December 31, 2012 reserves include 10.1 MMBoe of proved developed non-producing ("PDNP") reserves, mainly related to wells in the Kaybob COU that have been drilled and are expected to come on-stream once the deep cut facilities expansions are completed. Proved undeveloped ("PUD") reserves totalling 11.3 MMBoe are mainly related to certain of the locations that the Kaybob COU expects to drill over the next year. PDNP and PUD reserves are expected to be reclassified to proved developed producing reserves once the Musreau Deep Cut Facility is substantially complete and the undeveloped locations are drilled.
Future development costs totalling $110 million in respect of estimated costs to complete the Musreau Deep Cut Facility and Smoky Deep Cut Facility were deducted in determining the future net revenue of Paramount's total proved reserves; $56 million of which was deducted from PDNP reserves values and $54 million of which was deducted from PUD reserves values.
Conventional Reserves
The following table summarizes future development costs deducted in the calculation of future net revenue from conventional reserves:
Future Development Costs - Undiscounted --------------------------- Before Tax Wells & Total NPV10(1) Plants Other Total --------------------------------------------- (Mboe) ($MM) ($MM) ($MM) ($MM)Proved Developed Producing 29,501 382 - - -Proved Developed Non-Producing 10,090 72 56 21 77Proved Undeveloped 11,266 2 54 118 172----------------------------------------------------------------------------Total Proved 50,857 456 110 139 249Total Probable 35,985 424 - 158 158----------------------------------------------------------------------------Total Proved and Probable 86,842 880 110 297 407--------------------------------------------------------------------------------------------------------------------------------------------------------(1) The estimated net present values disclosed in this document do not represent fair market value. Revenues and expenditures were calculated based on McDaniel's forecast prices and costs as of January 1, 2013.
Reserves Reconciliation
Proved Reserves(1) --------------------------------------- Natural Oil and Gas NGLs(2) Bitumen Total --------------------------------------- (Bcf) (MBbl) (MBbl)(MBoe)(3)----------------------------------------------------------------------------January 1, 2012 162.0 8,673 - 35,666Extensions & discoveries 74.4 9,058 - 21,464Technical revisions (1.3) 3,205 - 2,997Economic factors - - - -Acquisitions 6.9 242 - 1,395Dispositions (4.1) (2,700) - (3,376)Production (36.1) (1,278) - (7,290)----------------------------------------------------------------------------December 31, 2012 201.9 17,202 - 50,857--------------------------------------------------------------------------------------------------------------------------------------------------------(1) Columns and rows may not add due to rounding.(2) Light and medium crude oil and natural gas liquids.(3) Refer to the oil and gas measures and definitions in the Advisories section of this document. Proved and Probable Reserves(1) --------------------------------------- Natural Oil and Gas NGLs(2) Bitumen Total --------------------------------------- (Bcf) (MBbl) (MBbl)(MBoe)(3)----------------------------------------------------------------------------January 1, 2012 244.1 12,333 - 53,015Extensions & discoveries 148.8 21,167 93,091 139,058Technical revisions (31.9) 3,801 - (1,517)Economic factors (4.5) (2) - (749)Acquisitions 9.0 318 - 1,820Dispositions (5.7) (3,450) - (4,406)Production (36.1) (1,278) - (7,290)----------------------------------------------------------------------------December 31, 2012 323.7 32,889 93,091 179,933--------------------------------------------------------------------------------------------------------------------------------------------------------(1) Columns and rows may not add due to rounding.(2) Light and medium crude oil and natural gas liquids.(3) Refer to the oil and gas measures and definitions in the Advisories section of this document.
