Quarterly Report and Issue of Shares

30 April 2014


  
By E-Lodgement                        ASX Code:RRS and AIM Code: RRL

             THIRD QUARTER REPORT FOR PERIOD ENDING 31 MARCH 2014

The Board of Range Resources Limited ("Range" or "the Company")
provides the following update regarding its activities during the three months
ended 31 March 2014 to be read in conjunction with the Appendix 5B (Quarterly
Cash Flow Report), and Appendix 3B (Issue of Shares) which follow the
announcement.

TRINIDAD

Production Overview

Total gross oil production for the quarter was 47,565 bbls (average
of 529 barrels of oil per day "bopd") compared to an average of 594 bopd in
the previous quarter.

The decrease in production was primarily due to:

- Production and drilling staff undergoing annual planned
re-certification as part of standard Petrotrin requirements.

- One of the production rigs requiring maintenance work.

Operations Overview

- Operations continued without any safety or environmental
incidents and have been LTI-free since September 2013.

- Three of the fleet of six drilling rigs are fully operational and
drilling ahead, with four wells successfully drilled and completed during the
quarter. The fourth drilling rig (rig 1) has now undergone preliminary
regulatory inspections prior to becoming operational.

- The maintenance programme for the remaining heavy drilling rigs 6 & 7
continues.

- Three of the fleet of six production rigs are online, and
continue production work.

- Subsequent to quarter end, the Company reports that despite
numerous attempts to rescue the MD248 well following continued difficulties,
including with the attempted sidetrack, the decision has been taken to suspend
the well, in order to better utilise the drilling rig. MD248 has been a
problematic well from a drilling point of view but the prospect remains an
attractive target. Rig 8 is now being de-mobilised from the well site in
preparation for redeployment.

- The Company has received Petrotrin approval for its Beach
Marcelle waterflood programme and is currently awaiting further regulatory
approvals.

- Engineering, design and study work continues on the Morne Diablo
waterflood project, while the Company waits on final regulatory approvals
(having already received Petrotrin approvals) to proceed with facilities and
infrastructure installation.

Farm-in agreement with Niko Resources

As announced on 17 December 2013, Range formally executed the
farm-in agreement with Niko Resources Ltd. ("Niko"), regarding the
Guayaguayare Block in Trinidad, subject to final regulatory approval. Under
the terms of the farm-in agreement, Range will earn a 50% share of Niko's
existing interests in the Guayaguayare Block in return for drilling two
onshore exploration wells. Range will also drill one offshore well and one
onshore appraisal well contingent on exploration success, sharing costs with
Niko on a 50/50 basis. The Company and the operator, Niko, are finalising
proposed plans and drill locations for the first onshore well, which is now
expected to spud in Q2 2014, in accordance with the farm-in agreements.

St Mary's Block Award

During the quarter, the Company announced that it has been
successful with its bid for the St. Mary's block in Trinidad following the
submission in the Trinidad Onshore Bid Round 2013. The successful bid was
formally announced by the Ministry of Energy of Trinidad at the Trinidad and
Tobago Energy Conference in February 2014. The St. Mary's block comprises
44,731 acres spread over 4 sub-blocks contiguous to Range's existing Morne
Diablo license and the Guayaguayare license. The formal agreements are subject
to continued negotiation with the Ministry of Energy of Trinidad and Tobago
and the Company will make a further announcement on the future plans for the
St Mary's license in due course.

GUATEMALA

Subsequent to quarter end, Latin American Resources (the
"Operator"), has drilled the Atzam #5 well at the Atzam Oil Project in
Guatemala to its planned total depth of 4,025 feet. Following completion of
the drilling operations of the well, the Operator is currently preparing the
full suite of electric logs to be run from the last casing point at 3,600 feet
down to the well's total depth of 4,025 feet. This electric logging run will
complete the detailed well data across the primary and secondary carbonate
reservoir target sections intersected by the well, and determine the scope of
operations for the initial flow testing programme.

The flow testing programme will commence on the primary reservoir
sections immediately following independent evaluation and analysis of the full
suite of the Atzam #5 electric logs by Schlumberger, and other external
consultants as required. The evaluation of the electric logging data will
determine the optimal flow testing programme for the well on the priority
carbonate reservoir sections.

PUNTLAND

During the quarter Range's Joint Venture partner and operator, Horn
Petroleum Corporation ("Horn Petroleum" TSXV: HRN) re-commenced some
preliminary groundwork in Puntland. This preliminary work included field
research and reconnaissance across both sites as well as a review of the
operating environment, the results of which are encouraging in terms of local
grass-roots support for operations and the ability to get work done. At the
same time it gave the operator a chance to meet the new President. Mark
Dingley the COO of Horn Petroleum said: "The transition of President
Abdiwelli's government has been smooth and as such meetings with him have been
positive. The leadership of the PPMA has remained unchanged allowing for
continuity in the management of the PSA's."

The political situation still remains complex, however,
characterised at the highest level by continued discussions regarding the
application of the Somali federal system. The issue of the contested territory
of Nugaal continues to be a significant challenge for Somaliland and Puntland
and has a direct impact on the joint venture's ability to access the Nugaal
Block. Efforts are focused on making preparations for a seismic acquisition
campaign in the Dharoor Valley area which will include a regional seismic
reconnaissance grid in the previously unexplored eastern portion of the basin
as well as prospect specific seismic to delineate a drilling candidate in the
western portion of the basin where an active petroleum system was confirmed by
the drilling of the Shabeel-1 and Shabeel North-1 wells.

GEORGIA

During the quarter, Strait Oil & Gas UK ("Strait") continued to
advance discussions with potential farm-in and buy-out parties in order to
advance exploration and development programmes or, alternatively, to partially
or fully divest the licences.

Agreement has been reached with the State Agency of Georgia to
defer the commitment for a well to be drilled in Block VI (b) to the second
half of 2014, and the licence terms have been amended accordingly.

COLOMBIA

Range is working with the operator and the State to progress
towards a decision on the previously announced portfolio of work in Colombia,
which will be the subject of a future announcement.

TEXAS

The Company acknowledges the failure of the purchaser to complete
the sale of its Texas assets within the agreed timeframe. The Company is,
therefore, also running a process to re-market the assets in order to divest
this non-core development project.

CORPORATE

Changes to the Board and Management team

During the quarter, Range announced the appointment of Mr. Rory
Scott Russell as the Company's new Chief Executive Officer and the appointment
of two new Non-Executive Directors, Mr. Graham Lyon and Dr. Christian
Bukovics. The Board of Range also announced the appointment of Dr. Douglas
Field as Vice President of Production and Mr. William Duncan as Vice President
of Exploration, both to be based in London. In Trinidad, the Company announced
the appointment of Mr. Terry Motley, as in-country Operations Manager.
Together these appointments bring a wealth of technical, operational and
financial experience, to fully support the Company's future growth and
development.

Range also announced that Mr. Peter Landau changed from his role as
an Executive Director, to a Non-Executive Director.

LandOcean Strategic Alliance

Subsequent to quarter end, the Company announced the completion of
a memorandum of understanding with LandOcean Energy Services Co Ltd
("LandOcean") (SHE:300157), whereby the two companies intend to form a
strategic alliance for the development of international oil and gas projects
(the "understanding"). The understanding significantly increases Range's
technical capabilities while also providing additional options for the funding
of future projects. The understanding between Range and LandOcean is set out
in a non-binding term sheet, which is subject to final, legally binding
documentation. The Company is making significant progress towards entering
into final documentation with LandOcean and will provide further details of
the terms of the proposed strategic alliance in due course.

Financing Update

The new Range management team is reviewing a number of financing
opportunities for its development projects in Trinidad. In addition the
Company is working to refinance all its existing debt. The Company is
encouraged by the continuing discussions with a number of financing parties
and will provide updates when they have concluded.

The company confirms that its current total debt position as at the
date of this report to be USD 10.5m, a reduction of USD 2.2m since 31 December
2013 (as reported in the Half Yearly Report).

As announced in the Company's Half Yearly Report, the Company
entered into a total of USD 6.5m loan agreements with Platinum Partners for a
term of six months dated 15 October 2013. 100 million Range shares were issued
as collateral against part of the loan. Platinum Partners agreed to extend
their loan up to 30 April 2014, and Range continues to work with Platinum to
repay the outstanding amounts.

The Company can also confirm that the equity swap arrangements
entered into with Yorkville in May 2013 concluded during the quarter to 31
March 2014. The remaining Yorkville swap amounts will come to a close during
the current June quarter. The current outstanding balance on the SEDA backed
loans is USD 1.8m.

During the quarter, the Company drew an additional GBP 500k
(approximately USD 844k) from Hudson Bay, on the same terms as the original
convertible notes, being for an 18 month period at a coupon rate of 10%,
convertible at a 90% VWAP conversion price. At the date of this report, a
total of USD 900k is still outstanding in respect of all these convertible
notes.


International Petroleum

As previously announced, the proposed merger with International
Petroleum Ltd will not be proceeding.

Constructive negotiations are continuing with regards to Range's
$8m loan to International Petroleum.

Commenting on today's announcement, Rory Scott Russell, CEO, said:

"A great deal has been achieved during the period. Management has
been strengthened and all bring a wealth of technical, operational and
financial expertise to the Board. Whilst we face many challenges, going
forward our focus is on developing and managing our assets, which I am
confident will result in an increase in production, and in strengthening of
our financial position."

Investor Update Conference Call Details

The Company will be holding a live conference call for analysts and
investors on Wednesday 14 May at 09.00 GMT, which will also be broadcast live
over the internet.

To participate in this conference call, and access full features,
such as presentation slides, please log on to:
http://www.meetingzone.com/presenter/?partCEC=2789681.

A copy of the presentation will also be available from the
Company's website at www.rangeresources.com.au following the call.

Alternatively, you can dial in via telephone. Please dial 0808 109
0700 UK toll free, 1800 681 584 Australia toll free, or [phone]
if you are calling from outside of the UK. The telephone operator will ask you
to provide a password, which is "Range Resources".

If you are unable to listen to the live web cast, it will be
archived for up to 7 days on the Company's website.

Range's CEO, Rory Scott Russell, will be hosting the call and will
provide corporate and operational updates on the Company.

Investors are reminded that they are welcome to submit questions
via email ahead of the conference call to the Company's Financial PR, Buchanan
- [e-mail]. Please send any questions by 09.00 GMT on
Friday, 9 May.

Issue of shares

The Company announces the issue of 159,538,724 Ordinary Fully Paid
Shares pursuant to the conversion of debt, 7,500,000 Unlisted Options issued
for debt conversion as per agreement (£0.005, 30 April 2017).

Application will be made for the 159,538,724 new shares to be
admitted to trading on the ASX and AIM. Trading in the new shares is expected
to commence on AIM on or around 7 May 2014.

Following the issue of these securities the total number of
securities on issue is as follows:

3,850,401,976   Ordinary Fully Paid Shares
80,508,341      Options ($0.05, 31 January 2016)
855,166         Unlisted Options (£0.04, 30 June 2015)
7,058,824       Unlisted Options (£0.17, 30 April 2016)
17,921,146      Class B Performance Shares
5,180,000       Unlisted Options (£0.075, 31 January 2017)
9,000,000       Unlisted Options (£0.125, 31 March 2015)
15,708,801      Unlisted Options (£0.0615, 19 October 2015)
32,275,862      Unlisted Options (£0.05075, 30 November 2015)
5,000,000       Unlisted Options ($0.10, 31 January 2016)
5,000,000       Unlisted Options ($0.06, 10 February 2016)
146,533,850     Unlisted Options (£0.04, 30 April 2016)
5,000,000       Unlisted Options (£0.037, 11 July 2016)
476,190         Unlisted Options (£0.021, 25 July 2016)
952,381         Unlisted Options (£0.021, 29 July 2016)
6,714,284       Unlisted Options (£0.021, 31 August 2016)
9,000,000       Unlisted Options (£0.02, 31 August 2016)
3,947,369       Unlisted Options (£0.19, 30 September 2016)
8,666,670       Unlisted Options (£0.18, 30 September 2016)
694,445         Unlisted Options (£0.018, 31 October 2016)
2,205,885       Unlisted Options (£0.017, 31 October 2016)
1,250,000       Unlisted Options (£0.016, 31 October 2016)
17,333,336      Unlisted Options (£0.015, 31 October 2016)
3,000,000       Unlisted Options (£0.015, 30 November 2016)
1,428,571       Unlisted Options (£0.014, 30 November 2016)
3,923,077       Unlisted Options (£0.013, 30 November 2016)
2,000,000       Unlisted Options ($0.0321, 11 December 2016)
4,083,334       Unlisted Options (£0.012, 31 December 2016)
20,545,457      Unlisted Options (£0.011, 31 December 2016)
21,136,365      Unlisted Options (£0.011, 31 January 2017)
6,250,000       Unlisted Options (£0.006, 31 March 2017)
14,583,334      Unlisted Options (£0.006, 30 April 2017)
7,500,000       Unlisted Options (£0.005, 30 April 2017)


           Appendix 5B Summary - Consolidated Statement of Cashflow

                                              Current quarter Year to date
Cash flows related to operating activities                      (6 months)

                                                      $US'000      $US'000
 
1.1     Receipts from product sales and                 6,386       18,379
        related debtors
1.2     Payments for 
        (a) exploration & evaluation                  (1,736)      (3,573)
        (b) development                               (2,455)      (9,157)
        (c) production                                (2,655)      (8,709)
        (d) administration                            (1,681)      (5,005)
1.3     Dividends received                                  -            -
1.4     Interest and other items of a similar
        nature received                                     3            8
1.5     Interest and other costs of finance                 -        (873)
        paid
1.6     Taxes paid/refunded                             (524)          615
1.7     Other (provide details if material)                 -        2,513
 
        Net Operating Cash Flows                      (2,662)      (5,802)
 
        Cash flows related to investing
        activities
1.8     Payment for purchases of:
        (a) prospects                                       -            -
        (b) equity investments                              -            -
        (c) other fixed assets                          (261)        (495)
1.9     Proceeds from sale of:
        (a) prospects                                       -            -
        (b) equity investments                              -            -
        (c) other fixed assets                              -            -
1.10    Loans to other entities                             -        (700)
1.11    Loans repaid by other entities                      -            -
1.12    Other - net cash acquired on
        acquisition of subsidiary                           -            -
 
        Net investing cash flows                        (261)      (1,195)
1.13    Total operating and investing cash
        flows (carried forward)                       (2,923)      (6,997)
1.13    Total operating and investing cash
        flows (brought forward)                       (2,923)      (6,997)
 
        Cash flows related to financing
        activities
1.14    Proceeds from issues of shares,                     -        3,557
        options, etc.
1.15    Proceeds from sale of forfeited                     -            -
        shares
1.16    Proceeds from borrowings                        1,723       14,108
1.17    Repayment of borrowings                             -      (9,193)
1.18    Dividends paid                                      -            -
1.19    Other (provide details if material)                 -            -
        Net financing cash flows                        1,723        8,472
 
        Net increase (decrease) in cash held          (1,200)        1,475
1.20    Cash at beginning of quarter/year to            7,880        5,205
        date
1.21    Exchange rate adjustments to item                   -            -
        1.20
1.22    Cash at end of quarter                         6,680*       6,680*

*This number includes US$3.48m performance bond for Colombia

Yours faithfully
Rory Scott Russell
Chief Executive Officer

Contacts
 
Range Resources Limited            Buchanan (Financial PR - UK)
Rory Scott Russell                 Tim Thompson / Helen Chan
                                   T: [phone]
                                   E: [e-mail]

GMP Securities Europe LLP (Broker) RFC Ambrian Limited (Nominated Advisor)
Rob Collins / Liz Williamson       Samantha Harrison / Trinity McIntyre
T: [phone]            T: [phone] / [phone]

PPR (Financial PR - Australia)     Dahlman Rose & Company (Principal American Liaison)
David Tasker                       OTCQX International Market (U.S.)
T: [phone]               Christopher Weekes / Stephen Nash
E: [e-mail]         T: [phone]


Range Background

Range Resources Limited is a dual listed (ASX:RRS; AIM:RRL) oil &
gas exploration company with oil & gas interests in Trinidad; Puntland,
Somalia; the Republic of Georgia; Guatemala; Texas, USA, and Colombia.

- In Trinidad Range holds a 100% interest in holding companies with
three onshore production licenses and a fully operational drilling subsidiary.
Independently assessed Proved (P1) reserves in place of 17.5 MMBO with 25.2
MMBO of proved, probable and possible (3P) reserves and an additional 81 MMBO
of unrisked prospective resources. Range also has a farm in with Niko
Resources giving it exposure to circa 280,000 acres of prospective onshore and
offshore acreage.

- In the Republic of Georgia, Range holds a 45% farm-in interest in
onshore blocks VIa and VIb, covering approx. 7,000sq.km. The Company is
focussing on a revised development strategy that will focus on low-cost,
shallow appraisal drilling of the contingent resources around the
Tkibuli-Shaori ("Tkibuli") coal deposit, which straddles the central sections
of the Company's two blocks, along with attracting potential farm-in partners
across the license areas given the recent review performed across the
licenses.

- In Puntland, Range holds a 20% working interest in two licenses
encompassing the highly prospective Dharoor and Nugaal valleys. The operator
and 60% interest holder, Horn Petroleum Corp. (TSXV: HRN) has completed two
exploration wells and will continue with a further seismic and well programme.

- Range is earning a 65% (option to move to 75%) interest in highly
prospective licences in the Putumayo Basin in Southern Colombia. Farmâ€in
interest from a number of parties has been received and preparations for the
seismic programme will be initiated subject to further financing becoming
available.

- Range has taken a strategic stake in Citation Resources Limited
(ASX: CTR) and Latin American Resources (LAR) which hold interest in two oil
and gas development and exploration blocks in Guatemala with Canadian NI
51-101 certified proved plus probable (2P) reserves of 2.3 MMBBL (100% basis).
Range has a direct and indirect 32% interest in the Guatemalan Project.

Table of Reserves

Detailed below are the estimated reserves for the Range project
portfolio.

                 Gross Oil Reserves  Range's   Net Attributable
Project           1P     2P     3P   Interest   1P     2P    3P       Operator
Oil & NGL -
mmbbls
Trinidad         17.5   20.2   25.2    100%    17.5   20.2  25.2       Range
Guatemala        0.4    2.3     -      32%     0.1    0.7    -     Latin American
                                                                     Resources
Total Oil &      17.9   22.5   25.2            17.6   20.9  25.2
Liquids
Gas Reserves -
Tcf
Georgia - CBM     -      -     0.6     45%      -      -    0.2   Strait Oil & Gas
Total Gas         -      -     0.6              -      -    0.2
Reserves

With the exception of Guatemala, all of the technical information,
including information in relation to reserves and resources that is contained
in this document has been reviewed internally by the Company's technical
advisor, Mr Mark Patterson. Mr Patterson is a petroleum geologist and
geophysicist who is a suitably qualified person with over 30 years' experience
in assessing hydrocarbon reserves and has reviewed the release and consents to
the inclusion of the technical information.

The reserves estimates for the three Trinidad blocks have been
formulated by Forrest A. Garb & Associates, Inc. (FGA). FGA is an
international petroleum engineering and geologic consulting firm staffed by
experienced engineers and geologists. Collectively FGA staff has more than a
century of worldâ€wide experience. FGA have consented in writing to the
reference to them in this announcement and to the estimates of oil and natural
gas liquids provided. The definitions for oil and gas reserves are in
accordance with SEC Regulation Sâ€X an in accordance with the guidelines of
the Society of Petroleum Engineers ("SPE"). The SPE Reserve definitions can be
found on the SPE website at spe.org.

In granting its consent to the public disclosure of this press
release with respect to the Company's Trinidad operations, Petrotrin makes no
representation or warranty as to the adequacy or accuracy of its contents and
disclaims any liability that may arise because of reliance on it.

The TSX certified 51-101 certified reserves with respect to the
Guatemalan project are as reported by ASX listed Company Citation Resources
(ASX: CTR).

The prospective resource estimates for the two Dharoor Valley
prospects are internal estimates reported by Africa Oil Corp, the operator of
the joint venture, which are based on volumetric and related assessments by
Gaffney, Cline & Associates.

The technical information included in this announcement with
respect to Georgia was prepared by Dr. M. Arif Yukler, COO of SOG Georgia. Dr
Yukler is a geologist who is a suitably qualified person with more than 38
years of experience in the international oil & gas industry, and in assessing
hydrocarbon reserves. Dr Yukler has advised companies and government entities
of all size from small caps to super-majors, as well as state regulatory
authorities on the management of resources and exploration areas. Dr. Yukler
has reviewed the release and consents to the inclusion of the technical
information with respect to Georgia.

SPE Definitions for Proved, Probable, Possible Reserves and
Prospective Resources

Proved Reserves are those quantities of petroleum, which by
analysis of geoscience and engineering data, can be estimated with reasonable
certainty to be commercially recoverable, from a given date forward, from
known reservoirs and under defined economic conditions, operating methods, and
government regulations.

Probable Reserves are those additional Reserves which analysis of
geoscience and engineering data indicate are less likely to be recovered than
Proved Reserves but more certain to be recovered than Possible Reserves.

Possible Reserves are those additional reserves which analysis of
geoscience and engineering data indicate are less likely to be recoverable
than Probable Reserves.

1P refers to Proved Reserves, 2P refers to Proved plus Probable
Reserves and 3P refers to Proved plus Probable plus Possible Reserves.

Prospective Resources are those quantities of petroleum estimated,
as of a given date, to be potentially recoverable from undiscovered
accumulations by application of future development projects. Prospective
Resources have both an associated chance of discovery and a chance of
development. Prospective Resources are further subdivided in accordance with
the level of certainty associated with recoverable estimates assuming their
discovery and development and may be sub-classified based on project maturity.

Contingent Resources are those quantities of hydrocarbons which are
estimated, on a given date, to be potentially recoverable from known
accumulations, but which are not currently considered to be commercially
recoverable.

Undiscovered Oil-In-Place is that quantity of oil which is
estimated, on a given date, to be contained in accumulations yet to be
discovered. The estimated potentially recoverable portion of such
accumulations is classified as Prospective Resources, as defined above.