Formation of oil and gas reservoir. Oil and gas formation is a complex process that takes millions of years and involves the transformation of organic material into hydrocarbons through geological and chemical processes. For reservoir to exists, oil and gas from the source of rock must migrate into the reservoir rock, which takes million of years. Most natural gas and oil formation dates back between 10 (Cenozoic) and 180 (Mesozoic) million years ago. Only 10% of oil deposits are Paleozoic (more than 200 million years ago) . The process begins with the accumulation of organic material, such as the remains of plants and tiny sea creatures, in sedimentary environments like the bottom of oceans.