Press releases
State regulation in the sphere of oil and gas reserves accounting
October 1, 2015
Business breakfast on “State regulation of oil and gas reserves accounting” was held as part of the X KAZENERGY Eurasian Forum. The prerequisites for modernization of reserves accounting system in the Russian Federation, state regulation issues, the problems occurred in development and transition to a new system of reserves accounting and others were considered in the course of discussion.
Discussion was attended by Uzakbay Karabalin, First Vice-Minister of the Ministry of Energy of the Republic of Kazakhstan, Georgy Karnaukhov, Vice President of Schlumberger for the CIS countries, Larry P. Connor, Managing Senior Vice President, member of the Board of Directors of “Ryder Scott Company” and Bazarbay Nurabayev, Chairman of the Committee of Geology and Subsoil use of the Ministry of Investments and Development of the Republic of Kazakhstan.
SPE-PRMS (Petroleum Resources Management System) and SEC (US Securities and Exchange Commission) are the internationally recognized systems of reserves accounting.
In order to implement international reserves accounting system in terms of hydrocarbon reserves it is necessary to carry out preliminary study of international experience in application of reserves and resources accounting, including government regulation (monitoring) of the balance of hydrocarbon reserves.
The experience of reserves accounting system modernization in the Russian Federation as the country which is close to the Kazakhstani system was discussed as part of the roundtable.
Plan of the Head of State “100 concrete steps to implement five institutional reforms” in terms of industrialization and economic growth provides the introduction of international systems of mineral reserves accounting.
It is also reflected in the Strategy “Kazakhstan-2050”: a new policy of the established state”, where the task of efficient management of natural resources is set.
Under the current economic and political conditions there is a number of prerequisites that need revising the current system of reserves accounting, namely:
- Improvement of the investment climate while exploration and production of hydrocarbons;
- Planning of state strategies and economic policies;
- Lack of a clear reflection of the status of state balance reserves, which may actually be produced in the current economic conditions;
- Placement of oil and gas companies’ securities on international stock exchanges and credits in the international (foreign) banks.
More information about the Forum program can be found here: http://kazenergyforum.com