Range Resources said its proved reserves rose 18% to 685 Bcfe last year, including 486 Bcf of gas and 33 million barrels of oil and gas liquids. Discoveries and extensions added 69 Bcfe, about 90 Bcfe were acquired and upward revisions added 7 Bcfe, bringing the total increase for the year to 166 Bcfe. The increase was offset by 58 Bcfe of production and the sale of 1 Bcfe of reserves. The pretax present value of the company's proved reserves at year-end, based on constant prices and costs and discounted at 10% rose to $1.4 billion, representing a 45% increase during the year. The valuation was based on year-end Nymex prices of $6.19/MMBtu and $32.52/bbl, compared to $4.75/MMBtu and $31.17/bbl a year earlier. The company replaced 286% of production in 2003, including 130% from drilling and revisions and 156% from acquisitions. Excluding the impact of price increases, reserve replacement would have been 271%. Total anticipated finding costs in 2003 averaged $1.26/Mcfe.
Swift Energy said its year-end proved reserves increased 9.5% to 820 Bcfe compared to 749 Bcfe in 2002. The company reported a reserves replacement rate of 233% at a finding and development cost of $1.23/Mcf with total capital expenditures in 2003 of $151 million. Swift's production increased 7% to 53.2 Bcfe in 2003 (33.8 Bcfe domestic, 19.4 Bcfe in New Zealand), compared to 49.8 Bcfe in 2002 (34.3 Bcfe domestic, 15.5 Bcfe in New Zealand). Swift's domestic proved reserves increased by nearly 9% to 644 Bcfe with a reserves replacement of 250% of 2003 domestic production at a F&D cost of $1.40 per Mcfe. Swift's proved reserves in the Lake Washington area in Plaquemines Parish, LA, increased 37% to 260 Bcfe, the largest increase in any of Swift Energy's core properties and the focus of the majority of the company's 2003 capital expenditures, which were $97 million in the area last year. Swift currently plans to spend $130 to $150 million in 2004, with 80% of the budget targeted for domestic activities, primarily in the Lake Washington area, and with about 20% planned for activities in New Zealand.
North Coast Energy announced today the successful completion of the cash tender offer by EXCO Resources Inc. for all of the outstanding shares of common stock of North Coast at a price of $10.75 per share, or about $164 million. EXCO Resources intends to acquire the remaining shares of North Coast Energy common stock in a second-step merger in which all remaining North Coast Energy stockholders who did not tender their shares in the tender offer will receive the same $10.75 per share in cash paid in the tender offer. Because EXCO Resources acquired more than 90% of the outstanding North Coast Energy shares, the merger will be completed without a stockholder vote in the next several days. EXCO is a privately-held oil and gas acquisition, exploitation, development and production company headquartered in Dallas. North Coast is a publicly traded independent exploration and production company headquartered in Twinsburg, OH. The company's primary focus is the Appalachian Basin.
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