Range Resources boosts 4Q earnings to $284 million

Range Resources Corp. boosted earnings during the last quarter of 2014 with a 26 percent increase in production of natural gas and related liquids from the Marcellus shale despite reduced prices that have prompted budget cuts.

The Fort Worth-based company posted a profit of $284 million or $1.68 per share, a big increase from the $28.2 million or 17 cents-per-share profit from the same period a year earlier. Revenue doubled to $872.2 million during the quarter, compared to $428.1 million the year before.

Range, Pennsylvania's No. 3 shale producer, announced in January it would slash its capital spending by 46 percent to $870 million, though it plans to spend nearly all that money in the Marcellus. It still plans to increase gas and liquid production by 20 percent over last year.

“In addition to our strong hedge position, we have (natural gas liquids) projects coming to fruition that have been years in the making, providing us additional marketing opportunities and incremental cash flow,” CEO Jeff Ventura said. That includes deals to ship propane on Sunoco Logistics' new Mariner East pipeline to Marcus Hook that will add $50 million in cash flow this year.

The company last week said it was closing its Oklahoma City office because of low oil prices, which resulted in layoffs for about 60 workers and the transfer of 30 more to Fort Worth.