Range Resources (RRC) Update - May 30

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dan_s
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Joined: Fri Apr 23, 2010 8:22 am

Range Resources (RRC) Update - May 30

Post by dan_s »

Note from Truist Financial.

While we still forecast low single digit growth y/y in 2024, we have lowered our production
estimates for both '23 and '24 given the current gas environment. In contrast to some of our
other gas-focused names, we expect RRC to remain in maintenance mode for longer, until
a sustainable increase in gas prices calls for growth. With a group leading minimal base
decline, RRC is likely to use its FCF to reduce debt, while it looks for opportunities to expand
its takeaway footprint and reduce its cost structure.

My forecast is based on just 0.7% production growth in 2023 and 4.6% growth in 2024, primarily due to rising natural gas prices in 2H 2024.
Dan Steffens
Energy Prospectus Group
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