Range Resources Corp. made a number of financial moves aimed at boosting its liquidity and reducing its debt, according to an Oct. 21 news release.
The corporation's board of directors approved a $100 million share repurchase program, which is scheduled to begin October. Range said it plans to fund the repurchase program through asset sale proceeds, free cash flow generation and other potential financial deals.
Range also announced that it had completed in September a $150 million sale of an additional 0.5% overriding royalty interest, which applies to 350,000 acres of the company's property in southwest Appalachia. The deal, effective as of March 1, has an associated annual cash flow of approximately $12 million based on pricing during the first half of the year.
"Over the last year, Range has executed on approximately $1.1 billion in asset sales, making substantial progress on our strategic objective of reinforcing financial strength," Range CEO and President Jeffrey Ventura said in the release. Further improvement of the company's financial strength and debt reduction remains the priority of the company, he said.
The Texas-based corporation also increased its bank commitments from $2.0 billion to $2.4 billion, while retaining a borrowing base of $3.0 billion.
Range explores and develops natural gas and oil properties in Appalachia and north Louisiana.