Lomak Petroleum and Domain Energy completed their merger andformation of a new company called Range Resources, which will havea 1 Tcf reserve base and $1 billion in total assets. The reservesare 72% natural gas with daily production at 9,248 b/d of oil andliquids and 161 MMcf/d of gas.

“Based on total assets, Range is among the 20 largest publiclytraded independent oil and gas companies in the United States,”noted Range President and CEO John H. Pinkerton. The mergercombines an inventory of more than 1,700 development projects inthe Permian Basin, Gulf Coast, Appalachia and Midcontinent with ahigh-impact exploration program. This program, the product of morethan two years of geoscience, engineering and leasing, isapproaching fruition, as several projects reach the drilling stageover the next 12 months.

“The merger affords stockholders an interest in a larger, morediverse asset base with substantial exploitation and explorationpotential,” said Range’s COO Michael V. Ronca. “Range’s high marginproperty base provides the foundation for future growth.”

Range will be headquartered in Fort Worth, with offices inHouston, Oklahoma City and Hartville, Ohio. Pursuant to the mergeragreement, Domain stockholders received 1.2083 shares of Rangecommon stock for each Domain share they held. Lomak stockholderswill not be required to exchange their stock certificates.Effective with the merger, Range now has approximately 36 millionshares outstanding.

Southwest Securities restated Lomak Petroleum’s accumulaterating on Tuesday, viewing the combination as a positive for bothcompanies. Lomak’s shares traded flat at $7.75/share. Domain shareprices rose $0.44 to $9.31 Tuesday.

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