Chevron Corporation Reports Reserves Replacement Rate Of 138 Percent In 1995
CHEVRON CORPORATION REPORTS RESERVES REPLACEMENT RATE OF 138 PERCENT IN 1995
SAN FRANCISCO, Feb. 8, 1996 -- Chevron Corporation announced today that during 1995 the company replaced 138 percent of its oil and gas production with new proved reserves. The worldwide replacement rate for liquids was 148 percent, and 112 percent for natural gas.
The finalized replacement rate of 138 percent exceeds the previously announced preliminary estimate of 114 percent, mainly due to additional drilling late in the year.
Reflecting the company's emphasis on growth outside the United States -- international production has increased 43 percent since 1989 -- the replacement rate for international operations was 178 percent. U.S. operations replaced 92 percent of production, the highest rate since 1988.
Chevron's successful focus on reservoir management and the application of new technologies, such as three-dimensional seismic studies and extended-reach drilling, have helped identify new reserves.
Over the past six years, Chevron's annual replacement rate of oil and oil-equivalent gas has averaged 104 percent if sales and acquisitions are excluded, and 137 percent if they are included.
Worldwide proved reserves at year-end were 6 billion barrels of oil and equivalent gas (BOE). Total proved reserves additions during 1995 totaled 706 million BOE, with more than 50 percent of these coming from new drilling.
Chevron's Chairman Ken Derr noted, "With our inventory of high-potential prospects around the world -- particularly in West Africa, Australia, and the U.S. Gulf of Mexico -- we believe that Chevron's production and proved reserves will continue to grow in future years."
Updated: February 1996