Company: REI
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001628280-25-038401
Chunk: 132

Company: RING ENERGY, INC.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 8
Chunk 132
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,638 31,422 (3,784)(12)%     Interest paid for notes payable10,645 9,986 659 7 %     Deferred cash payment accretion189,671 — 189,671 100 %     Other interest— (83,961)83,961 100 %Total interest expense$11,757,404 $10,946,127 $811,277 7 %Gain (loss) on derivative contracts:Realized gain (loss):     Crude oil$433,301 $(4,073,127)$4,506,428 111 %     Natural gas244,542 1,478,630 (1,234,088)(83)%Total realized gain (loss)$677,843 $(2,594,497)$3,272,340 126 %Unrealized gain (loss):     Crude oil$12,145,940 $2,308,594 $9,837,346 426 %     Natural gas1,824,271 (1,542,696)3,366,967 218 %Total unrealized gain (loss)$13,970,211 $765,898 $13,204,313 1724 %Total gain (loss) on derivative contracts:$14,648,054 $(1,828,599)$16,476,653 901 %Gain (loss) on disposal of assets$155,293 $51,338 $103,955 202 %Other income$150,770 $— $150,770 100 %

Interest income. Interest income decreased from $144,933 to $69,658 due to lower interest earned from depositing excess cash balances in bank sweep accounts.

Interest expense. Interest expense increased from $10.9 million to $11.8 million primarily due to additional deferred financing costs recognized from the credit agreement modification which was completed in June 2025. Also impacting the increase in interest expense was the deferred cash payment accretion related to the Lime Rock acquisition which closed at the end of March 2025. Although the Company had higher amounts outstanding on its Credit Facility, with a weighted average daily debt of approximately $456.3 million during the second quarter of 2025 compared to approximately $420.3 million during the second quarter of 2024, the interest on the revolving