MAHA ENERGY

Reserves & Assets

Maha Energy focuses on enhanced oil recovery engineering solutions for under performing hydrocarbon assets.

Reserves

The Company’s reserves are determined by Chapman Petroleum Consultants (“Chapman”), an independent Engineering Company based in Calgary, Canada, conforming to the standards set out in the Canadian Oil and Gas Evaluation Handbook (COGEH) prepared jointly by the Society of Petroleum Engineers (Calgary) and the Canadian Institute of Mining, Metallurgy and Petroleum. The Reserves and economic evaluations are consistent with the requirements of Form NI 51-101 F1 Part 2.

LAK RANCH

Wyoming, USA
December 31, 2017
P : 0.034 m bbls
PP : 13.5 m bbls
PPP : 18.9 m bbls
(net Maha but before Royalty)

TARTARUGA

Aracaju, Brazil
December 31, 2017
P : 3.82 m bbls
PP : 9.10 m bbls
PPP : 29.78 m bbls
(net Maha but before Royalty)

TIE FIELD

Bahia, Brazil
December 31, 2017
P : 5.091 m bbls & 3.060 m bcf
PP : 10.702 m bbls & 6.438 bcf
PPP : 12.306 m bbls & 7.400 bcf
(net Maha but before royalty)

Read more about Chapman and find out about their oil price forecast

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Maha Energy AB Reserves

Maha Energy AB Reserves

maha-reserves

PRESENTATION OF OIL AND GAS RESOURCES INFORMATION

All oil and gas information has been prepared and presented in accordance with NI 51-101. Certain other terms used herein but not defined herein are defined in the COGE Handbook, NI 51-101 and, unless the context otherwise requires, shall have the same meanings herein as in NI 51-101.

The actual oil and gas resources or reserves and future production may be greater or less than any estimates provided herein.

Reserves estimates for LAK Ranch have been provided by Chapman Petroleum Engineering Ltd, 1122 – 4th Street S.W., Suite 700, Calgary, Alberta, Canada. Chapman Petroleum Engineering Ltd has no material interests in the Company.

Reserves estimates for Tarataruga Block have been provided by Petrotech Engineering Ltd, 7536 Manzanita Place, Burnaby, B. C., Canada. Petrotech Engineering Ltd has no material interests in the Company.

RESERVES AND RESOURCE CLASSIFICATIONS

Reserves & resources are classified according to Canadian NI-51-101 standards and therefore the classifications defined below may not be in line with other jurisdictions.

Maha’s crude oil reserves estimates presented are based on the Canadian reserves definitions and guidelines prepared by the Standing Committee on Reserves Definitions of the CIM (Petroleum Society) as presented in the COGE Handbook. A summary of those definitions and guidelines is presented below.

Development and Production Status

Each of the reserves categories (proved, probable and possible) may be divided into developed and undeveloped categories:

Developed reserves are those reserves that are expected to be recovered from existing wells and installed facilities or, if facilities have not been installed, that would involve a low expenditure (for example, when compared to the cost of drilling a well) to put the reserves on production. The developed category may be subdivided into producing and non-producing.

Developed producing reserves are those reserves that are expected to be recovered from completion intervals open at the time of the estimate. These reserves may be currently producing or, if shut-in, they must have previously been on production, and the date of resumption of production must be known with reasonable certainty.

Developed non-producing reserves are those reserves that either have not been on production, or have previously been on production, but are shut-in, and the date of resumption of production is unknown.

Undeveloped reserves are those reserves expected to be recovered from known accumulations where a significant expenditure (for example, when compared to the cost of drilling a well) is required to render them capable of production. They must fully meet the requirements of the reserves category (proved, probable, possible) to which they are assigned.

In multi-well pools it may be appropriate to allocate total pool reserves between the developed and undeveloped categories or to subdivide the developed reserves for the pool between developed producing and developed non- producing. This allocation should be based on the estimator’s assessment as to the reserves that will be recovered from specific wells, facilities and completion intervals in the pool and their respective development and production status.

RESERVES CATEGORIES

Reserves are estimated remaining quantities of oil and natural gas and related substances anticipated to be recoverable from known accumulations, as of a given date, based on; analysis of drilling, geological, geophysical and engineering data; the use of established technology; and specified economic conditions, which are generally accepted as being reasonable, and shall be disclosed.

Reserves are classified according to the degree of certainty associated with the estimates.

Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

Probable reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves.

Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. It is unlikely that the actual remaining quantities recovered will exceed the sum of the estimated proved plus probable plus possible reserves.

Other criteria that must also be met for the classification of reserves are provided in the COGE Handbook.

Levels of Certainty for Reported Reserves

The qualitative certainty levels referred to in the definitions above are applicable to individual reserves entities (which refers to the lowest level at which reserves calculations are performed) and to reported reserves (which refers to the highest-level sum of individual entity estimates for which reserves estimates are presented). Reported reserves should target the following levels of certainty under a specific set of economic conditions:

at least a 90 percent probability that the quantities actually recovered will equal or exceed the estimated proved reserves;

at least a 50 percent probability that the quantities actually recovered will equal or exceed the sum of the estimated proved plus probable reserves; and at least a 10 percent probability that the quantities actually recovered will equal or exceed the sum of the estimated proved plus probable plus possible reserves.

Additional clarification of certainty levels associated with reserves estimates and the effect of aggregation is provided in the COGE Handbook.

Assets

The company currently hold assets in two countries. Two assets are considered to be light oil producing assets whilst the third is heavy oil.

LAK Ranch

Wyoming, USA
99% WI (Operator)
19 deg API oil

Tartaruga

Aracaju, Brazil
75% WI (Operator)
41 deg API Oil

Tie Field

Bahia, Brazil
100% WI (Operator)
36-38 deg API Oil