Company: REI
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001384195-25-000018
Chunk: 63

Company: RING ENERGY, INC.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 63
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87,235)(33)%     Amortization of deferred financing costs693,625 1,226,881 (533,256)(43)%     Interest on financing lease liabilities24,330 27,224 (2,894)(11)%     Interest paid for notes payable25,710 24,115 1,595 7 %     Deferred cash payment accretion195,639 — 195,639 100 %     Other interest— 552 (552)(100)%Total interest expense$10,052,320 $10,754,243 $(701,923)(7)%Gain (loss) on derivative contracts:Realized gain (loss):     Crude oil$2,065,490 $(3,109,660)$5,175,150 166 %     Natural gas520,740 1,226,895 (706,155)(58)%Total realized gain (loss)$2,586,230 $(1,882,765)$4,468,995 237 %Unrealized gain (loss):     Crude oil$(3,526,149)$27,238,245 $(30,764,394)(113)%     Natural gas1,384,224 (623,855)2,008,079 322 %Total unrealized gain (loss)$(2,141,925)$26,614,390 $(28,756,315)(108)%Total gain (loss) on derivative contracts:$444,305 $24,731,625 $(24,287,320)(98)%Gain (loss) on disposal of assets$105,642 $— $105,642 100 %Other income$— $— $— — %

Interest income. Interest income decreased from $143,704 to $74,253 as a result of $71,848 in lower earnings on excess cash balances in bank sweep accounts, offset by an increase of $2,397 in severance tax interest receipts.

Interest expense. Interest expense decreased from $10.8 million to $10.1 million primarily due to a reduction in deferred financing costs recognized from the credit agreement modification which was completed in June 2025.  Although the Company had higher amounts outstanding on its Credit Facility, with a weighted average daily debt of approximately $445.1 million during the third quarter of 2025 compared to approximately $406