The brokers added that the non-core elements of Range's wider portfolio represent further divestment opportunities.
"Range will require additional funding in order to commence activities in earnest and this is anticipated with an increase in the company's reserve based lending facility and the proceeds of the sale of its Texas assets when it completes," Old Park Lane analyst Barney Gray said.
Range is earning a 50% interest of Niko's existing interests in the deep and shallow rights covering both onshore (65%) and offshore (80%) areas of the Guayaguayare Block in Trinidad by funding the drilling of two onshore wells and potentially an appraisal well. The first well is expected to spud in early 2014.
The two initial wells, located near Range's Beach Marcelle that has produced over 30 million barrels of oil to date, will test about 22% of the onshore Prospective Resource estimate of 100 million barrels of oil equivalent (MMboe).
The joint venture will also drill a well from an onshore location to target an offshore prospect with further best case Prospective Resources of 33MMboe.
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