RRC - Earnings call transcript Q1 2024 | Range Resources Corporation

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Operator

Hello. Welcome to the Range Resources First Quarter 2024 Earnings Conference Call. [Operator Instructions] Statements made during this conference call that are not historical facts are forward-looking statements. Statements -- such statements are subject to risks and uncertainties, which could cause actual results to differ materially from those in the forward-looking statements. [Operator Instructions] At this time, I would like to turn the call over to Mr. Investor Range President, Vice Sando, Relations Resources. at Laith go ahead, sir. Please

Laith Sando

today's and operator. Earnings for on Financial Degner, Officer. Good Scucchi, you, and thank Executive Call. are Officer; Chief morning, speakers XXXX Thank Chief Quarter everyone, you Mark Dennis First joining The call Range's

and the our Hopefully, may website. a release reference review call that presentation certain the to had investor we on this We morning. you've press slides chance updated posted on

the Investors XX-Q it our also under can EDGAR Range's You'll or on access tab, website using system. find you SEC's the

Please note, on we'll be call. measures referencing certain today's non-GAAP

Our calculation posted press reconciliations supplemental of and other EBITDAX, to by include these also our comparable on details the that cash website margins, most release provides measures. tables realized non-GAAP We've with GAAP along figures. pricing of product,

let that, With to over turn call me Dennis. the

Dennis Degner

of generating a debt of Thanks, while that of consistent successfully for world-class you joining peer-leading Laith, the our of and allocation balancing executed prudent year. with operating to strategy flow long-term cash this thanks base. free today. was improvements, and first continued earlier to with operational cash the development By and and quarter all shareholders Range's asset call driving with capital flow communicated reduction capital further efficiency free our returns safely

with environment. and flow. objectives. quarter another commodity our low breakeven believe current high-quality the showcased And which resilience feel liquids meaningful key operational in first free navigating consistent, optionality, drove of updates these the should I quarter business, Range's with results advancement reflect and ongoing inventory cash successful line highlighting Range's while financial the Today's

base generating is requirements. capital value long-term Range's, decline, underpinned significant demand. future These large required shareholders, Range by Range a inventory reinvestment talented shallow core and returns and solid Range's team. free is low consistently to intensity sustaining of in rate help view, industry, providing cash This among while result energy and capital Beyond of result costs, meet drilling class-leading is in foundation best key the flow blocky completion quarterly for proposition that low attributes the positioning a the the to

through electrification home economy Bolstering power is is which centers AI manufacturing. our to our and or durability related closer further generation XX% our for of production that exports or serving international increased to contribution, of needed needs and volume. to our Range's Whether for markets, Liquids is over data total profitability domestic

premium an Liquids uplift. realizations quarter revenue to As price seen provided When natural $X together, that relative we revenue to Hub Henry the equating to in of first a uplift Liquids NGL all results, our over prices, with gas of roll pricing.

evidenced among Our low most program, capital XXXX our results as gas intensity producers and lowest free the by the cash natural organic flow, hedging you quarter get first projections. and thoughtful breakeven resilient and

Importantly, have ability vast compound high-quality growth to of to come. decades with flow cash our inventory our the derisked Marcellus for in wells, share we free per

operational Looking X.XX year. This came cadence spend aligns places us the million, detailed our equivalent the squarely Bcf all-in back capital in our $XXX quarter, our per guidance for day. and at of with with on call capital stated previous on capital within production

had wells production to XX,XXX with footprint, laterally has profile well. at liquids-rich an quarter, per moments supporting years of feet in sales operating returned X the providing uplift in the touched the average that our on These ago. XX% the Liquids and many Range During wells exceeding just located revenue portion were highest

well during continued wet dry aided on systems. existing Range's located pads performance are our gathering and by our was the development optimization surface supporting and wells with these production, of footprint, strong minimizing cost-efficient operating driving nimble Production gas operations all Additionally, and approach. of quarter

the and nature repeatable the acreage ongoing position to pad of development. benefit These consistent demonstrate for results quarter-over-quarter our returning of our sites contiguous large

to Turning Range for well of record feet an length that underpins under adding quarter, cost the average horizontal type the per XXXX. laterals Range XX,XXX improved with the and super-spec is performance rigs lateral quarterly during a just for new XX of operated well. operations. X This was expects

For our build will throughout completions, electric that be frac the fleet team utilized onboarded successfully XXXX. new

larger new distribution provides includes to existing electrify and back aids when footprint, operations turbine, is our technologies. smaller The fleet pads continued natural reduce control And fleet operating also operations a which which with power process with The coupled to state-of-the-art moving complements a and emissions. efforts gas-fired production.

has of excellent. been far new Performance fleet the thus

during per day records third-party just XXX% water, the XX% same operations water number our water evidenced a time as the efficient was versus of increase As set logistics, operations. recycled support Supporting program incremental a the in and to by ago. completions the the year produced completed the with while quarter first performance taking stages team new of Range's further period

we and we all electric continue the completions run of half the of will on into Looking timing X activity horizontal pushed turn-in-line further the the have for XXXX, of our and back the TILs rigs, for deeper X at to window fleet refined activity our year. levels of but have remainder dry

Despite year, relative wells a the advantaged annual months based are on liquids X expected gas when natural current first higher forward pushing the to in NGLs these of particularly production our dry with guidance gas slightly later remains the prices. in year, productive cut unchanged

touch I'll moving Before briefly on on to costs. service marketing,

during our drilling such service cost curtail utilization current commodity high high-spec frac prior electric in So relatively as service the seen programs cost the operators or to call. remaining full costs with response of the higher far environment, year fleets especially dry gas for line There basins. XXXX, for to in their top equipment in as drive complete torque we've rigs and region, with ease is in potential

to best to positioned costs the for messaging Lean the Shifting utilized be netbacks portfolio further transportation Similar savings of exceed during dynamic international market offered capture returns, Range domestic while in efficiency set the some softened event, NGL local marketing. highest our Range to quarter. our year, were service and history year. winter's February, and complement our company flexibility in market butane premiums capture In propane the to will capital the program values. that built during This the the to over prices suggested into

per the butane to seen. Northeast Range As overall more exporting markets, some realized gas. barrel, premium corporate a directed to the Belvieu quarter for while Mcfe, was Belvieu In to of over $X.XX to of of Mont total, natural which This $X.XX significant a in our price contributed per U.S. $XX.XX equivalent, Mont production. the NGL premiums the realizations resulted result, vast that propane index the majority highest its we've the

XXX,XXX in Going new per growth propane this next, forward, expect online as propane to continued XX year capacity and we at exports, of consume come another U.S. PDH the day barrels adding facility To the full Mariner extent export Marcus on Hook Coast provide East price transport continue rates. utilization advantaged NGL Gulf export the firm NGL realizations. to continues to Range's capacity tighten, should to units

QX. business uplift, As diverse and the the efficiencies, and of talented to had range current guidance a our resilience contiguous year, per full by acreage is portfolio levels result start team. This like high-quality large the premium. dynamic storage commodity in marketing discount $X.XX Despite is and barrel is Range's per index gas NGL a the year $X.XX its strong quarters natural on this of of barrel underpinned Mont the for position, full improving to differential display current to Belvieu we've to backdrop, operational NGLs

future gas cash free the NGLs believe team strong, flow. Range is of We focused the remains natural and and on generating

large across and overall repeatable our efficiencies our performance advancing delivering contiguous well While inventory.

I'll now turn Mark financials. it to to discuss the over

Mark Scucchi

consistently has kicked and cash Thanks, for Dennis. In Range its and the Range's promising off objective a XXXX, to of flow stakeholders. will is what first be most safely expect we X months fundamental year. generate disciplined

our seen XXXX, cash Range operations. maintaining to dividends, healthy generate thoughtfully prices ability reduce early reinvest commodity debt, Despite in to the continues pay while flow, free in

an As long-term maintain demand our plan to Range for adapt to growth and business and eventual mentioned international domestic prices last during positioning resulting has also while this year, customers. our increases call, near-term production economics, commodity as steady from efficient

of basin mix near portfolio. downstream, has demand reliable strength farther of and infrastructure supplier. transportation a the the Results Range remain first highlight production in cost incremental to long-term the energy inventory structure, As materializes and and Range's basin, quarter

of realized $X.XX Range production Henry NYMEX mix Hub before a was diversified hedging Including above Mcfe. of outlooks. unit NYMEX byproduct $X.XX per hedges, our sales per prices, price in Realized production and

quarter production $XXX margins unit cash were cash margin, of First capital in resulting of per $X.XX, working healthy flow million. XX% a approximately before

executed budget. team a quarter compensation. Cash successful dividends on with capital reduction in cash on for million, investment Financial delivering million production operations flow of the million shares and million, safe, on withheld rely in net debt for of efficient along quarter, common paid for taxes $XX and $XXX roughly planned of Range $XX $XXX equity results funded the another

for the efficiency, announced others As marketing meaningful differs a industry we reminder, cycle of with paired low full XXXX advantaged costs, margin slightly the options, prices. lateral generates from has our and production attractive low-cost at capital capital current other plan bit, reductions our extending Meaning commodity options cost the water like among on provide facilities that redeploy infrastructure into how Range drill alternatives. or we durable land, in

hedging balance long-term cash allocation. additional forecasted consistent, around seek efficient capital that in sheet participate while flow while creating protecting market to increasing constructed and improved program, we the near-term With confidence operations, a in thoughtfully support optionality dynamics,

a to of through XXXX, the do company that well, approximately floor price hedged market Range's in Range providing the so Range with hedging average consistently cash approximately an future. stable philosophy continue And and of free has with flow we floor price generate $X.XX, has XXXX results XX% base produced to will an average in hedged served $X.XX. Presently, expect XX% natural cycles. gas successful of have

to morning those share and thing. Our generating When a is well we in well-understood discovery the Range deliver rapid on sound the to a drilled the has value plans. start-up for a transitioned decade manner phase good a familiar, goals that speaking. a growth business corporate of massive comments a over a to We this asset. may successful commissioning Marcellus our years and from at to from intend

and balance options What data electric form still international evolution our the particularly the in less are centers for a targeted domestic industry, developing The of plants, ahead is appreciated well-known EV and generation. levels. given U.S. debt reindustrialization, Range attractive, customers. manufacturing, it for perhaps with the linking opportunities within semiconductor be are LNG battery the sheet is

modest financial we delivering believe what across paired sales to business core and comes With believe Range's executed this underpinned inventory on optionality internationally. is production to plan portfolio, we largest as transport by share demand a strong the the year, with exposure All a participate per foundation. Appalachia Range creating and valuable U.S. inventory, be continues growing is in to in that investment online. it future

and can will assets We to value have price cycles succeed the team, deliver and sheet significant we continue to business through the believe investors. balance and to Range

Dennis, you. back to

Dennis Degner

Thanks, Mark.

to high-quality company best the program having I a translated solid XXXX results cycles. these And that showcase is place Our a communicated in inventory flow history, off into types derisked Range's through a of in start. cash today believe the first free in that measured capable generating decades and business of businesses quarter

With that, line the let's questions. open for

Operator

first the Michael with Our of Instructions] line from Scialla question [Operator comes Stephens.

Michael Scialla

you mentioned strong international domestic propane and Dennis, butane markets. the

like So I longer dynamics on is the to you on markets markets 'XX really haven't NGL those you realization I term? term, any views those heard and know caused there 'XX beyond longer the raise and have gas period. are guidance? for Do seasonal visibility but on more your everybody bullish than

Dennis Degner

dive of a take topic. take have starting look morning, a and him to then Good maybe of here Yes. this to kind off step at bit with morning, kind us a on Engberg and of back we to high I'll so I'll hand Alan and this deeper level, a Michael.

of when stack think, look effects and I you waterboard, can of the several we we've different years, always see some on itself. and them our we why way that's or those into components domestic our put tend a fluctuations. had the associated if we with options at NGL the here propane see and export just one flexibility And back But on seasonal the look reasons both that sales the past transportation where on to webbed basis butane we've leave barrels also we and the

at getting looked But gasoline no look for into propane, a levels renormalized like back half last a and then in year what back that this how different of getting of driver we normalized have. both blending the them. something was the The past more at doubt doubt back place QX, presence for to we a a pricing no was and step big we season, played stock role in as take the of felt we did and winter more

hand to over to additional can going color. Alan it he add I'm some though, and

Alan Engberg

Alan what got the was supply, of guess, I Yes. guess, see or part also Michael, end we're could now I forward. of at the around of your right question at days winter And March days. where we say on coming of we've this end around of is here. propane, I XX as

the XX% under that's about average. X-year So

Pricing. compares just and to We which at quarter, $X.XX to first market saw quarter, that that price accrued. XX% improve and was gallon per during on $X.XX the per and XX% fourth gallon accrued, average the went

PDH down forward stream are XX% over XXX day that internationally. new units PDH utilizations years, year, to still and we though, new this X growth that's XX% year. of on. year LPG XXXX, on next tremendous Going crackers, new next this demand, so taking the see XX to In That's that demand come through coming res/com going that's it's

conservative So a we pretty it's estimate. think

Overall, stance, it's XXXX. that weekly we we about and far supply so matches if this at EIA X%, the supply U.S. saw year, up that the look growth in

relatively it's with. a number to So decent work

they're saw though, kind Internationally, really isn't growth. there lot of of a supply international like last year, whole we

that In international relative them quarter, a U.S. that strong the what LPG at the a were down X%. 'XX continued as is their going look markets. to going -- exports fact, first be first if forward, you on And, the OPEC there's Plus, during quarter, to supply to call whole, so means

on to it's supply captured U.S. of year. And what year And and means I'm to still in barrels U.S. the supply the next just cut LPG conservatively a 'XX, it -- call than per that's this of that During XXX,XXX day going demand. growth international to going and XX% our XX%, more is.

That to fundamentals be So dock going are that from means pulling premiums get probably inventory. higher. to means that to going we're are going means improve. U.S. That

position production. or exceeds be export to of dock that's any XX% That wet it's good of to has roughly LPG peers. in. capacity And capacity our Range equivalent market our a

with pleased And on tighter, I Coast. the flexibility is available Coast. getting we're the So a to good in we're Gulf U.S. quite give use to very to position us markets continue returns. particularly East our capacity place to that. products Dock the There's more that think capacity the in best

Michael Scialla

assume very want sounds $XXX all Mark, the like market? I that I you the in ask Mark. increased over it quarter advantage above cash maintain cash of down higher cash million. Well, to your the notes have Should quarter to appreciate the the detail. balance do in want we you promising. purchase to for than now opportunities balance you take did a year? to in that past Or to open come you expect balance

Mark Scucchi

a sure you'll on allocate economically think it that notes see given to XXXX is just and quarter. clearly handle we comfortably based high make very we how I fluctuate within we choose priority The handle. very

as at especially it's there the capital our working use those as program, well efficient open discount rates needs, able are month, since in to option. So But chipping most a funding buy our intra to in certainly capital away at those that, market, interest is where are. a compelling to return being just

are return other and There's paying decent quickly redeploying premium bonds buying versus a too holding a some moving in at back, that the quickly some moment. on or areas

think, is That on having capital. to paying said, this an the it way and long that manage of conservative a risk and some But I working off debt. strategy and take is effective short to sheet, at continue the -- appropriate we'll I time our balance guess and cost-effective deleveraging cash prudent

Operator

Donnes line with the from of comes question Truist. next Bertrand And

Bertrand Donnes

year. depressed, dry they these the would in wanted gas to your topic wells move the there liquids target the lease shifting months? lines get Or gas Or a remain in if some with or replaced these something this Is to Just maybe motivation need locations? prices moving into be later XXXX? on would that of brush some to you next of is like where XX turned wells

Dennis Degner

angles. year. wells. -- these are turn-in pushing there lines But a what of of flexibility profitable further, these that signals at set prices the have that we when little various We mean, they think a where more the think for are today, you I time deeper I'll by kind is from the tackle market. of look Yes. I into what them go We in could makes the to even And depending upon bit sense feel like optimized us. ultimately a that's potential see a pushing we lot still

changing is And all coming that our not we'll us as be heard you this back the will guide really remarks, the at. production the for component year. of in just one on Pricing look prepared one on touch

those close keep wells I turn think when want a line. eye on to we'll in

involve, decline be do U.S. to basins. in rate a see production. further dip kind a to We're we in an will count encouraging. we as the We considerations now. materialize down Rig day example. find in seems do some Bcf of of and Well, see stable Haynesville, XXX what that kind starting see below What decline

are a those for the side facilities So on, encouraging late on Golden keep LNG close commissioning of and those next for think timing certainly we'll just with the of eye Pass some the Plaquemines, between aspects result X information facilities. encouraging -- on the I along the

drilled, will kind we which all back wells about would timing But to bring of mix. go. that think the those into as completed the into at and we They'll come be ready play of

be nimble sales, ability relatively -- should those in the turn so improvement be market pricing just a pricing and not production our to nimble stable and And have line improvement, our timing the see ability be to and type put when we timing that to to to in basis. short wells spot

Bertrand Donnes

any cost Or this I reductions these a track service think some side. more Are group? seeing the I a you're by gas the heard activity function there? lower the market of gas Just so share reductions then potential companies? And a the is seeing with is this out cuts on Or push of -- service by by prices? color. grab maybe That's anything great some you mention you patterns

Dennis Degner

Good Yes. question.

probably prices this different a little past. months prices costs cycles last service XX than of service even you've commodity peer touch maybe today, prior the on through down, service up, feel in But commodity think heard they the I adjustments cost out. me have cost and up, somewhat

under relatively you're still utilization. mean And high super-spec utilization, I a fleets, at high of of say, at seeing, electric that level by is baked-in a level In of let's have part what of our some But frac optionality just secured a rigs case, are contract, a imagine, that and we there's that that. is so some the year. of that as we as ultimately, you'd for

they that -- in conversations starting what will see are end like, to service do to response your we're We activity look starting have what have that. will then of some to costs do around levels

with So respective maybe we to relief some year consumables we items it's like the very some in associated to that last see some relief, and well start saw see but other early.

we And year basins. the they'll of poor get materialize likely, those returns type you would if that start most let's half relief back see the in there cost as programs of that's start shuttered expect close activity see or you say, just variables further are service high-cost -- reach for other some because to their to

down. leading -- service in cost capturing opportunity those the be So wherever on but Appalachia, year, like we come if again, to it's they edge our of particularly further for equation lands early, costs industry the this the and we

Operator

of the with line Citi. comes Diamond question next Paul Our from

Paul Diamond

XX% conditions should or about just that quick Or guys is current function You on to expectations, have how thinking so? market up of right that -- a level I next year, I for where touch hedging? thinking more are If hedged months to you be? or for wanted locked XX% were base 'XX this X of given next. real about and

Mark Scucchi

cost. I I'll that about debt calculate comfortable our back the our with today just most principle point we use particularly where Paul, and balance as net basic levels. and we how is is think sheet targeted starting start fixed where a to to cover hedging, we're philosophical approach out figure think The the within

being and to to prudently the commodity, over through the safety of to that effectively While this but be built able to -- to like business, a we're season the to are forth to steady that it weather, the is pure not of preserving in having or the run the efficiently, just weather utilize use cadence, utilize of into the people, we maintenance poor ability the the so shoulder some is repeatability balance better simple contract cycle. the maintain continue a spend capital know equipment company just the they your costs do that and fixed winter commodity that or thing. it And while safely, in sheet we'd technical surprise a safety for business, sort and stability productive efficient a time, fully that other, most and and

cover some hedge costs. financial support foundation those fixed there a book sense makes Having from us to

our that down all a $X.XX course, and us confidence degree that comfort extreme it So of XX% the land going company and Stress provides forward. as for where in at a $X there. gets in backdrop, with think with of can high type financially of uplift, pricing, we low XXXX us to XXXX, NGL that an

or Significant XXXX, just and flip significant the the fundamentals. in hedge that of portion a we The of demand unhedged like because is, online. the side XX% XX% coming

that up As production gas is equation, we natural decline gas trends in U.S. what basins, set both production even compelling the and the are across rates certain rig supply-demand within levels, across XXXX. we and just Marcellus basin-wide for outside the on, producers, really Dennis at declining count shift are we natural deployed various look a touched Marcellus in believe liquids for the

beyond. scenario, we 'XX 'XX, what setup having exposure and positive is a downside risk-reward while look think fundamentals compare we like we the to as production and So having at the that for

protection. play basic continue continues. So the we beyond, 'XX How base of I out that do and think as you in to maintain philosophy nice that

example see that the of course, hedged on percentage good forward. price depends but a going can may what of hedge, is we XX% what you So

Paul Diamond

kind quick into a some you of of portend to said. just stuff And the follow-up Understood.

of about next gassy and gassy does talk on potential you XX, Slide on your number, years on a that call want XX, is the or Is there want the thought you toll consistent? kind to over in Slide where up where process shift to still from shift few any incremental destination the so basins, Or So the going that to that you -- there? X, product? remain of see end locational the on relatively

Dennis Degner

I Yes, options lot have, good to to -- think, Paul, of think long-term a point. it's we I starting your be is optionality consistent, that going us. a think and The transportation that for portfolio have

for And continue participating to and the exposure part so a had past now. being ability that markets to stand say, those there's to us the of in a luxury us in decade the for we've different

So, as differently to future different exposure. an basin other look go like start the inventory capital maybe there to as capacity opportunity exhaustion you you different for producers start by opinion to in see for is see more in conversations think they underutilized allocation material, producers our as about become

Philadelphia already of capacity, the side, expect water exposure we've and on out export that we as think got that call Clearly, good starts in markets that markets. appropriate. Gulf those consistent all be And a to complement respective really and a similar our more the when to on to exposure same is additional ability I get of to the production, would And put also to to point of lot NGL to to both and well. board

Operator

Mizuho. question Kumar line comes of the Nitin with next Our from

Nitin Kumar

the XX. Obviously, like, in demand a expectations assumptions? AI in growth for demand that's are Or incremental to the higher of a difference gas I growth. maybe you topic have adoption conservative more Bcf mentioned some Dennis, is only see from a there just to are a your out you Slide on out others I that of that start about -- day In there. bake on than there? you Obviously, there outlook, want are you AI big ground the expectations. something seeing is making want making

Dennis Degner

been conversations topical the have investors time And future about The demand every has with doubt we more morning. as more we industry. good our no around the and also piece get power internally, these of Yes, these table days.

think on take I development. we conservative outlook. respective -- if very permit probably around standpoint think support, us the range a Bcf a know is a or had a view number, we you to require we some a from that day infrastructure pin going down to, further of a on to conversations conservative I guess, wanted outlook But it's a

lot opportunity. that opportunity to And that you just additional a at there's somewhere That's by X here PJM with gosh, a a think going that nutshell, of to recently look required we going alone, is out between market XX they gigawatts represent when and came forecast look in Bcf at if suggested you at a in power be day alone XXXX. X

to think the further we So conservative. that's When closer the start stay a of frame about similar time in it get down. that's even kind exposure to is that day approximately retired X narrowing that's We'll a us. And again, you in another coal to little Bcf bit to retirements home think going for Northeast.

some other economics-driven. retirement got facilities clearly, be or driven And regulatory either conversations, that facing you've may

really we a there's here. to opportunity think So said, all be key that

Our demand to power that equation. the this us portfolio markets have could several gets diverse AI of exposure and to

our say, you raise cost-effective And of start is, because and start aligns of one aligns closer quality it. centers clearly of development, reliable and I'll with of a equation. to we to a Range the concentration part all say, to confined, starting and does the data concentration place even in manufacturing runway can the even that now think clean -- Does to challenge is of some reliable -- take step I change though the that that like questions It industrialization Virginia, us. of that the that let's just supply this relocate and expansion, we're with of in inventory center long-dated as just center data say, and Mark and reshoring touched the have on, supply, that new which back

Yes. So

can I good is play seen day that bit wide be research as But a think that of clearly there's little the you've part pointing pieces Range to could probably of. several a a conservative estimate. we I really a here. But place. it's think the And one over a all a from today, and Bcf opportunity

Nitin Kumar

My of And to Or option stage? years? Can perhaps acreage? next talk a Perhaps for testing X Great. you -- Pennsylvania. related, your in started in part little acres is have about about is for capital just question bit the asset and plans the second it. area play the some does you this this but peers have talking this you the been closer this at Northwest Midwest any this your is you X, value XXX,XXX-odd

Mark Scucchi

probably the the than our and by -- is Pennsylvania And the activity held the Northwest ago. -- more asset deep production. it's footprint held part a from of legacy years are that of prices our by represents a part prior. is it Yes, That's base latter years

so land. And the with there's an not at-risk component associated

the portion feel the our the the and for we value we've and so Marcellus our going of butter to and like harvest prior, the several and next focus quarter that's on be this of asset years continuing bread And what that to in is of reported base.

like column charged the retain is other still hydrocarbon we that in parts why it's Appalachia. reason basin, a PA the Northwest of stacked part much of But

on taking place what's back and is we'll watching we're watch. acreage sit that, portion a others trend Ohio places and that with in of our like for so And kind of

we to instead and continue the with base so We asset associated harvest to flow part that while needing of the the have our luxury the Marcellus. returns of on of cash prospect doing

Operator

Company. of comes from Jake Our with the next Roberts question & TPH line

Jacob Roberts

agree out Virginia, wanted topic I And curious what back circle growth think you here. think we do just pipelines decade demand to in or with. that basin? the a back AI these your or like you ultimately perception will Just could of you to And Northeast outlook half the of But view we're forecasts? that basin if frame think of getting of looks lot be of your there's and tend out a general built on in

Mark Scucchi

here. in jump I'll So

this so in start of is data to I developed and how sources energy with, power both the think this markets and centers the very and forth. all the has the cadence, early still

Northeast, XX% just forward, XX% if share north and about -- at or right you that and looking of in is to being that some data through assumption closer XXXX. general type think Virginia, market U.S. roll think of Northeast about the U.S. simple think at York, again, where research But home XX% the And center Range, in Ohio, the third-party a make then market. gas New share recent just that markets, for market even

you So demand get Bcfs from X.X anywhere X.X back-sold equivalent of for that, gas if for natural power. you to

PJM, very incremental mentioned as above see we over revised earlier, source and expectations. the baked their already but in Dennis just demand been an of So this that's early upward but is demand compelling of

the a as projects, and couple down plant. Other just grid it and these host from gets production industrial plant And how the whole that well. can reindustrialization the pull be the battery you and of to are are slowing it gas. We to power out from grid distribution there demand back be in of out, Stellantis ultimately be have of bit, in GM the built just a incremental and U.S., operators concept Intel networks in to EV little zoom back a it Ohio of in while and generation in back examples multiple Samsung sales Indiana reshoring to general plants, the which of other EV pulling LG is or Ohio, plant form

that to is proximity think we important. So

Marcellus, Appalachia, of base decline, need and low the that need you foundation clean You competitive. cost it's supply

and can out we we of now that the permitting that construction build and industries, cadence of through So while do give degree making reliable and role confidence what will those the end can't the of on continuing in economic fundamental that decade. a degree play a and be, you we a high confidence other high have speed

Dennis Degner

I'll close one just maybe Jade, on topic quick tack Yes. thing, And this to out.

over I when start probably you a changed well the material in think you know, in-ground as really has supply-demand at past not decade. to storage, the piece, look really way

just lands, or the wide we start in say but further think you storage electrifying do. knows this this range to going it out, us of where as X, as Mark about variability it's Bcf about points what XX imagine X hard -- fully -- so Lower who forward without to in-ground really in now, And to let's not think X even as changing you if is

effective reliable, pipes require clean, what to infrastructure, to to power low-cost, be wires going get basically that's energy And do. able and to we

point, additional to wires you're those and to underserved if break meet And supply at markets. to markets going getting that power down equation without the pipeline critical so the to that starts infrastructure support or

infrastructure opinion. going to in is So play a part our real of this,

Jacob Roberts

out, you more. just color. one want you I the maybe know the appreciate to I as -- topic And close

longer, in this multi-basin a be to more facilities are perhaps case of where compelling does a or half this take the data permitting becomes Is time to lines difficult. back the there decade online? As onshoring more appear, come advantage ultimately operator infrastructure of center

Dennis Degner

regional think when and it's step look, Yes. the that lot going would demand power to some good look where this and be of on, you of back for our a kind base. I touched asset question. of a Mark the say, I at take Really on manufacturing

have the think don't around we I so outlets. have In X got revolved be our deliver to we inventory to type transport We've ago, specifically on LNG the basically driver. has really case, a feel And repeatable advantages to whereas question tied maybe may a exposure the year like LNG. results multi-basin that

and to feel is develops center now like further this Appalachian opportunity regional it's materializes, Range. demand And be grows to like an going data we producer more

Upper that, then So come we the supports and -- it after then to this further feel Utica like later takes decades the Marcellus our developing or and Devonian.

need it in to I great have puts to exposure. So other not position a think us basin

Alan Farquharson

of transportation in outside liquids. The and basin. of join virtually I out basin say the that. would of portfolio on of the Range gas moves effectively a economically is of the our the revenue company. XX% multi-basin north Yes, I'll all that XX% is is

asset just data years. population and concentrated the and sheer of the power actually connectivity going density So Northeast markets. the incremental overlay would we the I have and most business in the the marriage in the to next and that's few for proximity the transport advantage, an say, demand of in itself The best with manifest form efficient production future all that being reasons is of to on, touched the end we to center and infrastructure sources other

or the domestically operational the to transport an driving overlay capture So from have need internationally. risk standpoint, accomplishes other from both the economic the compelling no, and need And feel goals, another perspective, of operational that and think don't an footprint. basins, we mitigation we the in of opportunities

Operator

Our line next from of the question MKM. Leo Mariani with comes ROTH

Leo Mariani

production Wanted rest the of year. start Obviously, you're quarter. the little bit to good the just in for on up first on follow thinking what trajectory a a

XQ little You back. normally of maybe some half. the maybe mentioned then and higher Range stronger. production moving bit tills kind of not second But kind XQ I happening, mean dips a sees in is this

high-level production trying next sense see get quarters? a of the over of Just you trending to handful how

Dennis Degner

You question bet. Leo. Good

you I when when at it maybe to to feel maintenance should year, and numbers that the profile. prior year -- differences this of very similar you'll you look one couple a think this The years type under quarter-over-quarter. really look this see start feel

year. -- clearly, to last one-on-one as talked has that long lateral touched materialize but has long lot somewhat we lateral we've development probably on about us. conversations, And And this prior -- development continued some, for a in

By it the of still a Our our the original some for TIL was feet similar, count year, XX,XXX original horizontal. we average an end plan. footage of up was slightly approaching not had the if turn-in-line XX,XXX took down feet, while plan versus

that shape to and throughout throughout the program starts influence following year. that production All profile,

our to really keep of only saw the system performance, some parts continuing high So of to strong at but QX, also a basically demonstrating laterals sales. of gathering they're They're level turned utilization. well long not we

where where that ratable see potentially a to QX dip say, something actually the little bit in back years year, under production to half then us you So shallowing all frame a in the you've and to QX stronger of year, in have to increase maybe less, going seen you're a prior that this maintenance and time of maybe QX that, QX see is that could see flatter. little a

sense for our performance year, flat on strong of makes X And from at well of look top of kind one that drilling you're with that. very seeing lean the And long the supporting long completion some laterals. when rig this crew you it, programs

Leo Mariani

that's share the helpful No, And Okay. debt it and got robust I maturity free up buyback. touch cash flow the like base, you quarters easily that. done nice months, get a pretty then despite in could coming seems the Obviously, just as you've refinance but haven't sure. over last for XX few balance. cash quite here on much folks to you wanted roughly

target net $X.X at of billion. You're under your kind debt

forward kind debt So about paydown you're about between terms talk maybe kind going of the well? just allocating of buyback how as thinking of in

Mark Scucchi

target It design our the into and certainly have range. program work way we Yes, been flexibility. more a debt has our lot beginning. the an way latitude net have worked very by from We and opportunistic

repurchased And was The $XXX like X we year, X years after, ago, something it year million. $XX million.

shares compensation. I some effectively equity mentioned, in are As to related repurchased cash

decent purchases So that there's some way.

of never your certainly us to is today a choices. to and a where have be situation range, to want We target debt lot repetitive in So been in the options something. since choices. a have refinancing. there's Again, we're debt theme The latitude. point, we we creating again, of That's kind a do

it the be cash deal if to again, in have Certainly, pullback sheet would the in use see the that the simply stock with certainly refinancing, market. as us movements to in frees is, in we the repurchase we to undrawn ability So up we way to evaluate balance price, addition revolver the a apt on put lean I more aggressively. would we more and with

remains In that of plans the going forward. part meantime, certainly our

under right authorization capacity the billion now. ample existing than greater Board $X have We

to for formula. not but make shareholder. on a in But specific be we're is maximize simply a program, idea will locked procyclical it part the this of value-generating an the returns So a not to to execute plan. The exercise again, efficient

Operator

final for our to go questions. Noel TUI Brothers research, now We'll investment Parks with

Noel Parks

of I industry. the in Just seeing you're your about wondered, a what in just things. couple thoughts broad

With prices, little conservative the people spending a being bit overall. probably lower in more

seen control? any wondering your you've maybe as has it to people's other As you what you're in do far shifts as non-operator and attention seeing as if partners been or Just continue work as to peers, that? if continuing that's think from far on what emissions

Dennis Degner

changed for you to call. I course maintain Range, we the over an philosophically, continued transitioned we has not to, for moving we've years traditional example, just away charted the technology. a management -- installations new Yes. say, basically and joining conveyors not year, I'll last using pneumatic facility -- from time, in this as we're modern few appreciate controllers Emissions and that a getting has ago. At same we're

using operational where got We've now well. So program, looking sites transitioned time, that's in field making something the retrofit as economic an going we've again, nitrogen. air we're example that's also conveyed to it that with, back run making design at our also and as more other overall a gone and to supporting both upgrades approach. best field Coupling the sure and those

front. So in got data robust beta of we've just of leak program and test a And X ever. it ground just the on at level that using and as as analyzing those we're where We still year, MIQ process. we'll our a even well top-down say, is at, inspection year. process complements survey, that looked X how times examples, has changed certification last as remains a our LDAR detection nothing but program

a still missions focused we're in responsible further remaining way. So Range tangibly an economic perspective, from and on certainly, reducing

Noel Parks

looking longer are ahead term. issues Great. be pretty outlook, hear for trying the of constructive? there? you steel, Or survey. horizon that results seeing cross interested And about The for on particular, any materials, for about still Is I'll that to looking the just in second. thinking to a the

Dennis Degner

service Noel, are to you costs? speaking specifically

Noel Parks

it's steel, materials specifically I think about overall.

Dennis Degner

quite Sorry didn't I about that. hear that.

good half saw last tubular program we heard us a significant procured you've a to cost have through year. of year's positive so. some strategy, before, back a this last for seen the from our portion softening So do probably when we year, similar needs in perspective, for tubular a talk we but about And window goods us that of

as a But upon year. would to relief activity, see start you tubular good get see inventories this expect, fluctuations they've prices. based I some some in rig seen could have we further renormalized But place where you to

Operator

remarks. today's and to I the call session. for now closing Ladies to this over you. turn Degner question-and-answer concludes like Thank back gentlemen, would Mr.

Dennis Degner

to for like just QX our everyone joining thank I'd us call. morning on this

team. Relations on follow-up you to seeing questions, to any have Thank the don't look next hesitate to you our out We If call. you. reach forward Investor

Operator

participation Thank today's your conference. you for in

You may disconnect. now

Range Resources (RRC) 24 Apr 242024 Q1 Earnings call transcript