Company: REI
Filing Date: 2025-03-05
Form Type: 10-K
Source: 0001628280-25-010585
Chunk: 192

Company: RING ENERGY, INC.
Filing Date: 2025-03-05
Form: 10-K
Item: Item 2
Chunk 192
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 Wolfcamp and Devonian reservoirs. 

Title to Properties

We generally conduct a preliminary title examination prior to the acquisition of properties or leasehold interests. Prior to commencement of operations on such acreage, a thorough title examination is usually conducted and any significant defects are remedied before proceeding with operations. We believe the title to our leasehold properties is good, defensible, and customary with practices in the oil and natural gas industry, subject to such exceptions that we believe do not materially detract from the use of such properties. With respect to our properties of which we are not the record owner, we rely on contracts with the owner or operator of the property or assignment of leases, pursuant to which, among other things, we generally have the right to have our interest placed on record.

Our properties are generally subject to royalty, overriding royalty and other interests customary in the industry, liens incident to lending agreements, current taxes and other customary burdens, minor encumbrances, easements, and restrictions. We do not believe any of these burdens materially interfere with our use of these properties.

Summary of Oil and Natural Gas Reserves

As of December 31, 2024, our estimated proved reserves had a pre-tax PV-10 value (present value discounted at 10%) of approximately $1,462.8 million and a Standardized Measure of Discounted Future Net Cash Flows of 

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approximately $1,232.9 million, over 99.7% of which relates to our properties in the Permian Basin in Texas. We spent approximately $391.6 million on acquisitions and capital projects during 2024 and 2023. We expect to further develop these properties through additional drilling.

The following table summarizes our total net proved reserves, pre-tax PV-10 value and Standardized Measure of Discounted Future Net Cash Flows as of December 31, 2024. Approximately 99.8% of our proved reserves are in the Permian Basin in Texas.

Oil (Bbl)NaturalGas (Mcf)NaturalGas Liquids (Bbl)Total(Boe) (1)Pre-Tax PV-10Value (2)StandardizedMeasure ofDiscounted FutureNet Cash Flows80,904,071 149,817,162 28,303,085 134,176,684 $1,462,827,136 $1,232,936,343 

(1) Six Mcf is deemed the equivalent of one Bo