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

(1) On December 9, 2015, Ring issued option awards to its Named Executive Officers and directors. On January 13, 2016, the Board ratified the Compensation Committee decision to rescind the option awards granted to its employees and directors (other than Messrs. McCabe and Rochford, who are the members of the Compensation Committee) as the result of a significant decline in the stock price and re-issued the option awards as of that date to meet the goals and objectives of the Company’s equity based compensation program. The amounts shown as Option Awards include the additional fair value of the new options over the original grant. On December 26, 2018, the Compensation Committee rescinded the options granted in 2016. No adjustment has been made to account for the reduction in compensation.