The photo is sourced from goodreturns.in
Rystad Energy’s assessment includes four categories of gas condensate and oil reserves: proved reserves of the active fields with a production probability over 90% taking into account technical and economic conditions; probable reserves of active fields with a production probability over 50%; possible reserves of the newly discovered fields with a production probability over 10%; and finally, prospective reserves of the unexplored deposits. While the proven reserves of the first category amount to 449 billion barrels, the total of all the four is 1,536 billion barrels.
The top five countries, in terms of recoverable reserves, are Saudi Arabia (247 billion barrels), the United States (156 billion barrels), Russia (143 billion barrels), Canada (122 billion barrels) and Iraq (105 billion barrels). The only country in the world that was able to achieve a significant increase in recoverable reserves was Argentina, where the reserves increased by 4 billion barrels last year due to reassessment of production risk in the Vaca Muerta formation with it geological conditions similar to the largest shale formations in the United States (including the Bakken, Midland and Delaware).
Reduction of the recoverable reserves by more than 700 billion barrels over the last six years is due to decrease in capex in exploratory drilling. The development of electric transportation is making its impact as investors fear that their costs will not be recovered in the long term. According to Rystad Energy’s forecast, global oil production will peak at 108 million barrels per day (bpd) in 2030 and then begin decline gradually. By 2050, supply will fall to 55 million bpd. Rystad Energy estimates that without further transport electrification, the current volume of proven reserves (449 billion barrels) will be insufficient to meet the final demand.
