ROK Resources (ROK) Update - Feb 25

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ROK Resources has announced their updated reserves as of December 31, 2022.

Net Asset Value ("NAV") includes NPV10 of 1P and 2P reserves, respectively, less net debt balance of $35.4 million as of December 31, 2022, divided by 211,580,484 outstanding common shares.

2022 Reserves Highlights

ROK's 2022 reserves evaluation reflects the addition of 6.4 million Boe of PDP reserves to a total of 6.8 million Boe, representing a 1,600% increase year-over-year. ROK also materially increased Total Proved reserves (850%) and Total Proved plus Probable reserves (680%), due largely to the acquisition of Federated Co-op Limited's assets in March 2022.

Proved oil and gas reserves ("1P") of 9,727,000 Boe and Net Present Value of 1P reserves discounted at 10% ("NPV10") of $135,762,800

Proved plus probable oil and gas reserves ("2P") of 16,043,800 Boe and Net Present Value of 2P reserves discounted at 10% ("NPV10") of $218,778,700

Total 1P NAV of $0.47/basic share and 2P NAV of $0.87/basic share, a YoY increase of 213% and 164%, respectively

Finding, Development and Acquisition ("FD&A") costs, including changes in Future Development Capital ("FDC"), of:

PDP: $16.43/boe

1P: $16.62/boe

2P: $12.78/boe

With a 2022 average operating netback7 of $48.08/boe (before hedge gains), FD&A Recycle Ratios of:

PDP: 2.9x

1P: 2.9x

2P: 3.8x