Rice Energy to Acquire 22,000 Net Acres in Western Greene County

CANONSBURG, Pa., July 7, 2014 /PRNewswire/ -- Rice Energy Inc. RICE today announced that it has signed a definitive purchase and sale agreement to acquire approximately 22,000 net acres and 12 developed Marcellus wells in western Greene County, Pennsylvania, from Chesapeake Appalachia, LLC and its partners for approximately $336 million. We expect to close the transaction in August 2014, subject to customary closing conditions, with an effective date of February 1, 2014.

Acquisition Highlights

• Approximately 22,000 net acres (100% operated, average 95% working interest), representing a 24% increase in our net acreage position as of March 31, 2014
• Approximately 152 net risked locations, representing a 47% increase to our Marcellus inventory of 325 net risked locations as of March 31, 2014
• Current net production of approximately 20 MMcf/d from 7 wells, plus 5 additional wells in various stages of development

Toby Rice, President and Chief Operating Officer, commented, "This transaction is consistent with our strategy of acquiring high-quality shale assets. We are adding a significant number of drilling locations within an area we have been successfully developing since 2009. The acquired assets provide us with a foothold to pursue additional leasehold opportunities and further grow our inventory of low-risk, high-return projects."

Acquisition Financing and Leasehold Update

We intend to fund the acquisition through a combination of cash on hand, borrowings under our revolving credit facility and are evaluating the equity capital markets. We are still on track to achieve our goal of organically adding 30,000 net leasehold acres this year.

About Rice Energy
Rice Energy Inc. is an independent natural gas and oil company engaged in the acquisition, exploration and development of natural gas and oil properties in the Appalachian Basin. For more information, please visit our website at www.riceenergy.com.

Forward Looking Statements
This release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Such forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control. All statements, other than historical facts included in this release, that address activities, events or developments that we expect or anticipate will or may occur in the future are forward-looking statements.  Specifically, expectations regarding the announced transaction, such as the timing of the closing and the number of wells to be drilled on the acquired acreage and the timing thereof, are forward-looking statements. All forward-looking statements speak only as of the date of this release. Although we believe that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements.

We caution you that these forward-looking statements are subject to risks and uncertainties, most of which are difficult to predict and many of which are beyond our control, incident to the exploration for and development, production, gathering and sale of natural gas and oil. These risks include, but are not limited to: commodity price volatility; inflation; lack of availability of drilling and production equipment and services; environmental risks; drilling and other operating risks; regulatory changes; the uncertainty inherent in estimating natural gas reserves and in projecting future rates of production, cash flow and access to capital; and the timing of development expenditures. With respect to the proposed transaction, these risks and uncertainties include, among others, the risk that the conditions to closing may not be satisfied for some or all of the acreage and that the acquired properties. Information concerning these and other factors that may affect our operations, results and performance can be found in our filings with the Securities and Exchange Commission, including our Forms 10-K, 10-Q and 8-K. Consequently, all of the forward-looking statements made in this news release are qualified by these cautionary statements and there can be no assurances that the actual results or developments anticipated by us will be realized, or even if realized, that they will have the expected consequences to or effects on us, our business or operations. We have no intention, and disclaim any obligation, to update or revise any forward-looking statements, whether as a result of new information, future results or otherwise.

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SOURCE Rice Energy Inc.