Range Announces Fourth Quarter Production, Pricing & Capital Spending

Rhea-AI Summary

Range Resources Corporation (NYSE: RRC) announced its fourth quarter 2021 financial results, reporting production of approximately 2,198 Mmcfe per day and all-in capital expenditures totaling $92.3 million. Natural gas production averaged 1,534 Mmcf per day, with pre-hedge realizations reaching $5.38 per mcf, the highest since 2014. The company achieved $29.5 million in contingent derivative settlement gains during the quarter. Additionally, total capital expenditures for 2021 were $414 million, below the guidance of $425 million. A conference call to discuss these results is set for February 23, 2022.

Positive

• Fourth quarter 2021 production averaged 2,198 Mmcfe per day.
• Natural gas realization was $5.38 per mcf, highest since 2014.
• Total capital expenditures in 2021 were $414 million, below guidance.
• Realized $29.5 million in contingent derivative settlement gains.

Negative

• None

Range Announces Conference Call to Discuss Fourth Quarter 2021 Financial Results

FORT WORTH, Texas, Feb. 09, 2022 (GLOBE NEWSWIRE) -- RANGE RESOURCES CORPORATION (NYSE: RRC) today announced that fourth quarter 2021 production averaged approximately 2,198 Mmcfe per day, and fourth quarter 2021 all-in capital spending totaled $92.3 million. In addition, Range realized $29.5 million in contingent derivative settlement gains in fourth quarter 2021.

Production and Pricing

Fourth quarter 2021 daily natural gas production averaged approximately 1,534 Mmcf per day. The average natural gas realization, including the impact of basis hedges, was $5.38 per mcf, the highest quarterly pre-hedge realization since 2014. The average natural gas price, including settled index hedges, was $3.27 per mcf. In addition, Range realized a contingent derivative settlement gain of $20 million related to natural gas prices in 2021.

Fourth quarter 2021 daily NGL production averaged approximately 102,126 barrels per day. Pre-hedge NGL realizations were $36.26 per barrel, the highest quarterly pre-hedge NGL realization since 2013. The average NGL price, including settled index hedges, was $34.77 per barrel. In addition, Range realized a contingent derivative settlement gain of $6 million related to NGL prices in 2021.

Fourth quarter 2021 daily oil and condensate production averaged approximately 8,674 barrels per day. Crude oil and condensate price realizations, before realized hedges, averaged $70.07 per barrel, the highest quarterly pre-hedge realization since 2014. The average condensate price, including settled index hedges, was $52.56 per barrel. In addition, Range realized a contingent derivative settlement gain of $3.5 million related to WTI prices.

Capital Expenditures

Fourth quarter 2021 drilling and completion expenditures were $83.7 million. In addition, during the quarter, $8.6 million was invested on acreage leasehold, gathering systems and other corporate items. Total capital expenditures in 2021 were $414 million, which was approximately $11 million below original guidance of $425 million and approximately $1 million below the revised guidance of $415 million, which was announced in October 2021. This represents the fourth consecutive year that Range delivered operational plans below budget.

Contingent Derivatives

In fourth quarter 2021, Range realized a total of $29.5 million in contingent derivative settlement gains related to the North Louisiana divestiture. This represents the maximum amount that Range could receive pertaining to 2021 commodity prices, and Range expects to receive the cash proceeds in the first half of 2022. Range has the potential to receive an additional $45.5 million in contingent payments based on natural gas, NGL and oil prices in 2022 and 2023. At year-end 2021, the fair value of these remaining contingent payments was approximately $26.6 million.

Conference Call Information

Range’s fourth quarter 2021 financial results news release will be issued Tuesday, February 22 after the close of trading on the New York Stock Exchange.

A conference call to review the financial results is scheduled on Wednesday, February 23 at 9:00 a.m. ET (8:00 a.m. CT). A webcast of the call may be accessed at www.rangeresources.com. The webcast will be archived for replay on the Company's website until March 22, 2022.

RANGE RESOURCES CORPORATION (NYSE: RRC) is a leading U.S. independent natural gas and NGL producer with operations focused on stacked-pay projects in the Appalachian Basin. The Company is headquartered in Fort Worth, Texas.  More information about Range can be found at www.rangeresources.com.

Range Investor Contacts:

Laith Sando, Vice President – Investor Relations
817-869-4267
lsando@rangeresources.com

Range Media Contacts:

Mark Windle, Director of Corporate Communications
724-873-3223
mwindle@rangeresources.com

FAQ

What were Range Resources' fourth quarter 2021 production numbers?

Range Resources reported an average production of 2,198 Mmcfe per day in the fourth quarter of 2021.

How much did Range Resources spend on capital expenditures in 2021?

Range Resources had total capital expenditures of $414 million in 2021.

What was the natural gas realization price for Range Resources in Q4 2021?

The natural gas realization price was $5.38 per mcf in the fourth quarter of 2021.

When is Range Resources' conference call to discuss financial results?

The conference call is scheduled for February 23, 2022, at 9:00 a.m. ET.

What contingent derivative gains did Range Resources report for Q4 2021?

Range Resources reported $29.5 million in contingent derivative settlement gains for the fourth quarter of 2021.