Analysis of the difference between China Classifications for Petroleum Resources/Reserves 2020, SPE-PRMS 2018 and a China oil company’s overseas oil reserves standard

Abstract

China oil company’s overseas petroleum assets and reserves belong not only to the company itself, but also to resource countries or joint venture companies. The adoption of reserves classification standards needs to meet the needs of different levels and resources / assets management. China Classifications for Petroleum Resources/Reserves (CCPR) divides reserves into three classes: geological, technical recoverable and commercial recoverable reserves, with three categories of proved, probable and possible reserves. The object of CCPR management is the physical volume of petroleum, with geological reserves as the focus of evaluation, and the deterministic method is mainly used for reserves evaluation. Society of Petroleum Engineers - Petroleum Resources Management System (SPE-PRMS) divides the remaining recoverable reserves into reserves and contingent resources based on commercial and sub-commercial. The terms low/best/high forecasts are used to estimate 1P/2P/3P quantities. It takes petroleum assets as the evaluation object, and the determination of evaluation parameters focuses on commercial recoverable reserves and value evaluation. In China oil company’s overseas oil reserves standard (company standard), geological reserves and recoverable reserves are clearly divided into P and C classes, which are subdivided into P1\\P2\\P3 and C1\\C2\\C3 categories. It takes oil reservoirs, traps, wells and company assets as the evaluation object. It not only emphasizes the commercial opportunities, development feasibility, and uncertainty, but also emphasizes the resources attributes of geological reserves, geological characteristics, reservoir parameters, and production performance. When China oil company acquires overseas petroleum resources, geological reserves need to be included in the national reserves statistics to serve the national energy security strategy, resource management and development planning. CCPR need to be adopted; When conducting assets transactions, communicating with resource countries and joint venture partners, SPE-PRMS need to be adopted; When conducting company exploration and development, operation, preparation of development plans, etc., company standard need to be adopted. The adoption of the three reserves standards can generally take into account the needs of the international, national, and company levels, as well as the management of petroleum resources and assets.