Whisper it very quietly but things seem to be looking better over at Range which only recently looked like a basket case. Today’s announcement of a strategy and work programme indicates that a number of plans are slipping into place and that hopes of meaningful production maybe justified. The highest priority is being extended to the two waterflood programmes at Beach Marcelle and Morne Diablo where injection on one of the projects is already underway, and first production as a result of waterflooding is expected to commence in 2H 2016. The company has identified $26.5m to spend and five new wells will be drilled this year, overall production will pick up sharply and the company is guiding to 2,500 b/d by the end of 2017. Range is now fully funded with $22m of cash and also has the LandOcean facility to draw upon and even manages to talk in the statement about possible acquisitions, is this what the market has been waiting for? One swallow, as they say, does not a summer make, and I look forward to meeting the company again soon but this does seem like genuine progress given today’s news.
RRS Price at posting:
0.5¢ Sentiment: Hold Disclosure: Held
