Exhibit 12.1
CARRIZO OIL AND GAS, INC.
STATEMENT OF COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND
EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
| Year Ended December 31, | Six Months Ended June 30, 2012 | |||||||||||||||||||||||
| 2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||||||
| (In thousands, except ratios) | ||||||||||||||||||||||||
Earnings | ||||||||||||||||||||||||
Income (loss) before income taxes and equity in income of investees | $ | 54,849 | $ | 15,679 | $ | (318,152 | ) | $ | (65,772 | ) | $ | 24,712 | $ | 56,755 | ||||||||||
Interest expense | 52,803 | 43,264 | 38,286 | 30,257 | 26,403 | 35,022 | ||||||||||||||||||
Less interest capitalized | (23,369 | ) | (20,746 | ) | (19,696 | ) | (20,527 | ) | (11,718 | ) | (13,832 | ) | ||||||||||||
Interest portion of rental expense | 1,475 | 1,292 | 1,237 | 1,568 | 1,096 | 862 | ||||||||||||||||||
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Total Earnings | $ | 85,758 | $ | 39,489 | $ | (298,325 | ) | $ | (54,474 | ) | $ | 40,493 | $ | 78,807 | ||||||||||
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Fixed Charges: | ||||||||||||||||||||||||
Interest expense | $ | 52,803 | $ | 43,264 | $ | 38,286 | $ | 30,257 | $ | 26,403 | $ | 35,022 | ||||||||||||
Interest portion of rental expense | 1,475 | 1,292 | 1,237 | 1,568 | 1,096 | 862 | ||||||||||||||||||
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Total Fixed Charges | $ | 54,278 | $ | 44,556 | $ | 39,523 | $ | 31,825 | $ | 27,499 | $ | 35,884 | ||||||||||||
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Ratio of earnings to fixed charges | 1.58 | 0.89 | (1) | — | (2) | — | (3) | 1.47 | 2.20 | |||||||||||||||
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| Year Ended December 31, | Six Months Ended June 30, 2012 | |||||||||||||||||||||||
| 2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||||||
| (In thousands, except ratios) | ||||||||||||||||||||||||
Earnings | ||||||||||||||||||||||||
Income (loss) before income taxes and equity in income of investees | $ | 54,849 | $ | 15,679 | $ | (318,152 | ) | $ | (65,772 | ) | $ | 24,712 | $ | 56,755 | ||||||||||
Interest expense | 52,803 | 43,264 | 38,286 | 30,257 | 26,403 | 35,022 | ||||||||||||||||||
Less interest capitalized | (23,369 | ) | (20,746 | ) | (19,696 | ) | (20,527 | ) | (11,718 | ) | (13,832 | ) | ||||||||||||
Interest portion of rental expense | 1,475 | 1,292 | 1,237 | 1,568 | 1,096 | 862 | ||||||||||||||||||
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Total Earnings | $ | 85,758 | $ | 39,489 | $ | (298,325 | ) | $ | (54,474 | ) | $ | 40,493 | $ | 78,807 | ||||||||||
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Combined Fixed Charges and Preferred Stock Dividends: | ||||||||||||||||||||||||
Interest expense | $ | 52,803 | $ | 43,264 | $ | 38,286 | $ | 30,257 | $ | 26,403 | $ | 35,022 | ||||||||||||
Interest portion of rental expense | 1,475 | 1,292 | 1,237 | 1,568 | 1,096 | 862 | ||||||||||||||||||
Preferred stock dividend requirements of Carrizo Oil & Gas, Inc. | — | — | — | — | — | — | ||||||||||||||||||
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Total Combined Fixed Charges and Preferred Stock Dividends | $ | 54,278 | $ | 44,556 | $ | 39,523 | $ | 31,825 | $ | 27,499 | $ | 35,884 | ||||||||||||
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Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends | 1.58 | 0. 89 | (1) | — | (2) | — | (3) | 1.47 | 2.20 | |||||||||||||||
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| (1) | Earnings for the year ended December 31, 2010, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $5.1 million primarily due to non-cash impairments of oil and gas properties of $2.7 million. |
| (2) | Earnings for the year ended December 31, 2009, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $337.8 million due to non-cash impairments of oil and gas properties of $338.9 million. |
| (3) | Earnings for the year ended December 31, 2008, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $86.3 million due to a non-cash impairment of oil and gas properties of $178.5 million. |