UPDATE 1-Range Resources Q1 output up on Marcellus Shale drilling

* Says Q1 production volumes averaged 545.5 mmcfe/day

* Says Q1 production was 16 pct NGLs vs 12 pct Q1 2010

* Says on track to reach production growth (Follows alerts)

April 19 (Reuters) - Natural gas company Range Resources Corp said its first-quarter production increased as the company focused on drilling the liquids-rich portion of the Marcellus Shale play in Pennsylvania and the Midcontinent regions.

The company said production volumes rose 17 percent to 545.5 millions of cubic feet equivalent per day (mmcfe/day).

Production of natural gas liquids (NGLs) for the quarter was 16 percent, compared with 12 percent a year ago, the company said.

Chief Executive John Pinkerton said the company was on track to achieve its production growth target of 10 percent for 2011.

Due to the outstanding performance of its existing wells combined with the initial performance of the newly connected wells, Range's Marcellus production has temporarily outgrown the existing infrastructure, the company said.

In February, the company said it will sell almost all of its Barnett Shale properties to a private company for $900 million. [ID:nL3E7DS2QH]

Shares of the Fort Worth, Texas-based company had closed $52.57 on Monday on the New York Stock Exchange. (Reporting by Mayuresh Tungare in Bangalore; Editing by Prem Udayabhanu)