CORPORATE RESERVES AND RESOURCES SUMMARY
The following tables summarize our 2012 year-end reserves and resources by project area, as well as a comparison of 2011 and 2012 year-end total Company reserves and resources. For 2012, reserves and resources were evaluated by McDaniel for the Kerrobert THAI® project and Kerrobert Trend Lands and by Sproule for the Dawson assets. For our year-end 2011 report, all reserve and resource assessments were conducted by McDaniel.
Company Interest(1) Reserves and Resources(MMbbls)(2) 2012 2011 Kerrobert Kerrobert Trend Total Total THAI® Lands Dawson Company Company(7) ChangeTotal Proved - - 0.7 0.7 - 0.7Proved + Probable (2P) - - 1.2 1.2 3.6 (2.4)Proved + Probable + Possible (3P) (3) 5.4 - 1.7 7.1(6) 8.5(6) (1.4)Best Estimate Contingent Resources(4) - 20.6 58.3 78.9 - 78.9Exploitable Oil/Bitumen Initially in Place(5) 18.7 48.8 436.2(8) 503.7(8) 80.7(8) 423.0(8)(1) "Company Interest" reserves, which represent the Company's working interest share and royalty interest share of reserves before deduction of the Company's royalty obligations.(2) "MMbbls" means million barrels.(3) Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is a 10% probability that the quantities actually recovered will equal or exceed the sum of proved plus probable plus possible reserves. Stand-alone possible reserves have been assigned to our Kerrobert THAI® project as a result of current uneconomic production rates associated with the project. It is our intention to develop such reserves by continuing to operate the project with a view to increasing production to commercial rates.(4) Contingent resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations using established technology or technology under development, but which are not currently considered to be commercially recoverable due to one or more contingencies. See "Resources and Contingent Resources".(5) Represents exploitable oil initially in place at the Kerrobert THAI® project and Kerrobert Trend Lands and exploitable bitumen initially in place at Dawson. Exploitable oil or bitumen initially in place is the estimated discovered volume of oil or bitumen, as applicable, from known accumulations, before any production has been removed, which is contained in a subsurface stratigraphic interval that meets or exceeds certain reservoir characteristics considered necessary for the application of known recovery technologies. The difference between exploitable oil initially in place and 3P reserves at the Kerrobert THAI® project is comprised of approximately 145,000 barrels of production, with the remainder being considered unrecoverable. The difference between exploitable oil or bitumen initially in place and contingent resources or reserves on the remaining properties is considered unrecoverable.(6) This volume is an arithmetic sum of multiple estimates of proved + probable + possible reserves, which statistical principles indicate may be misleading as to volumes actually recovered. Readers should give attention to the estimates of individual classes of proved, probable and possible reserves, and appreciate the differing probabilities of recovery associated with each class, as explained herein and in our annual information form.(7) Does not include May River (sold February 2012) or PetroBakken (distributed to Petrobank shareholders December 2012).(8) For 2012, exploitable bitumen initially in place at Dawson includes Sproule's assessment of resources associated with all of our lands at Dawson. For 2011, exploitable bitumen initially in place at Dawson includes only resources associated with our initial proposed THAI® project area.Net Present Value, Before Tax, Forecast Prices ($ millions)(1) Kerrobert Kerrobert THAI® Trend Lands Dawson Total CompanyTotal Proved - - $4.0 $4.0Proved + Probable (2P) - - $7.9 $7.9Proved + Probable + Possible (3P) $63.0 - $12.6 $75.6Best Estimate Contingent Resources - $71.3 $69.1 $140.4Net Present Value, After Tax, Forecast Prices ($ millions)(1) Kerrobert Kerrobert THAI® Trend Lands Dawson Total CompanyTotal Proved - - $2.3 $2.3Proved + Probable (2P) - - $5.1 $5.1Proved + Probable + Possible (3P) $45.8 - $8.5 $54.3Best Estimate Contingent Resources - $39.6 $23.9 $63.5(1) Kerrobert and Kerrobert Trend Lands based on McDaniel forecast heavy oil netback prices. Dawson based on Sproule forecast heavy oil netback prices. Interest expenses and corporate overhead were not included. Net present values are discounted at 10%. The net present values do not represent the fair market value of the reserves and/or resources.