Company: REI
Filing Date: 2025-04-11
Form Type: DEF 14A
Source: 0001628280-25-017570
Chunk: 68

Company: RING ENERGY, INC.
Filing Date: 2025-04-11
Form: DEF 14A
Chunk 68
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Relationship between CAP and Performance Measures

The illustrations below provide a graphical presentation of the relationship between CAP (as calculated in accordance with SEC rules) and the information presented in the Pay versus Performance table.

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#### 2025 PROXY STATEMENT

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#### RING ENERGY
As is evident from the graphical presentation above, PEO and NEO compensation trends for CAP generally mirror the Company's performance against our key performance measures of TSR, net income and CROCE. This indicates good alignment between pay and performance for the Company's NEOs.

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#### 2025 PROXY STATEMENT

### DIRECTOR COMPENSATION
During the year ended December 31, 2024, the non-employee directors received the following annual compensation paid quarterly in advance:

| COMPENSATION ELEMENT          |     |                     |     |         |
| Independent Director Base Fee |     |                     |     | $75,000 |
| NESG Chair Fee                |     |                     |     | $15,000 |
| Audit Chair Fee               |     |                     |     | $20,000 |
| Compensation Chair Fee        |     |                     |     | $15,000 |
| Lead Independent Director Fee |     |                     |     | $25,000 |
| Stock Awards                  |     | Determined Annually |     |         |

Director Compensation Philosophy

The compensation of our non-employee directors is reviewed by the Compensation Committee and is approved by the Board. We use a combination of cash and stock awards to attract and retain qualified candidates to serve on our Board. In determining director compensation, we consider the responsibilities of our directors, the significant amount of time the directors spend fulfilling their duties, and the competitive market for skilled directors.

We seek to maximize alignment of incentives between the Board and stockholders by primarily using equity awards to compensate directors. We believe that equity awards provide a strong incentive to the Board to preserve and promote stockholder value and directly connects director compensation to the Company stock performance. In this regard, a majority of a director’s compensation is equity-based.

Peer Review and Benchmarking

The Compensation Committee reviews, evaluates, and benchmarks our director compensation practices against our peer companies in the oil and natural gas exploration and production industry. The Compensation Committee uses this peer comparison to inform themselves of industry practice and to help them structure the appropriate level and mix of compensation elements.

Annual Cash Retainer

We provide our non-management directors with an annual cash retainer as shown in the tables above, paid on a