What is ARCs Reserve Life Index (RLI) and what does it measure?
ARC’s current RLI is over 14 years. The RLI is calculated by dividing the total established reserves by the annual production volume (either current year annual production or the independent engineering evaluator’s forecast of the first year’s production). This provides a simplified representation of the number of years of reserve life remaining if production remained constant at current rates. The actual productive life of the reserves is significantly longer as production declines over time. A long RLI normally underscores high quality assets.
