1. Proven Oil Reserves:
Proven oil reserves are the estimated volumes of oil that have been discovered and can be economically extracted with existing technology and prevailing economic conditions. These reserves are well-defined and have a high degree of certainty in terms of their size and recoverability.
2. Probable Oil Reserves:
Probable oil reserves are estimated volumes of oil that are less certain than proven reserves but have a good chance of being recovered. These reserves may require further exploration and development efforts to fully assess their potential, but they are considered to be likely to exist and economically viable.
3. Possible Oil Reserves:
Possible oil reserves are estimated volumes of oil that are more speculative and less certain than either proven or probable reserves. These reserves are often associated with unexplored areas or formations with limited data, and their existence and recoverability are less well-established. Possible reserves have a lower likelihood of being developed and produced compared to proven and probable reserves.
It's important to note that these classifications are subject to change over time as new information and technologies emerge. Oil reserves can be reassessed and reclassified based on geological data, advances in extraction techniques, and changes in economic conditions. The accuracy and reliability of reserve estimates are critical for planning, investment decisions, and policy-making in the oil and gas industry.