Range Resources Corp acquires Memorial Resource Development
Since 2013, Range Resources has been paring down its non-Marcellus assets and increasingly focusing spending on that play. Although the company retains some Mid-Continent acreage, Range is very close to being a pure-play Appalachian shale producer. This merger reverses the trend of asset sales and gives Range a second operational core with access to premium Gulf Coast gas and NGL markets. Although Range has a large inventory of remaining drill locations in the Marcellus, a lack of takeaway options and persistent regional price differentials limit the company's ability to grow within cash flow. The Terryville assets will allow the company to benefit from expected gas price improvements which may not reach the northeast until after 2017.