SPE Economics & Management
Volume 4, Number 2, April 2012, pp. 119-127

SPE-134602-PA

Using the SPE/WPC/AAPG/SPEE/SEG PRMS To Evaluate Unconventional Resources

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DOI  More information 10.2118/134602-PA http://dx.doi.org/10.2118/134602-PA

Citation

  • Chan, P., Etherington, J.R., and Aguilera, R. 2012. Using the SPE/WPC/AAPG/SPEE/SEG PRMS To Evaluate Unconventional Resources. SPE Econ & Mgmt  4 (2): 119-127. SPE-134602-PA. http://dx.doi.org/10.2118/134602-PA.

Discipline Categories

  • 3.1 Asset and Portfolio Management

Keywords

  • PRMS, Unconventional resources, Barnette shale, Utica Shale, Tight gas

Summary

It is the intention of the SPE/World Petroleum Council (WPC)/American Association of Petroleum Geologists (AAPG)/ Society of Petroleum Evaluation Engineers (SPEE)/ Society of Exploration Geophysicists (SEG) Petroleum Resources Management System (PRMS) to provide a consistent approach to estimating petroleum quantities, evaluating development projects, and presenting results within a comprehensive classification framework. The reserves and resources definitions and application guidelines are designed to be applicable to both conventional and unconventional petroleum accumulations, regardless of their in-place characteristics, the extraction method applied, or the degree of processing required to yield a marketable product.

The fact that unconventional resources are usually pervasive throughout a large area and are not significantly affected by hydrodynamic influences may require different approaches in evaluation. Assessments may include an increased sampling density to define uncertainty of in-place volumes and the variations in quality of reservoir and of hydrocarbons and their detailed spatial distribution for the design of specialized extraction methods.

This paper summarizes the special problems in the estimation and evaluation of shale gas. However, similar procedures can be used for other unconventional resources. The material is largely drawn from the soon to be published SPE Application Guidelines to the PRMS, supplemented with illustrations from actual field examples.

The rapidly advancing exploitation of unconventional resources has opened up many development opportunities, especially in North America. Shale gas and bitumen have already caused major impact on energy supply. We anticipate these opportunities will expand rapidly throughout the world. Achieving a better understanding of the special problems in unconventional-resources evaluation will help us build on PRMS to develop a more consistent approach to classification and categorization, accounting for unique project risks and uncertainties.

© 2012. Society of Petroleum Engineers

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History

  • Original manuscript received: 29 June 2010
  • Meeting paper published: 21 September 2010
  • Revised manuscript received: 4 October 2011
  • Manuscript approved: 28 December 2011
  • Published online: 24 April 2012
  • Version of record: 24 April 2012