What is Saudi Aramcos reserves-management strategy?
Saudi Aramco’s current operations encompass 1.5 mm sqkm, comprising 85 fields, 320 reservoirs and 25 % of world oil reserves. Current daily production capability stands at 10 mm barrels of crude oil and 9.6 bn cf of natural gas. The company’s strategy calls for an annual reserves replacement of its crude production through an integrated exploration, delineation and development program. On the gas side, the current targets call for adding reserves of 5 tcf every year. Are Saudi Aramco’s reserves and production declining? Saudi Aramco’s oil and gas reserves conform to industry standards — Society of Petroleum Engineers (SPE), World Petroleum Congress (WPC) and American Association of Petroleum Geologists (AAPG). Reserves attributable to enhanced oil recovery (EOR) processes are excluded, underscoring the conservative nature of the company’s reserves. Year end 2003 proved oil reserves totalled 260 bn barrels. Incremental probable and possible reserves (over and above the 260 bn barrels)
