Range Resources Profile
Range Resources Corporation operates as an independent natural gas, NGLs (natural gas liquids) and crude oil and condensate company.
The company engages in the exploration, development and acquisition of natural gas and oil properties in the Appalachian region of the United States. The company’s principal area of operations is the Marcellus Shale in Pennsylvania. The company’s exploration and production operations are limited to onshore United States.
Strategy
The key elements of the company’s strategy are to commit to environmental protection and worker and community safety; concentrate in its core operating area; maintain a high-quality, multi-year drilling inventory; maintain a long-life reserve base with a low base decline rate; market its products to a large number of customers in diverse markets under a variety of commercial terms; maintain operational and financial flexibility; and provide employee equity ownership and incentive compensation aligned with its stakeholders’ interests.
Property Overview
The company’s natural gas and oil operations are concentrated in the Appalachian region of the United States, and more specifically, in the Marcellus Shale in Pennsylvania. The company’s properties consist of interests in developed and undeveloped natural gas and oil leases. These interests entitle the company to drill for and produce natural gas, NGLs, crude oil and condensate from specific areas. The company’s interests are mostly in the form of working interests and, to a lesser extent, royalty and overriding royalty interests.
The company holds a large portfolio of drilling opportunities beyond the five-year horizon of proved reserves and therefore a significant unbooked resource potential within the Marcellus, Utica/Point Pleasant and Upper Devonian formations. The company owns 1,466 net producing wells in Pennsylvania, almost all of which it operates. The company’s average working interest in this region is 95%. As of December 31, 2023, the company had approximately 860,000 gross (753,000 net) acres under lease. During 2023, the company averaged approximately two horizontal drilling rigs in the field and expect to run an average of two horizontal drilling rigs throughout 2024. Substantially all of the company’s reserves and production are located in the Marcellus Shale.
Marketing and Customers
The company markets the majority of its natural gas, NGLs, crude oil and condensate production from the properties it operates for its working interest, and that of the other working interest owners. The company contracts with a third-party to process its natural gas and extract from the produced natural gas heavier hydrocarbon streams (consisting predominately of ethane, propane, isobutane, normal butane and natural gasoline). The company’s natural gas production is sold to utilities, marketing and midstream companies and industrial users. The company’s NGLs production is typically sold to petrochemical end users, marketers/traders (both domestically and internationally) and natural gas processors. The company’s oil and condensate production is sold to crude oil processors, transporters and refining and marketing companies.
Governmental Regulation
Among other matters, the Energy Policy Act of 2005 (EPAct 2005) amends the Natural Gas Act (NGA) to make it unlawful for ‘any entity’, including otherwise non-jurisdictional producers, such as the company, to use any deceptive or manipulative device or contrivance in connection with the purchase or sale of natural gas or the purchase or sale of transportation services subject to regulation by the Federal Energy Regulatory Commission (the FERC), in the contravention of rules prescribed by the FERC. The company is in substantial compliance with all applicable laws and regulations with respect to EPAct 2005.
The company’s gathering facilities meet the tests the FERC has traditionally used to establish a pipeline system’s status as a non-jurisdictional gatherer.
Environmental and Occupational Health and Safety Matters
Some of the environmental laws to which the company’s operations are subject to include the Comprehensive Environmental Response, Compensation and Liability Act, as amended; the Resource Conservation and Recovery Act, as amended; the Federal Water Pollution Control Act, as amended; the Oil Pollution Act of 1990, as amended; the Safe Drinking Water Act; and the Clean Air Act of 1963, as amended.
The company is also subject to the requirements of the federal Occupational Safety and Health Act, as amended (OSHA), and comparable state laws that regulate the protection of the health and safety of employees. In addition, OSHA’s hazard communication standard requires that information be maintained about hazardous materials used or produced in the company’s operations and that this information be provided to employees, state and local government authorities and citizens. The company’s operations are in substantial compliance with the OSHA requirements.
History
The company was founded in 1976. It was incorporated in 1980. It was formerly known as Lomak Petroleum, Inc. and changed its name to Range Resources Corporation in 1998.
