Techbits: Defining Unconventional Resources

Abstract

Techbits SPE recently held an Applied Technology Workshop (ATW) on “SPE Petroleum Resources Management Systems (PRMS) Reserves and Resources Definitions–Applicable to Both Unconventional and Conventional Resources?” in Penang, Malaysia. The unprecedented growth in the exploration and production of unconventional resources in North America has sparked widespread interest in the Asia Pacific region. In parallel with the North American shale gas boom, the emergence of several mega coal seam gas to liquefied natural gas projects in Australia has also renewed interest in coalbed methane (CBM) in the region. The differences in reservoir characteristics and producing mechanisms between conventional and unconventional resources have provided technical, developmental, and economic challenges to the industry, with consequential effects on resource assessment. The question therefore arises as to the suitability and applicability of the SPE PRMS to unconventional resources. The workshop attracted 93 participants, representing 13 countries and 23 organizations. The program committee for the workshop consisted of 12 members: Cochairperson: Norhayati Hashim, Petronas David Ahye, Gaffney, Cline and Committee member: Yousef Al-Shobaili, Saudi Aramco Abdolrahim Ataei, Petronas Kamarul Ariffin Buang, ExxonMobil E&P Malaysia Bruce Gunn, RISC Greg Horton, Santos Krit Ngamkamollert, PTT Exploration and Production Douglas Peacock, Gaffney, Cline and Associates Aidil Shabudin, Petronas Mike Reeder, RPS Yang Hua, RIPED, China Session 1: Introduction/ Opening/Keynote Address Hazli Sham Kassim, general manager of resources enhancement at the petroleum management unit of Petronas was the keynote speaker. He spoke about the background of the PRMS and its goal to provide a standardized and consistent approach to assessment of risk and uncertainties related to petroleum reserves and resources. He also recommended that the SPE considers introducing abbreviations for Prospective Resource categories, similar to 1C, 2C, and 3C, and 1P, 2P, and 3P and suggested the abbreviations 1U, 2U, and 3U, as currently used internally by Petronas. Greg Horton, member of the SPE Oil and Gas Reserves Committee (OGRC), then gave an overview of the PRMS and the updated application guidelines document (published November 2011). He also presented an update on what other international professional societies were doing with regard to updating their own guidelines and alignment with the PRMS. Session 2: Characteristics of Unconventional Reservoirs Session 2 provided an introduction and overview of the major types of unconventional reservoirs to ensure a common understanding by all. An overview was provided on CBM, tight gas, and shale gas. The session also included an introduction to the application of the PRMS to unconventional reservoirs.