Petroleum Reserves & Economic Fundamentals       Brochure and Registration Form
This course is an introduction to petroleum reserves, definitions, estimating oil and gas volumes, cash-flow, project economics. Attendees will actually perform exercises calculating reserves using the same methods engineers use. At the end, attendees will also select drilling well prospects on a limited budget. This game separates out the conservative investors from the riverboat gamblers. One of the goals of this class is to illustrate the "moving target" nature of reserves and their valuation. Unlike others, this one really delves into the reserve determination process.
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Mr. Wilson will summarize current issues regarding reserve reporting and will explain the viewpoints of companies and the SEC. Case examples will be presented to illustrate the various opinions as to what can be booked.
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Course Objectives

Understanding oil and gas reservoirs; reserve definitions & examples
Review of  issues with new SEC definitions
Categories: proved, unproved, contingent (PP, PDNP, PUD, Prob, Poss)
Methods used to estimate reserves; Where they work and don't work
   - Analogy, volumetric, P/z, decline curve; special considerations for shale decline analysis
New: Analysis of how public companies fared with 2011 reserve reporting
Gas and Oil reserve calculating exercises showing the "high & low side" of reserves
Production forecasting: Comparison of US and international basins
Checking out reserve reports; SEC reporting; selected company 10-K's
Review of recent reserve write-downs, reasons and implications
More about 3rd party audits, reviews and evaluations
Comparison of SEC & SPE definitions; SOX influences
Material about how the SEC reviews & challenges company reserves
    - SEC issues over shale reserve evaluations
Third party engineers; red flags for over/under-stated reserves
What triggers an SEC reserve investigation
Typical project economic analysis; operating cost considerations
Reversionary interests, back-ins and farmout cash-flow analysis
Reserve replacement, cost of finding, R/P (Reserve Life Index) ratios
Gas and oil price forecasting: art versus science
Decision making methods; project comparison & ranking
Acquisition and divesting trends
Simple lending and financial models
Excel software reserve & economics templates
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About This Course
Included in each course is a 600+page workbook of slides, charts, illustrations, exercises, outlines and articles. Attendees find this book makes a good reference long after taking the class. Also included is a free software disk of Excel templates: "Reserve Generator" forecasting model, volumetric and decline analysis.
A continental breakfast for morning classes plus midmorning and afternoon break with refreshments will be served.
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Prerequisites For This Course
There are no prerequisites for this course.

Continuing Education Credits

Continuing education credits, CPE, CPL., etc., have been granted for our courses by most states. Please call about your particular professional educational credits.

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Brochure and Registration Form