Definitions

Definitions and general abbreviations.

Bbl (barrel)
Barrel. One barrel =159 liters

GKZ
State Committee on Reserves of the Natural Resource Ministry of Russia

Ticker on First North
”PETRO”

Hydrocarbons
Naturally occurring organic substances composed of hydrogen and carbon. They include crude oil, natural gas and natural gas condensate.

Hydrofracturing
Is a mechanical method used to increase the permeability of the layer.

Jurassic
Geological period, about 208–146 million years before the present, also the name of the geological system (stratigraphy) formed during the Jurassic period.

Licence
A company is granted the right to a concession and is paying the exploration and building costs in return for paying licence fees and royalties on production to the Government.

Net pay
The part of a subterranean oil-bearing layer that produces oil. Often specified in meters.

Oil equivalent
Unit of energy based on the energy content of average crude oil.

Paleozoic
Geological period, about 570–245 million years before the present.

Probable reserves
Unproved reserves which analysis of geological and engineering data suggests are more likely than not to be recoverable. In this context, when probablistic methods are used, there should be at least a 50% probability that the quantities actually recovered will equal or exceed the sum of estimated proved plus probable reserves.

Proven reserves
Proved reserves are those quantities of petroleum which, by analysis of geological and engineering data can be estimated with reasonable certainty to be commercially recoverable, from a given date forward, from known resevoirs and under current economic conditions, operating methods and governmental regulations
Proved reserves can be categorised as developed or undeveloped. If deterministic methods are used, the term reasonable certainty is intended to express a high degree of confidence that the quantities will be recovered. If probablistic methods are used, there should be at least a 90% probability that the quantities actually recovered will equal or exceed the estimates.

Recoverable reserves
An estimate of the quantity of the recoverable reserves of oil which has the current oil company.

Seismic
A method of geophysical prospecting involving the interaction of sound waves and buried rocks.

Transneft
Russian state-owned company that owns Russia’s biggest oil pipeline system (total of about 50,000 km).

_{(Last updated September 19, 2011)}