Statement on auditing standards, 033

              Statement on
Auditing Standards
Issued by the Auditing Standards Board
October 1980
Supplementary Oil and Gas
Reserve Information
( This SAS should be read and applied in conjunction with Statement on Audit­ing
Standards No. 27, Supplementary Information Required by the Financial
Accounting Standards B o a r d .)
1. FASB Statement No. 19, Financial Accounting and Reporting
by Oil and Gas Producing Companies, requires an entity engaged in
oil and gas producing activities to include in a complete set of annual
financial statements disclosure of oil and gas reserve quantities and
changes in reserve quantities. FASB Statement No. 25, Suspension of
Certain Accounting Requirements for Oil and Gas Producing Com­panies,
permits the disclosure of such reserve quantities to be made
as supplementary information accompanying but outside the finan­cial
statements.
2. In documents filed with the Securities and Exchange Commission
( S E C ) , Regulation S- X requires that in addition to reserve quanti­ties
and changes therein, the disclosure of oil and gas reserve infor­mation
should include the estimated future net revenues from proved
oil and gas reserves, the present value of such net revenues and
changes therein, and a summary of oil and gas activities prepared on
the basis of reserve recognition accounting. These disclosures may be
made as supplementary information outside the basic financial state-
Copyright © 1980 by the
American Institute of Certified Public Accountants, Inc.
1211 Avenue of the Americas, New York, N. Y. 10036
1234567890 AudS 89876543210
AICPA American Institute of
Certified Public Accountants
33