Approximately 96% of Perpetual Energy's reserves are natural gas, therefore the company reports reserves in Mcf equivalent (Mcfe). Mcfe may be misleading, particularly if used in isolation. In accordance with National Instrument 51-101, a Mcfe conversion ratio for oil of 1 Bbl:6 Mcf has been used, which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not necessarily represent a value equivalency at the wellhead.
The reserves data provided here summarizes the natural gas reserves of Perepetual Energy and the net present values of future net revenue for these reserves using McDaniel's & Associates forecast prices and costs. The 2009 year-end report suggests a Reserve-to-Production Ratio (RPR), also referred to as, Reserve Life Index (RLI), of 8.8 years (P+P).
The following is a summary of reserves for the assets of Perpetual Energy Inc.
|
|
June 30, 2010 Reserves |
||
| Reserve Category | PERPETUAL(1) (MMcfe) |
Severo(1) (MMcfe) |
Total (MMcfe) |
|
Proved |
|
||
|
Developed producing |
222,570 | 4,308 |
226,878 |
|
Developed non-producing |
8,483 |
412 |
8,895 |
|
Shut-in gas over bitumen reserves |
- |
- |
- |
|
Undeveloped |
33,322 |
- |
33,322 |
|
Total proved |
264,375 | 4,714 |
269,089 |
|
Probable |
|
||
|
Developed producing, developed non-producing and undeveloped |
200,779 |
2,664 |
203,443 |
|
Shut-in gas over bitumen reserves |
45,806 |
- |
|
|
Total probable |
246,585 | 2,664 |
249,249 |
|
Total proved and probable(3) |
510,960 | 7,379 |
518,339 |
|
Trust units outstanding at March 31 (millions) |
|
141.6 |
|
|
Total proved & probable per Trust Unit (Mcfee/Unit) |
|
3.66 |
|
|
Reserve Life Index (2) |
2009 | ||
|
Total proved |
4.8 | ||
| Proved and probable | 8.8 | ||
(1) As evaluated by McDaniel & Associates
(2) Calculated as year-end reserves divided by year-one production estimate as at December 31, 2009 as evaluated by the
independent reserve engineering firm
(3) Includes all acquisition and divestiture activity to June 30, 2010