Guidelines for classification of petroleum reserves and potential recovery in Vietnam from October 01, 2024

Guidelines for classification of petroleum reserves and potential recovery in Vietnam from October 01, 2024 (Image from the Internet)

On August 08, 2024, the Minister of Industry and Trade of Vietnam issued Circular 13/2024/TT-BCT on the regulations for the classification and reporting of petroleum resources and reserves.

1. Guidelines for classification of petroleum reserves and potential recovery in Vietnam from October 01, 2024

The classification of petroleum reserves and potential recovery in Vietnam is specifically stipulated in Article 5 Circular 13/2024/TT-BCT as follows:

- Classification of petroleum reserves

petroleum reserves are classified into the verified category (P1), probable category (P2), and possible category (P3).

+ P1 category is the amount of petroleum that can be economically recovered, calculated at a specific time with high reliability, and planned to be exploited under the economic and technical conditions at the time of calculation.

+ P2 category is the amount of petroleum that can be economically recovered, where the 2P reserve (P1 + P2) provides economic efficiency, calculated at a specific time with medium reliability, and planned to be exploited under the economic and technical conditions at the time of calculation.

+ P3 category is the amount of petroleum that can be economically recovered, where the 3P reserve (P1 + P2 + P3) provides economic efficiency, calculated at a specific time with low reliability, and planned to be exploited under the economic and technical conditions at the time of calculation.

- Classification of Potential Recovery

The amount of potentially recoverable petroleum is classified into categories C1, C2, C3 for undeveloped groups, and categories R1, R2 for undiscovered groups. The potential recovery categories C1, C2, C3 are calculated and evaluated with high, medium, and low reliability levels similar to the P1, P2, P3 reserve categories. The R1, R2 categories are calculated, forecast, and evaluated based on the corresponding R1, R2 petroleum resource categories, with the recovery factor taken according to similar principles based on values from adjacent reservoirs, fields, areas, and basins.

2. Boundaries for classification of petroleum resources and reserves in Vietnam

The boundaries for the classification of petroleum resources and reserves in Vietnam are stipulated in Article 6 Circular 13/2024/TT-BCT as follows:

- The boundaries for the classification of petroleum resources and reserves are determined for each reservoir, petroleum interval according to the principle of extrapolation suitable to specific geological conditions as per Appendix II issued with Circular 13/2024/TT-BCT.

- The determination of classification boundaries and distribution of reservoirs, oil, and gas intervals is based on specific documents and grounds. In case of applying similar methods, the contractor must provide original data and explain the feasibility of using such data for the field or reservoir, oil, and gas interval that needs calculation to confirm the appropriateness of the method selection and calculation parameters.

3. Basis for classification of petroleum resources and reserves in Vietnam

- The classification of petroleum resources and reserves is determined based on a combination of evaluating the reliability levels of geological, geophysical, mining technology information; the extractability of the petroleum field; the technical and technological feasibility, and the economic efficiency of the project at the time of preparing the petroleum resources and reserves report.

- The classification of petroleum resources and reserves is regulated in Article 4, Article 5, and Appendices IA, IB, IC issued with Circular 13/2024/TT-BCT.

(According to Article 3 Circular 13/2024/TT-BCT)

See more Circular 13/2024/TT-BCT which comes into effect from October 01, 2024, and replaces Circular 24/2020/TT-BCT of the Minister of Industry and Trade of on the regulations for the classification and reporting of petroleum resources and reserves.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE