Mike Shellman's musings on "Cartoon of the Week"

[Tom Kirkman + 8,860]

5 hours ago, Billyjack said:

Having been a practicing petroleum engineer for over 40 years, I had to comment about reserve assessment. There are categories of "proved" reserves-proved producing and proved undeveloped. Accurate assessments of reserves can be made using engineering techniques with producing wells that are not possible on non-producing wells. On producing developed wells there are basically three techniques. 1)Production trends can predict future production-if a well has dropped from 10,000 barrels to 9000 barrels to 8000 barrels it will likely produce 7000 barrels during the next time period. 2) Volumetric techniques are used when cores or well logs are available to calculate oil in place over an estimated drainage area. 3) Material balance techniques which estimate remaining reserves by measuring pressure drops versus accumulated production.      

Thanks for that expanded explanation, Billyjack.

[Outlaw Jackie + 78]

On 8/15/2018 at 11:31 PM, William Edwards said:

(like most industry participants)

My grade school teacher once told me, "Paul, your biggest problem in life will be your over-estimation of other folks intelligence" ... Proven to be very true with the 'new guard' of oil folks.