ROK Resources (ROK.V and ROKRF) Update

[dan_s]

ROK Resources Inc. ("ROK" or the "Company") (TSXV:ROK)(OTCQB:ROKRF) is pleased to announce, consistent with the Company's ongoing corporate strategy to expeditiously reduce debt, the Company has unwound its crude oil swap hedges generating proceeds of $6.29 million resulting in an estimated working capital surplus of approximately $4.0 million at May 31st, 2025.

The proceeds of the settlement of the crude oil swap hedges have been used to fully repay the Company's existing line of credit.

Since 2022, the Company has retired more than $85 million of debt while increasing its base production by 38% from 2,900 boepd to 4,000 boepd at year-end 2024. The Company is working with its lender to review financing options that allow the Company to maintain flexibility.

The Company will continue to manage free cash flow to further enhance its already stable balance sheet, facilitate strategic area growth when appropriate, and consider alternative ways to maximize shareholder value.
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ROK is not going to commence this year's drilling program until after Spring Break Up in June. With a pristine balance sheet (virtually no debt) and strong cash flow from operations, the Company's 2025 drilling program will be FULLY FUNDED by operating cash flow.

[dan_s]

ROK has confirmed that they will announce the company's Q1 2025 financial results on May 16.

Based on my forecast, Q1 results should include ~3,700 Boepd of production (~55.5% crude oil) and approximately $5.5Cdn million of Adjusted Operating Cash Flow. Since ROK won't start this year's drilling program until June, they are generating a lot of free cash flow during the first two quarters of 2025.

The new CEO of ROK, Bryden Wright will be speaking at our June 19th luncheon in Houston.

67% of ROK's Q2 2025 estimated oil production is hedged at $97.72Cdn/bbl, locking in another quarter of strong cash flow.