Company: REI
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001628280-25-038401
Chunk: 152

Company: RING ENERGY, INC.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 2
Chunk 152
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 2025, while the gross realized price per NGL barrel was $20.37 and the average fees per barrel was $(10.08), resulting in a net realized price of $10.29 for the same period in 2024. 

45

Production Costs for the Three Months Ended June 30, 2025 and 2024

For the Three Months EndedJune 30, 2025June 30, 2024Change% ChangeLease operating expenses ("LOE")$20,245,981 $19,309,017 $936,964 5 %Average LOE per Boe$10.45 $10.72 $(0.27)(3)%Gathering, transportation and processing costs ("GTP")$133,809 $107,629 $26,180 24 %Average GTP per Boe$0.07 $0.06 $0.01 17 %Ad valorem taxes$1,648,647 $1,337,276 $311,371 23 %Average Ad valorem taxes per Boe$0.85 $0.74 $0.11 15 %Oil and natural gas production taxes$3,832,607 $3,627,264 $205,343 6 %Average Production taxes per Boe$1.98 $2.01 $(0.03)(1)%Production taxes as a percentage of total sales4.64 %3.66 %0.98 %27 %

Lease operating expenses. Our total lease operating expenses (“LOE”) increased from $19.3 million to $20.2 million and decreased on a per Boe basis from $10.72 to $10.45. These per Boe amounts are calculated by dividing our total lease operating expenses by our total volume sold, in Boe. Total LOE increased primarily due to an 8% increase in production of 137,280 Boe as a result of the increased production and well count from the Lime Rock Acquisition as well as new wells drilled and completed in our development program. The primary cost driver for the period was an increase of $1.7 million in electricity costs. Other impacting factors included an increase of $0.1 million for environmental sustainability, offset by reductions of $0.5 million for supplies, tools, and materials, $0.1 million for workovers, $0