Ring Energy, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

OIL AND NATURAL GAS PRODUCING ACTIVITIES

OIL AND NATURAL GAS PRODUCING ACTIVITIES

12 Months Ended

Dec. 31, 2021

OIL AND NATURAL GAS PRODUCING ACTIVITIES

OIL AND NATURAL GAS PRODUCING ACTIVITIES

NOTE 7 – OIL AND NATURAL GAS PRODUCING ACTIVITIES

Set forth below is certain information regarding the aggregate capitalized costs of oil and natural gas properties and costs incurred by the Company for its oil and natural gas property acquisitions, development and exploration activities:

Net Capitalized Costs


As of December 31,	2021		2020
Oil and natural gas properties, full cost method	$	883,844,745	$	836,514,815
Financing lease asset subject to depreciation		1,422,487		858,513
Fixed assets subject to depreciation		2,089,722		1,520,890
Total Properties and Equipment		887,356,954		838,894,218
Accumulated depletion, depreciation and amortization		(235,997,307)		(200,111,658)

Net Properties and Equipment	$	651,359,647	$	638,782,560

Net Costs Incurred in Oil and Gas Producing Activities


For the years Ended December 31,	2021		2020
Payments to purchase oil and natural gas properties	$	1,368,437	$	1,317,313
Proceeds from divestiture of oil and natural gas properties		(2,000,000)		—
Payments to develop oil and natural gas properties		51,302,131		42,457,745
Payments to acquire or improve fixed assets subject to depreciation		568,832		55,339
Total Net Costs Incurred	$	51,239,400	$	43,830,397