Puntland Drilling Update

27 August 2012


The Manager
Company Announcements
Australian Securities Exchange Limited
Level 6, 20 Bridge Street
Sydney NSW 2000


By e-lodgement

PUNTLAND DRILLING UPDATE

Range Resources Limited ("Range" or the "Company") provides the following
update on the Shabeel North well currently being drilled in Puntland, Somalia
by the Company's Joint Venture Operator, Horn Petroleum Corp. (TSXV:HRN).

The Shabeel North well has reached a total depth of 3,945 meters and has
encountered metamorphic basement at a depth of 3,919 meters. The well
penetrated 149 meters of interbedded sands and shales of the Triassic Adigrat
Formation with no oil or gas shows and only minor porosity exhibited on
electric logs. Accordingly, the well is being plugged. As noted in a previous
Puntland drilling update, the Upper Cretaceous Jesomma sands did exhibit
porosity and hydrocarbon shows but produced only fresh water on a drill stem
test. These sands are similar to the Jesomma sands encountered in the
previously drilled Shabeel well in respect of log response and oil and gas
shows. It has therefore been determined that additional testing of these zones
in the previously drilled Shabeel well is also not warranted.

Based on the encouragement provided by the Shabeel wells, the Operator (Horn
Petroleum Corporation) and their partners, Range Resources and Red Emperor,
plan to enter the next exploration period in both the Nugaal and Dharoor Valley
Production Sharing Contracts ("PSC's) which carry a commitment to drill one
well in each block within an additional 3 year term. The current operational
plan would be to contract a seismic crew to acquire additional data in the
Dharoor Valley block and to hold discussions with the Puntland Government to
gain access regarding drill ready prospects in the Nugaal Valley block. The
focus of the Dharoor seismic program will be to delineate new structural
prospects for the upcoming drilling campaign.

Keith Hill, President and CEO of Africa Oil, commented, "While we were
disappointed that we were not able to flow oil from the first two exploration
wells in our Puntland (Somalia) drilling campaign, we remain highly encouraged
that all of the critical elements exist for oil accumulations, namely a working
petroleum system, good quality reservoirs and thick seal rocks. We look forward
to working with the Puntland government to move our exploration project to the
next phase which will likely require us to focus on prospects in different
areas of the basins. One should keep in perspective that it often takes a
number of wells to find commercial hydrocarbons and we plan to continue our
aggressive program to unlock the potential of this highly prospective region."

Peter Landau, Executive Director of Range Resources noted, "All the
participants in the historic two well program in Puntland are disappointed that
we didn't strike a commercial discovery first up. What shouldn't be
underestimated is the achievement by both the Puntland Government and the joint
venture in getting the 2 wells drilled and, more importantly, the continuing
exploration program which should see another 2 wells drilled over the next 12 -
18 months. From a Range perspective, the continued focus on Trinidad production
and development, the exploration programs in Colombia and Georgia, and the
Texas sale process will drive the Company moving forward in the short to the
medium term. We will update shareholders later in the week with numerous
positive developments in Trinidad and look forward to the imminent growth of
our flagship Trinidad Projects both from a daily production and P1 Reserve
perspective."


Yours faithfully


Peter Landau
Executive Director


Contacts

Range Resources Limited
Peter Landau
Tel : [phone]
Em: [e-mail]

PPR (Australia)                            Tavistock Communications (London)
David Tasker                               Ed Portman
Tel: [phone]                     Tel: + 44 (0) 207 920 3150
Em: [e-mail]                Em: [e-mail]

RFC Ambrian Limited (Nominated Advisor)    Old Park Lane Capital (Joint Broker)
Stuart Laing                               Michael Parnes
Tel: [phone]                     Tel: [phone]

Fox-Davies Capital Limited                 GMP Securities Europe LLP (Joint Broker)
Daniel Fox-Davies / Richard Hail           James Pope / Chris Beltgens
Tel: [phone]                  Tel: [phone]


Range Background

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

  * In Trinidad Range recently completed the acquisition of a 100% interest in
    holding companies with three onshore production licenses and fully
    operational drilling subsidiary. Independently assessed Proved (1P)
    reserves in place of 15.4 MMbls with 19.6 MMbls of proved, probable and
    possible (3P) reserves and an additional 20 MMbls (mean) of prospective
    resources.
   
  * In the Republic of Georgia, Range holds a 40% farm-in interest in onshore
    blocks VIa and VIb, covering approx. 7,000sq.km. Range completed a 410km 2D
    seismic program with independent consultants RPS Energy identifying 68
    potential structures containing an estimated 2 billion barrels of
    undiscovered oil-in-place (on a mean 100% basis) with the first
    (Mukhiani-1) of two exploration wells having spudded in July in 2011. 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.
   
  * 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 program 
    over the next 12-18 months.
   
  * Range holds a 25% interest in the initial Smith #1 well and a 20% interest
    in further wells on the North Chapman Ranch project, Texas. The project
    area encompasses approximately 1,680 acres in one of the most prolific oil
    and gas producing trends in the State of Texas. Independently assessed 3P
    reserves in place (on a 100% basis) of 228 Bcf of natural gas, 18 mmbbls of
    oil and 17 mmbbls of natural gas liquids.
   
  * Range holds a 21.75% interest in the East Texas Cotton Valley Prospect in
    Red River County, Texas, USA, where the prospect's project area encompasses
    approximately 1,570 acres encompassing a recent oil discovery. The prospect
    has independently assessed 3P reserves in place (on a 100% basis) of
    3.3mmbbls of oil.
   
  * Range is earning a 65% (option to move to 75%) interest in the highly
    prospective PUT 6 and PUT 7 licences in Putumayo Basin in Southern
    Colombia. The Company will undertake a 350km2 3D seismic program across the
    two licences and drill one well per licence, as well as looking to re-enter
    a previously suspended well that had a significant historical reserve
    estimate.
   
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 consultant, Mr Mark Patterson. Mr Patterson is a
geophysicist who is a suitably qualified person with over 25 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 3 Trinidad blocks and update reserves estimates
for the North Chapman Ranch Project and East Texas Cotton Valley referred above
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 world–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 S–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.

RPS Group is an International Petroleum Consulting Firm with offices worldwide,
who specialise in the evaluation of resources, and have consented to the
information with regards to the Company's Georgian interests in the form and
context that they appear. These estimates were formulated in accordance with
the guidelines of the Society of Petroleum Engineers ("SPE").

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.

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 Contingent Resource estimate for CBM gas at the Tkibuli project is sourced
from the publically available references to a report by Advanced Resources
International's ("ARI") report in 2009: CMM and CBM development in the
Tkibuli-Shaori Region, Georgia. Advanced ResourcesInternational, Inc., 2009.
Prepared for GIG/Saknakhshiri and U.S. Trade and Development Agency.-
.globalmethane.org/documents/toolsres_coal_overview_ch13.pdf. Range's technical
consultants have not yet reviewed the details of ARI's resource estimate and
the reliability of this estimate and its compliance with the SPE reporting
guidelines or other standard is uncertain. Range and its JV partners will be
seeking to confirm this resource estimate, and seek to define reserves, through
its appraisal program and review of historical data during the next 12 months.

Reserve information on the Putumayo 1 Well published by Ecopetrol 1987.

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.


Australia

Ground Floor, 1 Havelock Street, West Perth WA 6005, Australia
t: [phone], f: [phone]
e: [e-mail]

London

Suite 1A, Prince's House, 38 Jermyn Street, London SW1 6DN
t: [phone], f: [phone]
w: www.rangeresources.com.au