Competent Person's Reports
A Competent Person’s Report (CPR) requires a general description of the petroleum history of a region and general discussion of regional/basin geology and evident petroleum systems. CPRs include comprehensive documentation, highly detailed interpretive data based on grass-roots multidisciplinary studies, geological and engineering descriptions and analyses with supporting geology maps, tabular information at the well level, individual well logs, in-depth analysis and graphs.
Ryder Scott builds its CPRs one data point at a time, making only a few reasonable assumptions and checking all key parameters that are material to the reserves quantities. The detailed, in-depth information and format are designed to assist clients in reviewing specifics necessary to analyze the conclusions of our reports. Most importantly, the report is the major tool to assist clients in making informed decisions involving, in some cases, billions of dollars in invested capital.
Most market regulators require a Competent Person to have the following qualifications:
- Be a professionally qualified and a member in good standing of an appropriate recognized professional association.
- Possess at least five years' relevant experience in the estimation, assessment and evaluation of the type of mineral or fluid deposit under consideration. Years of experience is set to increase to 10 years.
- Be independent of the applicant, its directors, senior management and advisers.
- Not be remunerated by way of a fee that is linked to the admission or value of the applicant.
- Not be a sole practitioner.
The credentials of Ryder Scott personnel far exceed the minimum qualifications of a Competent Person under regulatory requirements. Our professionals have an average of 20 years of relevant experience.
Compliance with international accounting and reserves-reporting standards is the single most important pre-qualification used by institutional investors to begin analyzing initial public offerings. Companies launching IPOs are often required to file a CPR with regulators. Frequently, Ryder Scott finds additional value in behind-pipe zones or proved undeveloped reserves that may add millions of dollars of value to an IPO.