Range Resources Share News (RRL)

Range Resources has completed its farm-in agreement with Canadian exploration company Niko Resources for the Guayaguayare Block in Trinidad.Range will earn 50% of Niko's existing interests in the deep and shallow rights covering both onshore and offshore areas, with the consortium to drill two onshore wells.They include one shallow onshore well to a maximum of 5,000 ft and another deep onshore well to a minimum of 5,000 ft.The wells will test approximately 22% of the prospective resource estimate to be drilled in the vicinity of the Beach Marcelle Field, which has produced more than 30m barrels of oil to date. Following discovery from either of the two initial wells, the consortium will then look to drill an initial appraisal well. The first well will be drilled in early 2014.Range will fund the two onshore wells and the potential initial appraisal well at its sole expense, and will share costs equally with Niko thereafter, including the cost of drilling an initial offshore test.The Guayaguayare Block represents the largest addition to Range's Trinidad portfolio to date, increasing the company's acreage position by more than 280,000 acres. "The farm-in presents Range with a perfect opportunity to add highly prospective acreage on trend with its existing exploration, development and secondary recovery projects, while leveraging its fleet of drilling and production rigs and operating experience within the region," the group said.RD