GeoMet Inc., Houston, booked proved reserves at the end of 2008 in remote gas plays in Alabama and British Columbia, the company reported.
Total company proved reserves were 320 bcf, down 8.6% when calculated at $5.71/MMbtu last year vs. $7.46/MMbtu the prior year.
The proved reserves are 100% from unconventional reservoirs, 99% from coalbed methane, and 77% are proved developed.
Consulting engineers also estimated companywide probable reserves at 177 bcf.
GeoMet replaced almost three times its 2008 production. Downward revisions totaled 42 bcf, of which 13 bcf resulted from lower gas prices. The other downward revisions were mainly due to production performance issues in parts of Gurnee CBM field in Alabama.
The company’s 2008 yearend proved reserves are 57% in Gurnee field and 41% in Pond Creek and Lasher fields in West Virginia and Virginia (OGJ Online, Jan. 29, 2009).
The company booked 4 bcf of proved reserves at Peace River, the first commercial CBM project in British Columbia, and consulting engineers estimated a further 22 bcf of probable reserves for the project. GeoMet also booked 2 bcf of proved reserves at Garden City, the first commercial Chattanooga shale project in Alabama (OGJ Online, Jan. 9, 2009).