Updated United Nations Framework Classification for reserves and resources of extractive industries

The United Nations have studied how the oil and gas resource classification developed jointly by the SPE, the World Petroleum Congress (WPC) and the American Association of Petroleum Geologists (AAPG) could be harmonized with the United Nations Framework Classification (UNFC) for Solid Fuel and Mineral Resources (1). The United Nations has continued to build on this and other works, with support from many relevant international organizations, with the objective of updating the UNFC to apply to the extractive industries. The result is the United Nations Framework Classification for Energy and Mineral Resources (2) that this paper will present. Reserves and resources are categorized with respect to three sets of criteria: ??? Economic and commercial viability ??? Field project status and feasibility ??? The level of geologic knowledge The field project status criteria are readily recognized as the ones highlighted in the SPE/WPC/AAPG classification system of 2000. The geologic criteria absorb the rich traditions that form the primary basis for the Russian classification system, and the ones used to delimit, in part, proved reserves. Economic and commercial criteria facilitate the use of the classification in general, and reflect the commercial considerations used to delimit proved reserves in particular. The classification system will help to develop a common understanding of reserves and resources for all the extractive industries and will assist: ??? International and national resources management to secure supplies; ??? Industries' management of business processes to achieve efficiency in exploration and production; and ??? An appropriate basis for documenting the value of reserves and resources in financial statements.