Lukoil reports yearend proved reserves at 15.4 billion boe

PJSC Lukoil reported yearend 2020 proved hydrocarbon reserves of 15.4 billion boe including 15.385 billion bbl oil and 22.156 tcf gas.

Reserves were estimated based on the commercial life-of-field approach by Miller and Lents.

The proved reserves replacement ratio, excluding the effect of changes in macroeconomic factors used for reserves estimate, totaled 93% in 2020. The company's proved hydrocarbon reserves life is 20 years.

As a result of geological exploration and production drilling conducted in 2020, LUKOIL added 464 million boe equivalent to its proved reserves. The largest contribution was made by the assets in West Siberia, Ural region, Timan-Pechora and Russian sector of the Caspian Sea.

Optimization of development systems and wellwork programs at existing fields, as well as conversion of contingent resources to reserves added 258 million boe to proved reserves.

Proved reserves category includes developed reserves and undeveloped reserves. Of the 15,386 billion boe of proved reserves at yearend 2020, some 9.260 billion were developed and 6.125 billion were undeveloped.

Reserves dynamics was negatively affected by a 34% decrease in annual average oil price used for reserves estimate.