Chapter 11: Production Measurement and Operational Issues

Production measurement for reserves and resources quantities is specified under the Petroleum Resources Management System (PRMS 2018,  Appendix A—Glossary) to occur at the “reference point,” which is the “defined location within a petroleum extraction and processing operation where quantities of produced products are measured under defined conditions before custody transfer (or consumption). This is also called point of sale, terminal point, or custody transfer point.”

The reference point then becomes the link among the estimates of subsurface quantities, raw production quantities, sales quantities, and product price. The PRMS provides a series of guidelines to promote a consistent approach to measurement in all types of projects.