A Change of Address form can be downloaded HERE.

You have been assigned an exclusive four or five-digit vendor number to distinguish you from our other interest owners. When communicating with us, please include your vendor number. Your vendor number can be found in the upper-left hand corner of your revenue detail or JIB statement.

Tug Hill normally generates and mails revenue checks on the 25^th day of each month. If your account is in a pay status and if the account has reached your minimum pay status, a check should be issued. If you have not received your check by the 15th of the following month, please call us at (800) 652-8599 or send an email to ownerrelations@tug-hillop.com.  Please allow up to two weeks for delivery of your check.  Checks are mailed via USPS from Fort Worth, Texas.  (Any ownership changes received after the 10th of the month will be processed during the next month’s business.)

We will generate and mail a revenue check to you once your balance exceeds $25.  Amounts over $10 but under your minimum pay amount are paid annually.  Occasionally, payments are held due to matters which create uncertainty as to ownership, such as a notice of death, change of address, transfer of property, assignment of interest or legal dispute. Payments due are accumulated and released when the matter affecting ownership has been resolved.

If your check is lost, stolen or more than 90 days old, contact the Owner Relations hotline at (800) 652-8599 (note stolen checks require written notification). You will be advised of our void process, after which we will reissue the check on our next revenue check write.

A valid Tax Identification Number (TIN) or Social Security Number (SSN) must be provided to us for reporting and identification purposes. If it is not, the Internal Revenue Service requires withholding of 28% of all revenues (30% for foreign residents) until the information is provided.

To notify us of your valid TIN or SSN, please complete a Form W-9 (form can be downloaded HERE) and return by mail to:

Tug Hill Operating
Attn: Owner Relations
1320 South University Drive, Suite 500
Fort Worth, TX 76107

Please contact the Owner Relations hotline at (800) 652-8599 or email ownerrelations@tug-hillop.com. Include your name, daytime phone number with area code, vendor number and last 4 digits of your Tax ID/Social Security number for verification. A representative should contact you within 48 hours.

Royalty owners receiving more than $10 and working-interest owners receiving more than $600 annually receive IRS Form 1099-MISC. The IRS requires us to report the gross dollars paid to you during the previous calendar year. As a courtesy, we also provide to you the total net dollars paid to you, which equals your gross revenues less all applicable deductions (such as transportation, severance taxes, etc.) The net value noted on your 1099 should equal the total value of payments made to you during the calendar year.

The IRS requires 1099’s to be mailed no later than January 31st.

If you have questions regarding your 1099 or have not received your 1099 by February 15th, you should call (800) 652-8599 or email ownerrelations@tug-hillop.com.

A Division Order is a directive signed on behalf of the interest owner verifying to the purchaser or operator of a well the decimal interest of production owned by the owner.

Please see information below. Please note, Tug Hill does not provide mineral owners with documents to change ownership and we highly recommend seeking outside counsel with any questions.

Address Change

• Change of Address Form

Name Change (marriage, divorce, etc.)

• Marriage certificate, divorce decree or other document affecting name change

Name Change – Companies

• Certificate of merger or name change
• New Tax ID (Form W9)

Interest owner died testate (with a will)

• Death certificate
• Copy of the will
• Copy of order admitting will to probate recorded to the proper deed records office
• Letters testamentary or administration
• Evidence that debts and taxes have been paid
• Copy of Trust document if one was created through will

Interest owner died intestate (without a will)

• Death certificate
• Evidence of debt and taxes being paid
• Affidavit of Death & Heirship Form

Conveyance of Interest

• Copy of recorded deed wherein you conveyed and/or received your interest in property to another party

If you are interested in selling your working, overriding royalty or royalty (mineral) interest, please contact us at (800) 652-8599 or email ownerrelations@tug-hillop.com.

Royalty is calculated based on the following:

1. Take the number of net oil and gas acres that you own within a well’s drilling or spacing unit. (Example: If you own an undivided 1/2 mineral interest in a 40 acre parcel, you own 20 net mineral acres.)
2. Divide your net mineral acres in the unit by the total acres in that well’s drilling or spacing unit; and
3. Multiply this number by the royalty rate interest negotiated in your oil and gas lease.
4. For example, if you own 20 net mineral acres, the spacing unit is 346.357 acres and the lease royalty interest is 16%, then your royalty decimal interest calculation in the well/unit is (20/346.357) x .16000000 = 0.0092390.
5. Your royalty decimal interest can change if the unit in which you own expands or contracts, and the unit acres or your acres contributing to the unit changes.

A W-9 is the Internal Revenue Service’s “Request for Taxpayer Identification Number and Certification” form.  It is a form used to accurately report payments made to you to the IRS.  The form itself is not provided to the IRS, however, the form is necessary for Tug Hill Operating to accurately report to the IRS payments made to you (form can be downloaded HERE).

The W-9 needs to be completed in the same capacity as the title of the property (for example, if the lease or transfer document (deed for example) was taken out individually. The W-9 should be filled out with that individual’s information;

If the lease was taken out jointly, both parties should complete a W-9; or

If the lease was taken out in the name of a company, business, partnership, or trust, the information for that company, business, partnership, or trust should be provided).  Please sign the form and return it to Tug Hill Operating.

1. Either a Social Security number for an individual or a Tax Identification number for a company, business, or partnership MUST be provided on the W-9.  Failure to include this information will result in withholding of taxes from your check.
2. If you do not complete and return a W-9, or if you fail to provide your Social Security number of Tax Identification number on the W-9, this will result in the backup withholding of 28% of your payment, pursuant to Internal Revenue Code section 1441.

Direct Deposit is an electronic method of payment where your funds are deposited directly into your bank account through the Automated Clearing House (ACH) Network.

Direct deposit eliminates the handling of paper checks and manual deposits. It reduces payment problems due to lost, stolen, mutilated or misdirected checks. Your money transfers securely and directly into your account on time. This service is provided to you at no cost.

No. Email address is not a requirement. However, Tug Hill is asking you to provide your email to facilitate and expedite future communication between us. We will not disclose your email address to third parties.

Funds will be credited to your bank account on or about the 25^th day of the month.

Yes. For example, if the ownership is held in the name of Mr. and Mrs. John Jones, both parties must sign the Direct Deposit Authorization Form.

No. Tug Hill is only offering Direct Deposit into any United States bank account that accepts ACH transfers.

You may direct funds to be deposited into any bank account of which you are a registered owner. It can be an account owned solely by you or an account owned jointly with others. Tug Hill cannot deposit funds into an account in which you have no ownership interest.

No. Tug Hill can only provide deposits into one bank account for each owner number.

Tug Hill will process each request as soon as possible in the order received. In the normal course of business, please allow 90 days for the first electronic distribution to begin.

It is required that you notify Tug Hill with a new Direct Deposit Authorization Form. We will inactivate your original direct deposit instructions while the new instructions are being processed. If there is a distribution that occurs while the new instructions are being processed, you will receive your distributions via check.

Cancellation requests must be in writing. Please notify Tug Hill by completing our Direct Deposit Authorization Form and selecting “Cancellation” for request type.

You can also access your payment remittance advices electronically (for up to seven years) at https://www.energylink.com.  This is provided also at no cost to you.

You may contact the Tug Hill owner relations hotline at 1-800-652-8599.  You may also access more information at our website at https://tughilloperating.com/owner-relations/.