SPE Audit Standards

Standards Pertaining to the Estimating and Auditing of Oil and Gas Reserves Information Approved by SPE Board in June 2001 Revision as of February 19, 2007 Foreword: The principles and concepts established in the original version of this document in 1977 were well founded given the state of the petroleum industry at that time. However, the industry has now become significantly more diversified and complex through epochal changes in technology, contractual and licensing terms, corporate governance issues, and regulatory reporting and compliance. The original principles remain unchanged in this (proposed) revision, but an attempt has been made to incorporate the enlarged necessity for somewhat more stringent requirements in the expectations and standards imposed on reserves professionals today. The 2007 revision of this document includes those modifications required to incorporate the 2007 SPE/WPC/AAPG/SPEE Reserves and Resources System . This document is the result of an ongoing update process for this and all other vital components of the Petroleum Resources Management System, but it remains limited to those quantities contained within the system that are classified as Reserves. A second objective has been to explain the use of the terms “auditors” and “auditing” as used in this document and to clarify the difference in the same terms as they are used in the financial and accounting professions. ...