Range Announces Second Quarter 2017 Financial Results

FORT WORTH, Texas, Aug. 01, 2017 (GLOBE NEWSWIRE)

North Louisiana Division

Production for the division in the second quarter of 2017 averaged 416 net Mmcfe per day, an increase of 5% from the previous quarter.  Late in the second quarter, the division brought on line six wells, consisting of three Upper Red wells and three Lower Red wells.

The division continues to focus on Terryville while methodically testing and delineating other areas.  Significant progress has been made in lowering the cost to drill and complete a typical 7,500 foot lateral well in Terryville, currently at $7.4 million.  As previously discussed, production from the wells brought to sales in early 2017 were below expectations.  These included wells that were drilled prior to the acquisition, but not completed.  In addition, Range experimented with changes to completion designs and more specifically, fluid intensity, in an attempt to mitigate the impact to offset wells.  These wells on average were stimulated with approximately 40% less fluid per foot compared to typical Terryville completions, while utilizing the same proppant per foot.  The initial production response in the wells has been below expectations by a similar percentage, with a flatter decline profile, suggesting the wells were under-stimulated.  Going forward, Range is planning to return to the larger fluid designs. 

In the expansion areas, the two wells previously announced (one to the east and one to the west of Vernon field), continue to perform well.  Gas in place estimates for the area are 400 Bcf per square mile and plans are underway to offset each of these expansion wells with another horizontal well.  The offset wells are expected to spud in the third quarter with results near year-end.  In addition, the Company plans to drill two vertical wells in the area to better determine reservoir properties and identify the optimal target of the six potential intervals.

Link to full press release: