Upreserves

Upreserves is a term used in the energy industry to describe reserve upside—quantified petroleum or natural gas resources that have the potential to be classified as reserves but have not yet reached the level required for formal booking. The exact meaning and usage of the term vary by company, as it is not a standardized category in major reporting frameworks.

Typically, upreserves refer to resources identified through exploration success, improved reservoir understanding, or favorable economics that could convert to proved or probable reserves with further appraisal, development, and favorable price conditions. They are often framed as potential additions to the reserves base rather than as currently approved reserves, and they carry higher risk and uncertainty than booked reserves.

Relation to formal classifications varies. Under common industry standards such as the SPE-PRMS frameworks, reserves are categorized as proved, probable, and possible, with additional resource classifications like contingent or prospective resources. In practice, upreserves are usually described informally to indicate upside within a company’s overall resource portfolio or as an internal estimate of potential future reserves pending further assessment.

Evaluation and disclosure practices differ. Because upreserves lack a universal definition, they are typically not audited or presented as legally reserve-backed figures. Companies may describe them using ranges or probability-weighted scenarios and emphasize that conversion depends on technical success, capex, commodity prices, and other economic factors. Investors should review each definition closely to understand the underlying assumptions and risks. See also: proved reserves, probable reserves, possible reserves, contingent resources, prospective resources.