Following the release of its second-quarter financial results, Range Resources
OK, the firm's cash flow dropped 17% as favorable derivatives dropped away. That's no fun for anyone, but this phenomenon is hitting most producers. We saw the same thing happen over at Encana
Stepping back from the quarterly fluctuations, the big picture for Range looks very good. While gas producers like SandRidge Energy
Then, of course, there's the size of the prize. Range is sitting on more than 20 trillion cubic feet equivalent of potential gas resources in the Marcellus. The firm's 3.1 Tcfe in proved reserves are just the tip of the iceberg. The organic growth potential here is hard to match.
Range is basically where Southwestern Energy
All of this fretting about one quarter's results makes little sense to me. Range's value is locked up in decades of future growth. That growth appears to be available today at an attractive price.