RRC
Re: RRC
http://seekingalpha.com/article/2137393 ... _0_0&ifp=0
good article--
Summary
•Range Resources possesses one of the highest quality acreage and has huge resource potential in the Marcellus shale that will ensure many years of production growth.
•The company has allocated approximately 87 percent of its capital budget to further develop the Marcellus shale with 78 percent of the budget allocated for drilling purposes.
•The continuously declining per unit cost from $4.34 per mcfe in 2008 to just $2.84 per mcfe in 2013 will ensure better top line growth.
•Similarly, the controlled debt position lessens the pressure on the bottom due to lower interest expenses.
a side note: gas drilling rigs down again last week. (6 as i recall)
good article--
Summary
•Range Resources possesses one of the highest quality acreage and has huge resource potential in the Marcellus shale that will ensure many years of production growth.
•The company has allocated approximately 87 percent of its capital budget to further develop the Marcellus shale with 78 percent of the budget allocated for drilling purposes.
•The continuously declining per unit cost from $4.34 per mcfe in 2008 to just $2.84 per mcfe in 2013 will ensure better top line growth.
•Similarly, the controlled debt position lessens the pressure on the bottom due to lower interest expenses.
a side note: gas drilling rigs down again last week. (6 as i recall)
Re: RRC
RRC will report that their Q1 production sold for over $8.00/mcfe during the first quarter. Their IRR on SE PA wells is now over 100%. They have over 7,000 low risk drilling locations in the SE PA liquids rich region of the Marcellus. I will discuss RRC more in my newsletter that comes out Monday morning.
If natural gas goes to $6.00 late this year, which I think is a 50/50 shot, then RRC could go to over $150/share.
If natural gas goes to $6.00 late this year, which I think is a 50/50 shot, then RRC could go to over $150/share.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group