LONDON (Alliance News) - Range Resources Ltd saw its share jump Friday after it said it increased both revenue and oil production over the last quarter, while administrative expenses halved.
The oil and gas explorer said that revenue in the quarter ended September 30 increased by 11% from the previous quarter to USD5.2 million from USD4.7 million, as average oil production in Trinidad increased by 7% on the previous quarter.
"During the quarter, we reported production growth, and consequently increased revenue from our core assets in Trinidad, which hold over 19 million barrels of proved reserves," said Chief Executive Officer Rory Scott Russell in a statement.
Meanwhile, the company said its administration costs decreased by 50% from the previous quarter
During the quarter, Range Resources completed its loan financing of up to USD15 million, which will allow the company to accelerate development drilling of its Trinidad portfolio and increase underlying production.
"Having received the first tranche of financing associated with the USD15 million loan, we have commenced the process of improving our rig fleet in Trinidad, and we aim to complete three to five development wells in the fourth quarter depending on the speed of those maintenance and preparation activities," said Russell.
During the quarter just ended, the company said total average production net to Range Resources across its operations in Trinidad, Texas and Guatemala was 668 barrels of oil equivalent per day.
The company said its capital expenditure during the quarter was USD5.6 million, down from USD6.5 million in the previous quarter, due to reduced exploration spend.
It said it held cash of USD1.4 million at the end of the quarter, and said it expects estimated cash outflows for next quarter to be around USD6.5 million.
Shares in Range Resources were trading 7.1% higher Friday morning at 0.830 pence, having hit 0.88p earlier in the day.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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