Range Resources prepares Smith oil and gas well for production, expects seismic results from Georgia in Q2

Range Resources Ltd (ASX: RRS; AIM: RRL) has announced that preparations are underway to move in production equipment to the Smith oil and gas well site in Texas, which has been prepared for the recommencement of production following recent heavy rainfalls.

Range also provided an update from its operations in the Republic of Georgia, where its seismic contractors are working on their planned 350 km (kilometres) of seismic acquisition, which is expected to be completed by late February to early March 2010, when the resulting seismic data will be processed and interpreted with results due Q2 2010.

The company added that it has received additional commitments for a further placement of 30 million shares at £0.029 per share, rasisng approximately £870,000 to fund the projects in the US and Georgia.

Earlier this month Range completed a 1-for-4 rights issue, raising A$7 million to fund its projects in the US and Georgia. At the same time, and in conjunction with the rights issue, a placement was completed to institutional and sophisticated investors under the same terms as the rights issue to raise approximately A$2 million through the issue of 40 million ordinary shares.

Range acquired a 25% working interest in the North Chapman Ranch project in Texas, comprising 1,280 acres in one of the most prolific oil and gas producing trends in the State of Texas.

The company entered into a heads of agreement with UK company Strait Oil & Gas Ltd to acquire 50% interest in two highly prospective oil and gas blocks in the central portion of Georgia with an approximate cost of US$5 million to earn an interest.

The blocks comprise a contiguous area of 7,000 sq km (square kilometres) and were subject to significant exploration during the Soviet era.  http://www.proactiveinvestors.co.uk/companies/news/12664/range-resources-prepares-smith-oil-and-gas-well-for-production-expects-seismic-results-from-georgia-in-q2-12664.html