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February 2004IPAAOil & GasInvestment SymposiumApril 20,
2004RANGE RESOURCES
Growing Through the Drillbit With Complementary Acquisitions
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Profile(Permian, East TX & Midcontinent)Mid-size
IndependentTotal assets - $800+ millionMarket Cap - $650+
millionNYSE listed (RRC)Reserve base (12/31/03)
Operations
Acreage position (12/31/03)
685 Bcfe80% natural gas & ngls11 year reserve life93% Range
operated
2003 - drilled 358 (200 net) wells 93% success rate 2004 - 409
(237 net) wells planned 2,100,000 gross acres 1,025,000 net
acres
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StrategyInternally generated drillbit growthComplementary
acquisitions in core areasMaintain a 10+ year reserve lifeAchieve
attractive rates of return
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Reserve Profile38%28%93%71%72%7%50%12%(1)As of December 31,
200320%9%GasOilNGLOperatedNon-OperatedSouthwestAppalachiaGulfCoastDevelopedUndeveloped
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Diversified Property Base(1)As of December 31, 2003(2)2004
Projection(1)
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Drilling Inventory -- 2004 Midcontinent Brown
DolomiteMidcontinentSpringerMidcontinentTonkawaGulf of MexicoDeep
StructuresHigh
Low
HighReserveImpactLowGulf CoastYeguaAppalachiaCoalbed
MethaneAppalachiaClinton/MedinaPermianCisco/CanyonPermianSan
AndresRiskProfileNew/Enhanced - 2003AppalachiaTrentonBlack
RiverMidcontinent Red ForkEast TexasWilcoxAppalachiaKnox
PermianStrawnAppalachiaUpperDevonianAppalachiaOriskany
East TexasWoodbineMisissippi NorphletGulf
CoastOligoceneMidcontinentHuntonMidcontinent MorrowNew/Enhanced -
2002New/Enhanced - 2001Existing - 2000
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Two Years of Solid Growth
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2003 Reserve Replacement %Mean = 193%Based on Howard Weil 2003
Reserve and Finding Cost Study.
(1)%RRC = 286%Average = 236%
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2003 Finding Costs Average = $1.48/mcfeBased on Howard Weil
Reserve & Finding Cost Study Excludes companies with the five
highest finding costs
$/mcfe(1)RRC = $1.25/mcfeMean = $1.43/mcfe(2)
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2004 Focus Exploit the Inventory Lower Risk DevelopmentWest
Texas Conger and Val VerdeWest Texas Fuhrman-MaschoAppalachia
Clinton/Medina and Upper Devonian
Medium Risk ExploitationMidcontinent Morrow, Springer, Hunton,
Brown Dolomite, TonkawaOnshore Gulf Coast Oligocene and
YeguaAppalachia Knox and Oriskany
Higher Risk, Higher Impact ProjectsGOM Deep StructuresEast Texas
WoodbineAppalachia Trenton Black RiverOnshore Gulf Coast
Norphlet
Complementary acquisitions to add incremental growth
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Quarterly Production Outlook Mmcfe/day200220032004 Anticipate
both sequential and Y-O-Y quarterly production growth in 2004.
First quarter 2004 production increased 15.2% y-o-y.ActualAnalyst
Estimates
149151
151
149154158159165177
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Financial SnapshotExcludes gains on debt retirement and
mark-to-market compensation.(2) Per analysts estimates(See website
for EBITDAX and cash flow calculations)(1)(2)
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Debt StatusTotal Debt Reduced 53%(millions)(1)Includes debt and
trust preferred Analyst estimates for 2004(2) Debt reduced 51% to
$358 million Debt 2.2x cash flow Debt 1.9x EBITDAX Interest
coverage now 10.3x Debt per mcfe $0.52Conger acquisition added $87
MM in debt$754$605$463$392$368$358$304(2)(2)(2)
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Hedging StatusAs of 3/31/04(1)Collars now represent 16% in 2004,
41% in 2005 and 83% in 2006 of total hedges.(1)
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2004 Capital BudgetAcreage ExplorationPipeline 3%10%&
Facilities Development 72%2003$ 108MM Drilling2004 No acquisitions
are included in the budget. & Seismic $126MM Drilling
15%Development
75%Acreage & Seismic12%Exploration12%Pipeline &
Facilities1%95MM Acquisitions
$ 203MM Total
- Acquisitions$126MM Total (1)
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Drilling ProgramCapital Expenditures(In millions)Net Wells
Drilled$53$86$95 92121179(1)Excludes
acquisitions.(1)$108200$126237
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Operational Overview
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2004 Operating GoalsGrow production 10-15% Replace over 100% of
production by the drillbit Drilling IRR over 40% based on strip
pricesContinue building drilling inventory
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Multi-year Inventory Will Drive GrowthRisk ProfileReserve
ImpactRanges multi-year inventory will provide baseline growth over
the next several years.
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Ranges E&P Action PlanFocus in existing core areas- Expand
on current successes and proven plays- Look deeper in existing
areasNiche player: Ranges projects are too tedious for majors and
too technically extensive for smaller independentsMake acquisitions
to complement drill bit growthIntegrated teamwork & disciplined
pick and shovel workUse state-of-the-art technology judiciously
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Texas Panhandle 39,700 gross (29,700 net) acres Original 32 sq.
mi. 3-D seismic Shot additional 21 sq. mi. 3-D in 2003 Current Net
Rate of 5,722 Mcfe/Day from 8 wells 1 Well WOPL 5 Locations Pending
Identified 8-12 New Locations Expanding Play from Morrow
Original & 2003 Merged 3-D
3-D Seismic Outline
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Texas Panhandle - Upper Morrow SandUpper Morrow SandCurrent
Production 79 Bo + 2,031 Mcf/dayWI: 72.75% NRI: 54.56%Cum. Prod.
26,100 Bbls oil & 335 Mmcf
Upper Morrow SandCurrent Rate 380 Bo + 1920 Mcf/DayWI: 72.75%
NRI: 54.56%Commenced sales 1/28/04Middle Morrow SandTested 3 BOPH
& 335 MCFDUpper Morrow Sand - Drilling6 New Upper Morrow
Locations Identified on recent 3-D ExtensionUpper Morrow
SandCurrent Prod 40 Bo + 775 Mcf/dayWI: 72.75% NRI: 54.56%Cum.
Prod. 42,270 Bbls oil & 316 Mmcf
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Fuhrman-Mascho West Texas2002 2003 DRILLING PROGRAM2004 DRILLING
PROGRAMREMAINING PUDS 89 Additional Locations
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Sterling Area Conger Field2003 12 wells drilled $4.4 MM Cap Ex
3.5 Net BCFE $1.26/mcfe Dev. Cost
2004 24 wells planned $12.0 MM Cap Ex 13.7 Net BCFE $0.89/mcfe
Dev. Cost 2 rigs operating Lowering operating costs 69,000 gross
acres
64 locations
Largest operator in field
20% of expected 2004 production
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Falcon Prospect Gulf of MexicoStructure Within Marg AProp EC 33
#9 Location85 Bcfe Potential Marg A Targets 12,500 to 17,500 Range
WI 25% BCP / 37.5% ACP Range NRI 30.1% Gross DHC $6.8 MM, Net $1.7
MM Potential 85 (26.1 net) Bcfe Spud projected by July
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Coalbed Methane Projects
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Trenton Black River PlayFive Trenton Black River wells planned
for 2004, ranging in depth from 3,000 to 12,500 feet.
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Range TodayDiversified asset base; strong technical team70%
natural gas; 11+ year reserve life Two years of solid results
executing new strategy Significant free cash flow to exploit large
inventory of drilling opportunities Company is positioned for above
average production and reserve growth in 2004 and beyond
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Forward-Looking StatementsStatements concerning results of
future capital expenditures, production volumes, reserve volumes,
reserve values, number of development and exploration projects,
total assets, operating costs, overhead costs, cash flow and
earnings are forward-looking statements. These statements are based
on assumptions concerning commodity prices, recompletions and
drilling results, lease operating expenses, administrative
expenses, interest and other financing costs and the market for oil
and gas properties that management believes are reasonable based on
currently available information; however, managements assumptions
and the Companys future performance are both subject to a wide
range of business risks and there is no assurance that these
results, goals and projections can or will be met. Further
information is available in the Companys filings with the
Securities and Exchange Commission, which are incorporated by
reference.
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Visit us atwww.rangeresources.comFor supplemental tables, press
releases, SEC filings, proxy and annual reports
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