Annual Financial Report

30 September 2010

Australian Securities Exchange
Level 4, 20 Bridge Street
SYDNEY NSW 2000

Via e-lodgement

ANNUAL REPORT

Set out below is a summary of the Company's full year annual accounts for the
year ended 30 June 2010 as extracted from the annual report, being:

  * Statement of Comprehensive Income;
   
  * Statement of Financial Position;
   
  * Statement of Changes in Equity; and
   
  * Statement of Cashflow.
   
A copy of the full Annual Report is available on the company's website 
www.rangeresources.com.au and also the Australian Securities Exchange website 
www.asx.com.au (ASX code: RRS).

For and on behalf of the Board

Yours faithfully


Peter Landau
Executive Director

                       STATEMENT OF COMPREHENSIVE INCOME                        
                                                                               
                              FOR THE YEAR ENDED                                
                                                                                
                                 30 JUNE 2010                                   
                                                                                
                                                  Note        Consolidated      
                                                                                
                                                            2010        2009    
                                                                                
                                                              $           $     
                                                                                
Revenue from continuing operations                                              
                                                                                
Revenue from continuing operations                  3        581,102     155,016
                                                                                
Other income                                        3        138,332      27,147
                                                                                
Expenses from continuing operations                                             
                                                                                
Operating costs                                     4      (237,643)           -
                                                                                
Finance costs                                       4       (75,769)     (8,441)
                                                                                
Depreciation expense                                4       (49,407)    (40,964)
                                                                                
Directors fees                                      6      (409,996)   (494,868)
                                                                                
Directors remuneration                              6              -   (324,869)
                                                                                
Directors share based payment                    6 & 26  (1,380,000)    (50,000)
                                                                                
Corporate management services                              (700,000)   (388,000)
                                                                                
Consultants                                              (3,542,487) (1,612,772)
                                                                                
Foreign exchange loss                                      (337,600)           -
                                                                                
Marketing and public relations                             (550,431)   (124,477)
                                                                                
Costs associated with AIM listing                          (181,775)   (152,422)
                                                                                
Travel expenditure                                         (397,377)   (293,447)
                                                                                
Write down of available for sale assets                  (1,097,624) (2,552,750)
                                                                                
Other expenses                                      4      (597,911) (1,522,219)
                                                                                
Loss before income tax expense from continuing           (8,838,586) (7,383,066)
operations                                                                      
                                                                                
Income tax expense                                  5              -           -
                                                                                
Loss after tax from continuing operations                (8,838,586) (7,383,066)
                                                                                
Loss from discontinued operations                   8              - (1,140,132)
                                                                                
Loss for the year attributable to equity holders         (8,838,586) (8,523,198)
of Range Resources Limited                                                      
                                                                                
Other comprehensive income                                                      
                                                                                
Revaluation of available for sale assets                      12,250     835,439
                                                                                
Other comprehensive income for the year, net of               12,250     835,439
tax                                                                             
                                                                                
Total comprehensive loss attributable to equity          (8,826,336) (7,687,759)
holders of Range Resources Limited                                              
                                                                                
Overall operations                                                              
                                                                                
EPS from continuing operations:                                                 
                                                                                
Basic loss per share (cents per share)           9            (1.4)        (3.2)
                                                                                
Diluted loss per share (cents per share)                        n/a          n/a
                                                                                
EPS from discontinued operations:                                               
                                                                                
Basic loss per share (cents per share)           9                -        (0.5)
                                                                                
Diluted loss per share (cents per share)                          -          n/a
                                                                                
The Company's potential ordinary shares were not considered dilutive (refer     
Note 9).                                                                        

                        STATEMENT OF FINANCIAL POSITION                        
                                                                               
                                     AS AT                                     
                                                                               
                                 30 JUNE 2010                                  
                                                                               
                                               Note         Consolidated       
                                                                               
                                                          2010         2009    
                                                                               
                                                           $            $      
                                                                               
ASSETS                                                                         
                                                                               
CURRENT ASSETS                                                                 
                                                                               
Cash and cash equivalents                       10       7,398,470      416,417
                                                                               
Trade and other receivables                     11       2,038,997       42,451
                                                                               
Other current assets                            12         200,000       52,225
                                                                               
TOTAL CURRENT ASSETS                                     9,637,467      511,093
                                                                               
NON-CURRENT ASSETS                                                             
                                                                               
Financial assets available for sale             13         420,147    1,191,689
                                                                               
Property, plant and equipment                   15          24,837       49,779
                                                                               
Exploration & Evaluation Expenditure            16      83,848,855   79,888,841
                                                                               
Development Assets                              17       3,359,401            -
                                                                               
Prepayments for Investments                     18      13,811,660            -
                                                                               
TOTAL NON-CURRENT ASSETS                               101,464,900   81,130,309
                                                                               
TOTAL ASSETS                                           111,102,367   81,641,402
                                                                               
CURRENT LIABILITIES                                                            
                                                                               
Trade and other payables                        19       1,587,397      770,027
                                                                               
Provision                                                    6,211            -
                                                                               
TOTAL LIABILITIES                                        1,593,608      770,027
                                                                               
NET ASSETS                                             109,508,759   80,871,375
                                                                               
EQUITY                                                                         
                                                                               
Contributed equity                              20     137,327,825  104,063,285
                                                                               
Reserves                                        21      16,490,760   12,279,180
                                                                               
Accumulated losses                                    (44,309,826) (35,471,090)
                                                                               
TOTAL EQUITY                                           109,508,759   80,871,375

                        STATEMENTS OF CHANGES IN EQUITY                        

                              FOR THE YEAR ENDED                               

                                 30 JUNE 2010                                  

Consolidated      Note Contributed Share-based   Option    Available  Accumulated     Total   
                         Equity      Payment    Premium    for Sale      Losses      Equity   
                                     Reserve    Reserve   Investment                          
                                                          Revaluation                         
                                                            Reserve                           
                                                                                              
                            $           $          $           $           $            $     
                                                                                              
Balance at 30          101,619,057     931,939 10,918,214   (835,439) (28,347,985)  84,285,786
June 2008                                                                                     
                                                                                              
Revaluation in                   -           -          -     835,439            -     835,439
investments                                                                                   
                                                                                              
Transferred to     21            -   (762,854)  (637,239)           -    1,400,093           -
accumulated                                                                                   
losses                                                                                        
                                                                                              
Loss attributable                -           -          -           -  (8,523,198) (8,523,198)
to members of the                                                                             
company                                                                                       
                                                                                              
Total                            -   (762,854)  (637,239)     835,439  (7,123,105) (7,687,759)
comprehensive                                                                                 
income and                                                                                    
expense for the                                                                               
year                                                                                          
                                                                                              
Transactions with                                                                             
owners in their                                                                               
capacity as                                                                                   
owners:                                                                                       
                                                                                              
Issue of share     20      955,000           -          -           -            -     955,000
capital           (a)                                                                         
                                                                                              
Exercise of        20    1,585,237           -          -           -            -   1,585,237
options           (a)                                                                         
                                                                                              
Issue costs        21     (96,009)           -   (39,351)           -            -   (135,360)
                  (b)                                                                         
                                                                                              
Issue of options   21            -           -  1,569,787           -            -   1,569,787
                  (b)                                                                         
                                                                                              
Cost of                          -     298,684          -           -            -     298,684
share-based                                                                                   
payment                                                                                       
                                                                                              
Balance at 30          104,063,285     467,769 11,811,411           - (35,471,090)  80,871,225
June 2009                                                                                     
                                                                                              
Revaluation in                   -           -          -      12,250            -      12,250
investments                                                                                   
                                                                                              
Loss attributable                -           -          -           -  (8,838,586) (8,838,586)
to members of the                                                                             
company                                                                                       
                                                                                              
Total                            -           -          -      12,250  (8,838,586) (8,826,336)
comprehensive                                                                                 
income and                                                                                    
expense for the                                                                               
year                                                                                          
                                                                                              
Transactions with                                                                             
owners in their                                                                               
capacity as                                                                                   
owners:                                                                                       
                                                                                              
Issue of share     20   34,904,421           -          -           -            -  34,904,421
capital           (a)                                                                         
                                                                                              
Exercise of        20      380,032           -          -           -            -     380,032
options           (a)                                                                         
                                                                                              
Issue costs        20  (2,019,913)           -          -           -            - (2,019,913)
                                                                                              
Cost of                          -   4,199,330          -           -            -   4,199,330
share-based                                                                                   
payment                                                                                       
                                                                                              
Balance at 30          137,327,825   4,667,099 11,811,411      12,250 (44,309,826) 109,508,759
June 2010                                                                                     

                            STATEMENT OF CASH FLOWS                            
                                                                               
                                FOR YEAR ENDED                                 
                                                                               
                                 30 JUNE 2010                                  
                                                                               
                                             Note          Consolidated        
                                                                               
                                                        2010          2009     
                                                                               
                                                          $             $      
                                                                               
CASH FLOWS FROM OPERATING ACTIVITIES                                           
                                                                               
Receipts from customers                                   513,678             -
                                                                               
Payments to suppliers and employees                   (4,227,015)   (2,411,819)
                                                                               
Interest received                                          18,407        56,484
                                                                               
Interest & other finance costs                           (72,943)       (2,860)
                                                                               
Net cash outflow from operating activities    25      (3,767,873)   (2,358,195)
                                                                               
CASH FLOWS FROM INVESTING ACTIVITIES                                           
                                                                               
Payment for property, plant & equipment                   (5,842)     (168,420)
                                                                               
Payment for development assets                        (3,371,814)             -
                                                                               
Payment for investments                              (10,282,357)             -
                                                                               
Payments for exploration and evaluation               (3,718,227)   (3,974,922)
assets                                                                         
                                                                               
Loans to external parties                               (193,185)             -
                                                                               
Net cash outflow from investing activities           (17,571,425)   (4,143,342)
                                                                               
CASH FLOWS FROM FINANCING ACTIVITIES                                           
                                                                               
Proceeds from issue of equity                          28,264,974     2,915,955
                                                                               
Payment of equity issue costs                         (1,543,625)     (135,361)
                                                                               
Proceeds from borrowings                                1,600,000             -
                                                                               
Net cash inflow from financing activities              28,321,350     2,780,594
                                                                               
Net increase / (decrease) in cash and cash              6,982,053   (3,720,943)
equivalents                                                                    
                                                                               
Cash and cash equivalents at beginning of                 416,417     4,137,360
financial year                                                                 
                                                                               
Cash and cash equivalents at end of           10        7,398,470       416,417
financial year                                                                 

                                                                              9

ABN 88 002 522 009
Ground Floor, 1 Havelock Street
WEST PERTH WA 6005

Ph: [phone]
Fax: [phone]

[e-mail]