Company: REI
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001628280-25-038401
Chunk: 130

Company: RING ENERGY, INC.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 8
Chunk 130
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. General and administrative ("G&A") expense decreased from $7.7 million to $7.1 million. The $0.6 million cost decrease was primarily due to a decrease of $0.7 million in share-based compensation costs. Other cost reductions included a decrease of $0.3 million in legal fees, $0.2 million in additional costs capitalized for geological and geophysical ("G&G"), $0.1 million in reduced costs for environmental sustainablity, and a $0.1 million reduction in insurance costs. These cost reductions were offset by an increase of  $0.8 million in salaries and bonuses.

48

Other Costs and Operating Expenses for the Six Months Ended June 30, 2025 and 2024

For the Six Months EndedJune 30, 2025June 30, 2024Change% ChangeDepreciation, depletion and amortization (DD&A):     Depletion$47,479,214 $47,754,798 $(275,584)(1)%     Depreciation203,278 204,709 (1,431)(1)%     Amortization of financing lease assets503,405 532,364 (28,959)(5)%Total depreciation, depletion and amortization$48,185,897 $48,491,871 $(305,974)(1)%Depletion per Boe$13.21 $13.52 $(0.31)(2)%Depreciation, depletion and amortization per Boe$13.41 $13.73 $(0.32)(2)%Asset retirement obligation ("ARO") accretion$708,800 $703,018 $5,782 1 %Operating lease expense$350,181 $350,181 $— — %General and administrative expense ("G&A"):     General and administrative expense (excluding Share-based compensation)$12,715,698 $11,381,146 $1,334,552 12 %     Share-based compensation3,042,797 3,801,610 (758,813)(20)%Total general and administrative expense$15,758,495 $15,182,756 $575,739 4 %G&A per Boe$4.39 $4.30 $0.09 2 %G&A excluding Share-based compensation, per Boe$3.