, and I cannot imagine why they would withold contact information from those of us who already have a legally binding contract!  I will not accept that I must go through RTHOA to speak to the person/s I have a contract with!!!  Cheaha says contact Carizzo, so AGAIN, I am asking for a contact phone number for Carizzo( a good one)  you HOA say you are negotiating with and following up with Carizzo so you MUST have a good contact name and number,  whats the big secret?  I understand they sustainded some building damage from Ike, but we have people locally that we should be allowed to speak with.  This is not a new deal, they are not dealing with an undeveloped subdivision, this is a project in the works, they took over for Cheaha, they need to follow through.  So I am asking once again for a name and a good phone number!(3rd times a charm)!

Hi candy-o,

Actually.....your lease agreement is with Carrizo. Perhaps you never took time to read your lease. The verbiage about selling your lease to another company can be found in your lease. Did you know that YOU can sell your lease? You are free citizen (I assume) and have the right to choose to sign or not sign a gas lease agreement with anyone you choose. No one made you sign anything. If you had chosen to sign with Dale you would have had ALL of your money ($400 in most cases) up front and you would not be complaining now, right? Right.         Carrizo is not filing chapter anything and is going to honor every part of the agreement that was negotiated from the beginning. Carrizo has asked the River Trails Gas Lease Committee to handle questions that they can answer and to not give out the contact information until there is actually something new to report. I do know there has been a leasing representative assigned to River Trails and leasing activities will resume very soon. I will post more info as it becomes available.

October 23, 2008

Thank you for your patients. Carrizo Gas and Oil has resumed leasing operations in River Trails effective immediately. All terms of the original lease agreement will be honored including $10,000 per acre signing bonus as well as 25% royalty payments on the gas that is produced.

A new team of leasing agents has been assigned to take care of the remaining homes that need to be leased. They will also be leasing the homes that have old Dale leases that have expired.

They have created a database of the properties that need to be leased and will be contacting each homeowner by phone or mail. If you need an agent to contact you just give them a call or contact RTHA at

rivertrailshoa@yahoo.com

Supervisor

Frank Sides - 817-412-8551  

Agents in the Field

Cody Smth - 817-368-3781

Jason Edwards - 903-746-3827

Morgan Smith - 817-917-1416