The decision by Repsol YPF to downgrade its proven reserves by 25% set alarm bells ringing across the oil industry last week and wiped¤2.75 billion ($3.33 billion) off the company's market value in the aftermath of the announcement.
The sensitivity of the issue is understandable, particularly in the wake of the furore surrounding the 20% downgrade that sullied Shell's name in 2004.
