Range Resources Corp. (RRC): One Stock to Play the Marcellus Shale

Final thoughts
Range Resources Corp. (NYSE:RRC) displays many of the characteristics I look for in a natural gas producer. Not only does it command a sizable position in a core area of what is arguably the most economical shale gas play in the country, but it also continues to deliver on growth in both production and reserves, while consistently controlling costs.

Moreover, the economics of its asset portfolio, especially in the Marcellus “rich gas” portion, should allow the company to grow its cash flow at a faster rate each year than its projected production growth of 20% to 25% per year. All told, Range is an investment opportunity worthy of strong consideration right now, especially if you believe — as I do — that natural gas prices are heading much higher over the next three to five years.

The article 1 Stock to Play the Marcellus Shale originally appeared on Fool.com and is written by Arjun Sreekumar.

Fool contributor Arjun Sreekumar has no position in any stocks mentioned. The Motley Fool recommends Range Resources and has options on Chesapeake Energy.

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