Application of UNFC for Resource Management

Application of UNFC for Resource Management

Classification of resource inventories is the template on which policies are formulated, Governments manage their resources, industry conducts its business and capital is allocated. The establishment of the UN Sustainable Development Goals and the Paris Accord on Climate Change Mitigation calls for change that will affect these activities. None of the Sustainable Development Goals can be reached without energy and raw materials, yet we know that environmental consequences result from deployment of these resources regardless of how it is done. Therefore, the efficient use of resources becomes increasingly important. We need to focus on the mechanisms that give the efficiencies required to create the future we want. PETRAD, together with the UN Economic Commission for Europe and the European Federation of Geologists are called to contribute to these efforts through this course on the application of the UN Framework Classification for Resource Management.

In this course, we focus on the application of the UNFC. It is a classification of “what we get” as opposed to a classification of “what we found” where it all started in the early 1900. The UNFC is not just a classification of geological resources, but also of the projects producing sales and non-sales products from them – and it need not be only from geological resources. It works as well for other products produced by investments. We are therefore witnessing a further development of the UNFC to renewable energy resources, underground storage projects and anthropogenic resources. Water may follow. The course will address how UNFC works for petroleum, minerals, renewable energy, geothermal resources and underground storage of CO2, gas etc.

As mentioned above, resource inventories and their classification are the template for resource management. PETRAD is therefore offering this course immediately following its 2-week course on National Petroleum Resource Management as a complement to this course for candidates interested in both.

Programme objectives

The objectives of this course are to provide an understanding of the basic structure of the UNFC and to familiarise participants with the four principal areas of application, namely Policy formulation, Government resource management, Industry business process management, Capital allocation and financial reporting. Theses applications will be illustrated with case studies.

Programme content

This course introduces the UNFC as an important tool to reach the Sustainable Development Goals. The role of resource inventories and the UNFC in policy formulation, Government resources management, corporate business processes and capital allocation are dealt with. The structure of the UNFC is explained, how it works and the relationship to classifications bridged to it, namely the CRIRSCO Template for minerals, the PRMS for petroleum, the NEA/IAEA for nuclear energy and several national classifications. It will further deal with quality assurance, aggregation, accounting and disclosure. The application to petroleum, minerals, renewable energy projects, geothermal energy projects and carbon capture and storage projects (CCS) will be dealt with. The applications are supported by case studies of energy projects (petroleum, geothermal energy and CCS) and raw material projects. PETRAD believes that the best pedagogical learning approach is a combination of presentations, discussions, problem-based learning and team-based learning. In this brief course, the sessions will consist of two lectures, each of 20 minutes followed by 20 minutes of discussion.