Range Resources Corporation · NYSE:RRC

Range Resources — Technical Presentation (October 2012)

26 slides from Range Resources's technical presentation, Oct 1, 2012

  1. Slide 1: Green Valley Rd - Methane Investigation

    Green Valley Rd - Methane Investigation Moreland TWP, Lycoming County, PA December 22, 2011 Mike Middlebrook Vice President – Northern Marcellus Shale Division October 1, 2012

  2. Slide 2: Conclusions from Investigation

    Conclusions from Investigation  Harman, Lewis Unit 1H well integrity and hydraulic isolation was confirmed by (a) cement bond log, (b) noise survey, (c) temperature survey, (d) well construction information, and (e) pressure build- up testing.  Methane was detected in area water wells PRIOR to Ran

  3. Slide 3: Area Development Map - Southeastern Lycoming Co, PA

    Area Development Map - Southeastern Lycoming Co, PA Hamilton Harman, Lewis Group Unit 1H Outcrop Water Wells ___ Gas Wells 3

  4. Slide 4: Investigation

    Investigation  Nov. 2010: Pre-drill survey of all properties within 2500' of the Harman well, 19 water wells were sampled and methane was detected in samples from four water wells: Bodle, Feiler 1, Feiler 3, and May (4.02 to 33.91 mg/L).  Jan. 2012: In response to Bodle, Crawley, and Tironie conce

  5. Slide 5: Harman, Lewis 1H Well Integrity

    Harman, Lewis 1H Well Integrity Lycoming County, Pennsylvania John C. McBeath, P.E. Platt, Sparks & Associates Austin, Texas

  6. Slide 6: John C. McBeath, P.E.

    John C. McBeath, P.E. Vice President of Platt, Sparks & Associates Licensed P.E. in Texas, Wyoming, and California Schlumberger 1987 ‐ 1992 in Egypt, Kuwait, Pakistan & Oman More than 20 years experience interpreting bond logs & other evaluation logs

  7. Slide 7: Wellbore Diagram - Harman, Lewis Unit 1H

    Wellbore Diagram - Harman, Lewis Unit 1H

  8. Slide 8: Cement Bond Log VDL

    Cement Bond Log VDL Transmitter 3-ft Receiver >| Gives CBL o 5-ft Receiver —| Gives VDL a q ol : +4 Casing + Bonded Cement Sheath Sonic Pulse Path Formation Receiver Signal Transmitter Firing f Amplitude No Bond EI in {\ A} , Time Good Bond Transit Time Measurement t Amplitude Detection Level Transm

  9. Slide 9: Cement Bond Logs

    Cement Bond Logs \ PLATT, SPARKS & ASSOCIATES, Tuas gtd Eaginnng Fam F402 ti 2200 +

  10. Slide 10: Cement Bond Logs

    Cement Bond Logs Feb 8, 2012 Mar 13, 2012 Attenuated VDL Response

  11. Slide 11: Pressure Build Up Readings

    Pressure Build Up Readings Casing Details Size, Wt and Depth Top of Cement – 80% FW Grade Volume Pumped Gradient Surface: 13‐3/8” 48# H‐40 698’ TVD Surface – 567 sx 242 psi Intermediate: 9‐5/8” 36# J‐55 2039’ TVD Surface – 680 sx 706 psi Production: 5‐1/2” 23# P‐110 6526’ MD Surface – 1200 sx ‐ Buil

  12. Slide 12: Conclusions

    Conclusions • The June 2011 and February 2012 CBLs warranted further investigation. • The March 2012 5000 psi CBL confirmed existence of a micro‐ annulus, as indicated by improved amplitude and bond index readings. • Zones with a Micro‐annulus still provide hydraulic isolation. • There are numerous

  13. Slide 13: Groundwater Sampling and Analysis

    Groundwater Sampling and Analysis December 22, 2011 Mary Curliss Patton Director of Regulatory ‐ Northern Marcellus Shale Division

  14. Slide 14: 2500' Radius Map - Harman, Lewis Unit 1H Well

    2500' Radius Map - Harman, Lewis Unit 1H Well FINKLER 14

  15. Slide 15: Test Results

    Test Results Test Data - Methane Readings Test Data - Methane Readings Test-Property Date Methane mg/L Test-Property Date Methane mg/L DEP-Bodle 1/18/2012 41.20 DEP-Crawley 1/24/2012 72.80 DEP-Bodle 3/08/2012 37.50 DEP-Crawley 7/18/2012 69.40 DEP-Bodle 7/18/2012 44.70 RRA-Crawley 1/30/2012 22.52 RRA

  16. Slide 16: Pre-drill Results Show Methane is Present

    Pre-drill Results Show Methane is Present RRA‐Bodle 80 RRA‐Feiler1 Beginning of Investigation RRA‐Feiler3 Pre-Drill Test Results 70 RRA‐May Major Flood ‐ 9‐01‐11 Frac Start ‐ 6‐18‐11 TD ‐ 3‐12‐11 Frac End ‐ 7‐01‐11 SPUD ‐ 2‐12‐11 RRA‐Hackenberg 60 RRA‐Harman, H SPUD ‐ 2‐12‐11 Methane mg/L 50 TD ‐ 3‐

  17. Slide 17: Post-drill Results Show Methane Fluctuates

    Post-drill Results Show Methane Fluctuates RRA‐Bodle 80 RRA‐Crawley Beginning of Investigation RRA‐Tironie Major Flood – Sept 2011 70 Frac Start ‐ 6‐18‐11 SPUD ‐ 2‐12‐11 TD ‐ 3‐12‐11 Frac End ‐ 7‐01‐11 Pre-Drill Test Results RRA‐Feiler1 60 RRA‐Feiler3 RRA‐May Methane mg/L 50 RRA‐Hackenberg 40 RRA‐Ha

  18. Slide 18: DEP Results Show Methane Fluctuates

    DEP Results Show Methane Fluctuates 80 DEP‐Bodle Major Flood – Sept 2011 70 DEP‐Crawley Frac Start ‐ 6‐18‐11 Frac End ‐ 7‐01‐11 TD ‐ 3‐12‐11 SPUD ‐ 2‐12‐11 DEP‐Tironie 60 SPUD ‐ 2‐12‐11 Methane mg/L 50 TD ‐ 3‐12‐11 40 Frac Start ‐ 6‐18‐11 30 Frac End ‐ 7‐01‐11 20 Major Flood ‐ 9‐01‐11 10 0 4/28/2010

  19. Slide 19: Review of Compositional and Isotopic Data

    Review of Compositional and Isotopic Data Harman, Lewis 1H Well Lycoming County, Pennsylvania Dr. Scott A. Stout, Ph.D., P.G. Senior Consulting Geochemist NEWFIELDS - ENVIRONMENTAL FORENSICS PRACTICE, LLC Rockland, Massachusetts

  20. Slide 20: Gas Fingerprinting

    Gas Fingerprinting 22 groundwater samples from 21 wells and 3 gas samples from the Harman well were collected: • samples submitted to IsoTech for compositional and isotopic analysis • gas concentrations varied in samples • 8 groundwater samples from 7 wells contained sufficient methane for stable is

  21. Slide 21: Hydrocarbon Gas Composition

    Hydrocarbon Gas Composition • Gases from different sources can contain different proportions of methane, ethane, propane, etc. 1.6 0.035 Water Wells Water Wells 1.4 Harman 1H Well Harman 1H 0.030 Harman 1H Well Harman 1H 1.2 Harman 1H - 9 5/8" 0.025 Harman 1H - 9 5/8" Propane Concentration (%) Ethan

  22. Slide 22: Methane Isotope Composition

    Methane Isotope Composition Methane (CH4) from different sources can contain different proportions of light (12C) and heavy (13C) carbon and light (1H) and heavy (2H) hydrogen. Hackenberg -100 (holding tank) -160.0 -150 Harman 1H - 13 3/8" Harman 1H - 9 5/8" -165.0 Harman 1H Microbial Gas May -200 (

  23. Slide 23: Methane Isotope Composition

    Methane Isotope Composition • Overlying strata are gas-bearing and this methane can be distinguished from Marcellus shale gas (Bradford & Susquehanna Co.). • Lycoming Co. also commercially produces gas from Upper Devonian (Shrewsbury Gas Field <10 mi. NW of Harman well). Fig. 6 from Molofsky et al.

  24. Slide 24: Methane Isotope Composition

    Methane Isotope Composition • Overlying strata are gas-bearing and this methane can be distinguished from Marcellus shale gas (Bradford & Susquehanna Co.). • Lycoming Co. also commercially produces gas from Upper Devonian (Shrewsbury Gas Field <10 mi. NW of Harman well). -100 -125 Harman 1H Well Stu

  25. Slide 25: Conclusions

    Conclusions • Studied gases from Harman, Lewis 1H well are distinguishable isotopically and compositionally compared to gases from the area’s groundwater wells. • Range’s Harman, Lewis Unit 1H gas production well is not the source of methane gas in any of the 21 residential water wells studied.

  26. Slide 26: Summary

    Summary Multiple lines of evidence demonstrate Harman, Lewis 1H well gas is not the source of gas in area groundwater: - Integrity of the Harman, Lewis 1H well is confirmed - Methane existed in the area’s groundwater prior to drilling the Harman, Lewis 1H well – Overlying strata contain native gas,

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