Range Resources Corporation says that its bank group has, as requested, reconfirmed at the regularly scheduled confirmation date, the Company's $1.5 billion borrowing base and $1.0 billion commitment amount maturing in October of 2012.

The Range bank group is comprised of 24 commercial banks holding between 3.0% and 5.3% of the total facility. With no one bank holding more than 5.3% of the facility, there is significant bank lending capacity within the existing bank group available should Range elect its option to increase its $1.0 billion commitment amount up to the $1.5 billion borrowing base. The large number of banks and relatively low hold levels also allow for significant flexibility should there be additional consolidation within the banking sector.

The Company also reconfirmed the following aspects of its business: • The Company has no exposure to the Lehman Brothers bankruptcy. • The Company reiterated its guidance for third quarter 2008 production of 384 to 386 Mmcfe per day and its guidance for a total of 19% production growth for 2008. • Although the Company will not submit its 2009 capital spending budget to its Board of Directors until later this year, the Company expects to submit a budget in line with its estimated 2009 cash flow. Such a budget is expected to generate double-digit production growth of 15% to 20%. • The Company has hedged approximately 69% of its estimated fourth quarter 2008 gas production at a floor price of $8.84 per mcf and 60% of its 2009 estimated gas production at a floor of $8.31 per mcf. The Company's hedging arrangements are currently with a diversified group of 14 financial institutions, 12 of which are in the Company's bank group.

John H. Pinkerton, the Company's Chairman and CEO, said, "Given these tumultuous times in the investment and credit markets, we believe that Range can continue to prosper given its low cost structure and its large inventory of low-risk drilling projects. Given our significant internally generated cash flows, Range is poised to continue to deliver solid production and reserve growth for several years to come with the inventory of projects on hand today without any further expansion. Although we are all affected by the volatility in the credit and investment markets, our business strategy is sound, and we are in excellent position to continue to deliver value to our stockholders."

Tags: Range Resources Corporation