Proven reserves, also called proved reserves, measured reserves, 1P, and Reserves, are business or political terms regarding fossil fuel energy sources. (see prove: usage). They are defined as a "Quantity of energy sources estimated with reasonable certainty, from the analysis of geologic and engineering data, to be recoverable from well established or known reservoirs with the existing equipment and under the existing operating conditions." These terms relate to common fossil fuel reserves such as oil reserves (see main article), natural gas reserves, or coal reserves.
Operating conditions includes operational break-even price, regulatory and contractual approvals, of which without these items cannot be classified as proven and are usually classified into probable. Price changes therefore can have a large impact on classification of proven reserves. Regulatory and contractual conditions may change, and also affect proven reserves amount.
Read more about Proven Reserves: Numbered Terms, More Terms, Reserve Evaluations, Valuations and Certifications, See Also
Famous quotes containing the words proven and/or reserves:
“The theater is a baffling business, and a shockingly wasteful one when you consider that people who have proven their worth, who have appeared in or been responsible for successful plays, who have given outstanding performances, can still, in the full tide of their energy, be forced, through lack of opportunity, to sit idle season after season, their enthusiasm, their morale, their very talent dwindling to slow gray death. Of finances we will not even speak; it is too sad a tale.”
—Ilka Chase (1905–1978)
“...I want to see a film, they send the Israeli army reserves to escort me! What kind of life is this?”
—Golda Meir (1898–1978)