Range Resources has reported that under the Beach Marcelle Incremental Production Service Contract, its wholly owned subsidiary Los Bajos Oil has with Petrotrin established P1 reserves of 12.8 million barrels of oil based on extensive independent engineering studies of its mature oil fields in Trinidad. It should be noted that under the IPSC, in ground reserves belong to Petrotrin. The reserves are then able to be economically developed and exploited by the Contract partner pursuant to an agreed work program.

This increase in reserves follows the recently completed engineering studies of secondary recovery potential in the Company's Beach Marcelle Block. Range, through its wholly owned subsidiary Los Bajos Oil will seek all necessary approvals to commence development in early 2012 and commit to a $12m development program over the next 12-18 months.

The engineering review, performed by the Company's Dallas-based reserve auditor Forrest A. Garb & Associates, confirmed that significant volumes of crude remain in the Beach Marcelle field that are expected to be recoverable using standard secondary recovery techniques such as water flooding. The water flood program has been engineered to produce approx. 1m to 1.5m barrels per year for the first 8 years following initial production and has an attributable valuation of approx. US$290MM as determined by Forest Garb taking into account all relevant project economics.

Range Resources Managing Director Peter Landau commented 'we are extremely delighted with the addition of around 13 million barrels of recoverable oil to the Trinidad Project. Adding 1 - 1.5m barrels per year of production for the first 8 years, whilst not impacting on our other production and exploration initiatives already in place is a significant boost to the Range portfolio.

The development programme to bring these reserves into production will be a key near term focus for Range. This Project will result in the creation of significant local work opportunities and skills development.'

'It should also be noted that these new proven reserves are in addition to the previously reported P1-P3 reserves and Prospective Resources inventory that Range currently holds on its Trinidad assets, hence the enormous significance and value that these reserves on the Beach Marcelle Block represent'.

Tags: Range Resources Corporation