STA.L Regulatory News (STA)

25 Aug 2011 12:04

25 August 2011The ManagerCompany Announcements

Australian Securities Exchange Limited

Level 06, 20 Bridge StreetSydney NSW 2000By e-lodgementCOMPANY UPDATE

International oil and gas exploration, development and production company, Range Resources Limited ("Range" or "the Company") is pleased to provide the following update across a number of its international interests.

Georgia

Range is pleased to announce that the hole to 700m has been opened up to 17 1/ 2" with the 13 3/8" casing successfully cemented to the depth of 700m. The blowout preventer ("BOP") is currently being fitted after which the rig will shortly resume drilling with a target total depth of approximately 3,500m expected to be reached in mid/late September.

The Mukhiani Well is targeting the Vani 3 prospect which has the following estimated undiscovered stock tank oil-in-place ("STOIIP"):

Vani 3 Prospect - STOIIP (MMbbls)

P90 P50 P10 MeanGross (100%) 41.7 92.7 178.2 115.2Net Attributable to Range (40%) 16.7 37.1 71.3 46.1

The recently completed geochemical helium survey undertaken by Range confirmed the suitability of the first drill location with oil exploration and development prospectivity complementing the earlier seismic work completed on the target.

Texas - North Chapman Ranch

Range is also pleased to announce that the Company remains on track to commence the two well program on the North Chapman Ranch prospect in October 2011, with the Albrecht well to be drilled in the east south east portion of the license area with the second well location currently being finalised. With the Smith #1 and Russell-Bevly wells located in the north-west corner of the license area, assuming success on the Albrecht well alone, the Company would expect a significant re-classification of the current P2 & P3 (Probable & Possible) reserves into the P1 (Proved) and P2 (Probable) categories.

In addition to the Howell Height formation that the Smith #1 and Russell- Bevly wells are currently producing from, the Albrecht well is also targeting multiple shallower targets. The shallower objectives are known to produce within or on trend with our license area.

Texas - East Texas Cotton Valley

Operations have resumed on the Company's Ross 3H horizontal well after fluid samples from the well were recently collected and analyzed. The Ross 3H was drilled with significant oil shows and strong evidence of oil saturation from core data but experienced a high pressure salt water flow near the end of its nearly 3,500 ft. lateral section. Range and its partners will continue to perforate and test additional sections of the lateral. If successful, the Ross 3H could set up a multi-well horizontal development program to exploit the shallow oil reservoir there.

The Company will look to provide an update on the Trinidad operations shortly and will continue to look to provide regular operational updates on its portfolio of assets

For and on behalf of the Board

Regards

Peter Landau - Executive Director

ContactsRange Resources LimitedPeter LandauTel : +61 (8) 8 9488 5220

Em: plandau@rangeresources.com.au

Australia LondonPPR Tavistock CommunicationsDavid Tasker Ed Portman/Paul YouensTel: +61 (8) 9388 0944 Tel: + 44 (0) 20 7920 3150Em: david.tasker@ppr.com.au Em: eportman@tavistock.co.ukRFC Corporate Finance (Nominated Advisor) Old Park Lane Capital (Joint Broker)Stuart Laing Michael ParnesTel: +61 (8) 9480 2500 Tel: +44 (0) 207 493 8188 Panmure Gordon (Joint Broker) Katherine Roe / Brett Jacobs Tel: +44 (0) 207 459 3600Range Background

Range Resources Limited is a dual listed oil & gas exploration company with oil & gas interests in the frontier state of Puntland, Somalia, the Republic of Georgia, Texas, USA and Trinidad.

* In Trinidad Range recently completed the acquisition of a 100% interest in holding companies with three onshore production licenses and fully operational drilling subsidiary. Independently assessed gross recoverable 3P reserves in place of 6.9 MMbls (on a mean 100% basis) with an additional 20 MMbls of prospective resources. * In the Republic of Georgia, Range holds a 40% farm-in interest in onshore blocks VIa and VIb, covering approx. 7,000sq.km. Currently, Range has recently completed a 410km 2D seismic program with independent consultants RPS Energy identifying 68 potential structures containing an estimated 2 billion barrels of oil-in-place (on a mean 100% basis) with the first of two exploration wells having spudded in July in 2011. * In Puntland, Range holds a 20% working interest in two licences encompassing the highly prospective Dharoor and Nugaal valleys with the operator and 45% interest holder, Africa Oil Corp planning to commence the two well programme in 2011 (targeting (on a mean 100% basis) 300mmbls and 375mmbbls of best estimate gross recoverable oil in place) following the recent awarding of the rig contract. * Range holds a 25% interest in the initial Smith #1 well and 20% interest in further wells on the North Chapman Ranch project, Texas. The project area encompasses approximately 1,680 acres in one of the most prolific oil and gas producing trends in the State of Texas. Drilling of the first well has resulted in a commercial discovery with independently assessed gross recoverable reserves in place (on a mean 100% basis) of 240 Bcf of natural gas, 18 mmbbls of oil and 17 mmbbls of natural gas liquids. * Range holds a 21.75% interest in the East Texas Cotton Valley Prospect in Red River County, Texas, USA, where the prospect's project area encompasses approximately 1,570 acres encompassing a recent oil discovery. Independently assessed gross recoverable reserves in place (on a mean 100% basis) of 5.4 mmbbls of oil.

The reserves estimate for the North Chapman Ranch Project and East Texas Cotton Valley has been formulated by Lonquist & Co LLC who are Petroleum Consultants based in the United States with offices in Houston and Austin. Lonquist provides specific engineering services to the oil and gas exploration and production industry, and consults on all aspects of petroleum geology and engineering for both domestic and international projects and companies. Lonquist & Co LLC have consented in writing to the reference to them in this announcement and to the estimates of oil, natural gas and natural gas liquids provided. These estimates were formulated in accordance with the guidelines of the Society of Petroleum Engineers ("SPE"). The SPE Reserve definitions can be found on the SPE website at spe.org.

The reserves estimates for the 3 Trinidad blocks referred above have been formulated by Forrest A. Garb & Associates, Inc. (FGA). FGA is an international petroleum engineering and geologic consulting firm staffed by experienced engineers and geologists. Collectively FGA staff has more than a century of worldâ€"wide experience. FGA have consented in writing to the reference to them in this announcement and to the estimates of oil and natural gas liquids provided. The definitions for oil and gas reserves are in accordance with SEC Regulation Sâ€"X.

RPS Group is an International Petroleum Consulting Firm with offices worldwide, who specialise in the evaluation of resources, and have consented to the information with regards to the Company's Georgian interests in the form and context that they appear. These estimates were formulated in accordance with the guidelines of the Society of Petroleum Engineers ("SPE").

The prospective resource estimates for the two Dharoor Valley prospects are internal estimates reported by Africa Oil Corp, the operator of the joint venture, which are based on volumetric and related assessments by Gaffney, Cline & Associates.

ABN 88 002 522 009www.rangeresources.com.auLondon

5th Floor, 23 King Street, St. James's House, London SW1 6QY

t: +44 207 389 0588, f: +44 207 930 2501

Australia

Ground Floor, 1 Havelock Street, West Perth WA 6005, Australia

t: +61 8 9488 5220, f: +61 8 9324 2400

e: admin@rangeresources.com.au