Reserves are a measure of the quantity of oil or gas that is estimated to be recovered from the assets an oil and gas producer owns. In Canada, we report our reserves on a proved plus probable basis at year end in accordance with National Instrument 51-101 based on evaluations from third party reserve engineers. As at December 31, 2013, we had 406 MMBOE of proved plus probable reserves, about 50% of which were crude oil and liquids. This represents a reserve life index of 10.8 years. Click here to see our reserves growth during the last four years.
We also have a considerable amount of economic contingent resources associated with some of our assets. They are quantities of petroleum that are estimated to be potentially recoverable from known accumulations using established technology or technology under development, but are not commercially recoverable due to certain contingencies, including economic, legal, environmental, political or other factors. If these conditions or contingencies are clarified or removed then contingent resources would be expected to become reserves over time. It is also appropriate to classify estimated discovered recoverable quantities of oil or gas associated with projects in early evaluation stages as contingent resources.
We currently have economic "best estimates" of contingent resources associated with a portion of our crude oil waterflood properties and the Wilrich formation, both in Canada, as well as our Marcellus shale gas assets and our Fort Berthold crude oil assets, both of which are in the U.S. Our total contingent resources assessment is 363 MMBOE:
Economic "Best Estimate"
|Canada Crude Oil (MMbbls)||58.9|
|Canada Natural Gas (Bcfe)||252.6|
|Total Canada (MMBOE)||101.0|
|US Crude Oil & NGLS (MMBOE)||38.5|
|US Natural Gas (Bcf)||1,340.3|
|Total US (MMBOE)||261.9|
|Total Company (MMBOE)||362.9|