Passive synthetic aperture radar (SAR) using Global Navigation Satellite System (GNSS) signals as the illuminators of opportunity has a relative coarse range resolution due to the narrow bandwidth of the navigation signals and the bi-static acquisition geometry, limiting its application for high-resolution requirement. In this paper, an image formation algorithm for range resolution improvement is investigated. A modified second order differentiation based method is applied on the range compressed signal of reference channel and surveillance channel, improving range resolution and keeping side-lobes at a lower level simultaneously, and the phase of processed signal is preserved by phase multiplication compensation for the following azimuth compression processing. To validate the effectiveness and benefits of the proposed algorithm in terms of range resolution and targets side-lobes, point targets simulation under different situations and real field experiment with strong scatters are conducted and discussed. Compared with the traditional GNSS-based passive SAR imaging algorithm, the results of the proposed method show that the imaging performance can be improved for better range resolution and lower side-lobes, benefitting for better distinguishing nearby targets and recognizing weak targets.