STA.L Regulatory News (STA)

31 Jan 2008 08:15

Range Resources Ltd ABN 88 002 522 009 34 Parliament Place West Perth WA 6005 PO Box 684 West Perth WA 6872 P: +61 8 9488 5200 F: +61 8 9321 6699 admin@rangeresources.com.au31 January 2008 QUARTERLY REPORT FOR PERIOD ENDING 31 DECEMBER 2007

The Board is pleased to provide the following commentary to be read in conjunction with the Appendix 5B.

HIGHLIGHTS:

* Admitted to trading on the AIM market of the London Stock Exchange * Completion of seismic reprocessing program by Africa Oil * Completion of Rights Issue and Placement to Option holders

AIM LISTING

A major highlight during the quarter was the successful admission of the Company's shares onto the AIM market of the London Stock Exchange. The AIM listing will significantly enhance the profile of Range, providing international investors easier access to Range's securities and broadening the potential investor base of the Company for capital raisings that may be required to support its oil and gas and mineral exploration and development activities in Puntland.

With this in mind, the Company completed a placement of approximately 18m newordinary shares at an issue price of 22 pence each (AUD$0.50) throughLondon-based broker Fox Davies Capital Limited. New shareholders were targetedthroughout the United Kingdom/Europe to broaden the shareholder base andenhance liquidity on the AIM market. Gross proceeds of approximately ‚£4m wereraised which will be used to fund ongoing exploration costs in Puntland andworking capital requirements of the Company.

PUNTLAND OIL EXPLORATION

During the quarter Africa Oil Corp. completed a comprehensive seismicreprocessing program, including review and integration of all geophysical andgeological data on the Nogal Block. The program validated and refined theprevious exploration targets established by the former concession holder andenabled Africa Oil to proceed with the proposed drilling program. Africa Oil isRange's joint venture partner and operator on the project, earning an 80%interest in the Nogal and Dharoor Blocks in Puntland, through spending US$45mon 4 wells. Africa Oil is currently finalising the drilling contract for a rigcapable of drilling the deep holes (4-5,000metres), that may be required toreach the potential reservoirs in Jurassic formations in the Nogal Basin. It isalso envisaged that reservoirs will be found in Cretaecous sandstones, giventhat in Yemen, oil has been found in both horizons.

Currently Africa Oil has purchased wellheads and tubulars required for all 4 wells. It is anticipated that the drill rig will be mobilised in March 2008 spudding the first of the two back-to-back wells in Nogal soon thereafter.

In addition, contract quotes have been obtained for a 2,600km seismicacquisition programme in the Dharoor Valley. It is anticipated that this workwill begin by late March 2008. A 2 well drilling program is also being plannedfor the Dharoor Block to follow the drilling campaign at Nogal.Mr Paul Colyer strengthens the project's technical team by joining Africa Oilas Drilling Manager. Considered one of the top Drilling Managers in theindustry, he brings 35 years of experience to the Company. Mr Colyer has spentthe greater part of his career at Occidental Petroleum and has drilled andmanaged drilling programs in both Yemen and Somalia.Range is also in the process of finalising the commencement of up to 15,000kmof 2D seismic for offshore Puntland (100% Range) with a proposed start date ofApril 2008.

PUNTLAND AND THE TRANSITIONAL FEDERAL GOVERNMENT

During the quarter both the previous Prime Minister and Energy Minister of theTransitional Federal Government ("TFG") of Somalia resigned their posts withone contributing factor being the proposed introduction of a TFG National OilLaw which was contradictory to the existing regime in Puntland.

The Puntland Government is in negotiations with the TFG President, the new Prime Minister and new Energy Minister with regards to a joint Puntland/TFG development agreement of natural resources which ultimately preserves Range's (and Africa Oil's) current agreements with the Puntland Government and Parliament. Range is confident that a formal agreement will be reached in February 2008.

COMPLETION OF RIGHTS ISSUE AND PLACEMENT TO OPTION HOLDERS

During the quarter the Company completed a placement to holders of listed options (as at 1 August 2007) of one new option (unlisted $1.00, 1 October 2008) at a subscription price of 1 cent. Simultaneously a 1 for 8 issue to existing shareholders of 1 option ($1.00, 1 October 2010) for every 8 shares held at a subscription price of 1 cent was offered. The funds raised being $736,224.39 will be used for the Puntland project.

CORPORATE

The Company held its Annual General Meeting on 2 November 2007 whereby allresolutions set out in the Notice of Meeting were passed on a show of hands.Michael PoveyManaging Director31 January 2008 Rule 5.3 Appendix 5B Mining exploration entity quarterly report

Introduced 1/7/96. Origin: Appendix 8. Amended 1/7/97, 1/7/98, 30/9/2001.

Name of entity RANGE RESOURCES LIMITED ABN Quarter ended ("current quarter") 88 002 522 009 31 December 2007

Consolidated statement of cash flows

Cash flows related to operating Current quarter Year to date activities

$A'000 $A'000 1.1 Receipts from product sales and related debtors 1.2 Payments for (a) exploration and evaluation (1,211) (1,659) (b) development (c) production (d) administration (870) (1,584) 1.3 Dividends received 1.4 Interest and other items of a 105 311 similar nature received 1.5 Interest and other costs of finance paid 1.6 Income taxes paid 1.7 Other 0 5 Net Operating Cash Flows (1,976) (2,927) Cash flows related to investing activities 1.8 Payment for purchases of: (a)prospects (b)equity investments (1,500) (1,500) (c) other fixed assets (7) (49) 1.9 Proceeds from sale of: (a)prospects (b)equity investments (c)other fixed assets 1.10 Loans to other entities - (14) 1.11 Loans repaid by other entities 6 6 1.12 Other (provide details if material) Puntland Mineral & Hydrocarbon (2,151) (16,699) Rights Net investing cash flows (3,652) (18,256) 1.13 Total operating and investing (5,628) (21,183) cash flows (carried forward) 1.13 Total operating and investing (5,628) (21,183) cash flows (brought forward) Cash flows related to financing activities 1.14 Proceeds from issues of shares, 8,049 8,424 options, etc. 1.15 Proceeds from sale of forfeited shares 1.16 Proceeds from borrowings - - 1.17 Repayment of borrowings 1.18 Dividends paid 1.19 Costs associated with issue of (299) (349) shares (refer to note) Net financing cash flows 7,750 8,075 Net increase (decrease) in cash 2,122 (13,108) held 1.20 Cash at beginning of quarter/ 7,666 22,896 year to date 1.21 Exchange rate adjustments to item 1.20 1.22 Cash at end of quarter 9,788 9,788Payments to directors of the entity and associates of the directorsPayments to related entities of the entity and associates of the relatedentities Current quarter $A'000 1.23 Aggregate amount of payments to the parties 415 included in item 1.2 and 1.7 1.24 Aggregate amount of loans to the parties Nil included in item 1.10 1.25 Explanation necessary for an understanding of the transactions Payments of Directors Fees $195k Payments for Financial/Company Secretarial/Office Support Services $220k

Non-cash financing and investing activities

2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows Settlement of Somirelco transaction, involving the receipt of 3 million Contact Uranium ordinary shares, being the second tranche of shares under the terms of the agreement, bringing Range's total shareholding in the Company to 8 million shares. 2.2 Details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest N/A Financing facilities available(Add notes as necessary for an understanding of the position.) Amount available Amount used $A'000 $A'000 3.1 Loan facilities - - 3.2 Credit standby arrangements - -

Estimated cash outflows for next quarter

$A'000 4.1 Exploration and evaluation 1,200 4.2 Development - Total 1,200Reconciliation of cashReconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows. Current quarter Previous quarter $A'000 $A'000 5.1 Cash on hand and at bank 2,042 1,090 5.2 Deposits at call 7,746 6,576 5.3 Bank overdraft - - 5.4 Other - Term Deposit - - Total: cash at end of quarter 9,788 7,666 (item 1.22)

Changes in interests in mining tenements

Tenement Nature of interest Interest Interest reference at at end of (note (2)) beginning quarter of quarter 6.1 Interests in Nil mining tenements relinquished, reduced or lapsed 6.2 Interests in Nil mining tenements acquired or increased

Issued and quoted securities at end of current quarter

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

Total number Number Issue price Amount paid up quoted per per security security (see note 3) (see note (cents) 3) (cents) 7.1 Preference + Nil securities (description) 7.2 Changes during quarter (a) Increases through issues (b) Decreases through returns of capital, buy-backs, redemptions 7.3 +Ordinary 195,440,024 195,440,024 securities 7.4 Changes during quarter (a) Increases 18,194,451 18,194,451 through issues (b) Decreases Nil Nil through returns of capital, buy-backs 7.5 +Convertible Nil debt securities (description) 7.6 Changes during quarter (a) Increases through issues (b) Decreases through securities matured, converted 7.7 Options Exercise Price Expiry Date 9,575,654 9,575,654 $1.00 1 October 2010 54,855,872 - $1.00 1 October 2008 50,823,029 - $1.00 1 October 2010 2,952,029 $0.50 30 June 2012 Issued during 7.8 quarter 9,575,654 9,575,654 $1.00 1 October 2010 54,855,872 - $1.00 1 October 2008 Exercised 14,451 14,451 $1.00 1 October 20077.9 during quarter 7.10 Expired 69,164,756 69,164,756 $1.00 1 October 2007 during quarter 7.11 Debentures Nil (totals only) 7.12 Unsecured Nil notes(totals only)

7.13 Partly Paid 5,000,000 Nil 60 cents 30 cents

Shares

Note: Application was made to the ASX to have 3,750,000 Partly Paid Shares quoted on 27 December 2008. As at 31 December 2007 the shares had not been allotted by the Company's share registry.

Compliance statement

1 This statement has been prepared under accounting policies which comply with accounting standards as defined in the Corporations Act or other standards acceptable to ASX (see note 4).

2 This statement does give a true and fair view of the matters disclosed.

____________________Peter LandauExecutive Director31 January 2008Notes

1 The quarterly report provides a basis for informing the market how the entity's activities have been financed for the past quarter and the effect on its cash position. An entity wanting to disclose additional information is encouraged to do so, in a note or notes attached to this report.

2 The "Nature of interest" (items 6.1 and 6.2) includes options in respect of interests in mining tenements acquired, exercised or lapsed during the reporting period. If the entity is involved in a joint venture agreement and there are conditions precedent which will change its percentage interest in

a mining tenement, it should disclose the change of percentage interest and

conditions precedent in the list required for items 6.1 and 6.2.

3 Issued and quoted securities. The issue price and amount paid up is not required in items 7.1 and 7.3 for fully paid securities.

4 The definitions in, and provisions of, AASB 1022: Accounting for Extractive Industries and AASB 1026: Statement of Cash Flows apply to this report.

5 Accounting Standards ASX will accept, for example, the use of InternationalAccounting Standards for foreign entities. If the standards used do not address a topic, the Australian standard on that topic (if any) must be complied with. == == == == ==