ROK Resources Initiates Share Buyback and Revises 2025 Guidance

On May 15, 2025, ROK Resources Inc. announced a series of strategic financial moves, including the launch of a Normal Course Issuer Bid (NCIB) to repurchase up to 10% of its Common Shares. This decision comes alongside a restructuring of its credit facility to offer greater financial flexibility amid volatile market conditions. The restructuring reduces the hedge requirement to 25% if over 70% of the credit facility is used and allows share buybacks if less than 50% is utilized.

For 2025, ROK provided revised guidance targeting stable production levels and emphasizing working capital surplus growth. The company plans capital expenditures ranging from $12.6 million to $19.2 million, depending on the market conditions. Average daily production is forecasted to reach between 3,700 and 3,900 boepd.

In Q1 2025, ROK reported a net income loss of $1.545 million but maintained operational efficiency with a 10% reduction in operating costs compared to Q4 2024, and a significant reduction in adjusted net debt from $10.6 million to $4.1 million.