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Chapter 36

Development Plan for Oil and Gas Reservoirs


Steven W. Poston,
Texas A&M u.*

Introduction
The following discussion on the determination of the proper development plan for oil reservoirs or gas reservoirs is a summation of the current thinking in the oil industry. Conditions have changed dramatically since R.C. Craze wrote this chapter for the original book in 1962. At that time, the price of crude oil and gas was so low that the industry was concerned mainly with recovering the grass reserves fmm a field. Today economics have changed our outlook to such s a degree that the need for a logical and efficient plan for the orderly development of an oil or gas field is of utmost importance. The bidding competition for reserves often has caused successful field development to be at least partially dependent on getting the most out of the ground with the minimum number of wells. The oil business was originally an endeavor that allowed one to explore for hydrocarbons in relatively unexplored areas. The probability of finding large fields was quite high, and an excellent return on investment resulted when a new field was found. A majority of the large oil and gas fields have been found after 25 years of intensive exploration. The number of companies searching for hydrocarbons has increased while at the same time the fields are harder to locate. Now we are a very competitive industry in which there is little room for ermr. In other words, the rules of the game have changed. New technology and thinking about logical field development has evolved during the last 20 years. Continuity of producing intervals between wells is now known to be much more important than previously thought. Advances in well test analysis have allowed the engineer and geologist to estimate reservoir size and intrawell continuity. Improved seismic techniques have allowed geophysics to play an increasingly important role in allocating well locations for efficient reservoir drainage.
Author of the ongmal chapter on this topic I the 1962 edition was &pert C Craze.

A person interested in developing an oil or a gas field must use a basic understanding of geology, engineering, and economics. Other, more sophisticated techniques may have to be used at times to arrive at a realistic development plan. However, when one begins to develop a field, a number of questions need to be mulled over and should be discussed with colleagues. The thinking process occurs as follows.

Is the Well Being Drilled to Develop Proved, Probable, or Possible Reserves? The drilling of a development well in the middle of a field for proved reserves is considerably different than drilling an outpost well to help define the field limits. Greater reserves must be assigned to well questing for probable or possible
reserves than for an infield development well. The drilling for known reserves often allows for a low return on investment. However, the reward must be greater if the risk of drilling and not finding the hydrocarbon accumulation increases. The benchmark for the go/no-go decision for the drilling of a well is a function of not only the return on investment but also the degree of risk to be incurred. Answering these questions requires a combination of all disciplines in the petroleum industry. The greater the certainty of the reserves, the less the need for geological and engineering opinions.

What Are the Reservoir Rock and Fluid Characteristics? Field development is conducted far
differently in a clean, well-developed sand than it is in a place such as the low-porosity and low-permeability Austin chalk region of Texas. High porosities and permeabilities and low oil viscosities permit high offtake rates and wide well spacing. These large per well recoveries often preclude the need for the serious study of the minimum economic reserves requirements.

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Development drilling will continue at a different pace for a continuous and homogeneous sand than for a field composed of a series of productive intervals sandwiched between shale layers of unknown lateral extent. A well completed in a series of sand stringers of uncertain area1 extent should be placed on production for a time to see how much it actually will produce. Extensive drilling in such a field should wait until the economic worth of the total effort is determined from field production figures. Any knowledge concerning the geology of the prospect attained before the well is drilled would furnish insight into the probable number of completion zones and where the completion intervals should be. The proper well spacing would be predicated on this knowledge. The type of drive mechanism often will predicate the placement of the development wells. If a water drive is expected, the wells should be placed in the most updip locations possible. However, the updip placement of the wells would be a disaster if there is an expanding gas cap drive. The information is derived from reservoir engineering evaluations. Development considerations are completely different when drilling in a shallow well in west Texas or a Jurassic well in the North Sea. Platform rigs often are used to drill offshore wells. The number of drilling slots is limited, and, once the rig is moved off, it is often prohibitively expensive to move back on if new ideas arise.

Oil and Gas Differences


Method of Sales
Development plans for oil or gas reservoirs generally follow different paths not only because of the optimal depletion characteristics but because of the method of sales. Crude oil is a reasonably stable substance and, being liquid, may be loaded easily into some type of container for transportation to a sales point. The container is often at or very near atmospheric pressure. The container may be a truck, barge, or pipeline. On most land locations. sales may begin from a well as soon as the production equipment is installed. Also, since oil is contained and moved easily, the buyer of the crude oil may not always be constant. Natural gas must be kept in some type of container so it will not dissipate into the atmosphere. The high compressibility of the gas permits a smaller container to be used with increased confining pressures. Economics dictates that gas is to be transported through pipelines. The pipeline company must be assured that sufficient reserves are present to justify the expense of installing the pipeline. These capital expenditures often require long-term commitments from all the interested parties. Sufficient reserves must be proved to justify the expense of laying a pipeline. A number of wells may have to be drilled before any income is derived from the initial discovery. The operator must drill sufficient wells to ensure the quantities of gas required to be delivered over the contract period. The oil may be transported out by barge or tank truck if the reserves do not justify the expense of installing a pipeline in the case of oil production. Operating expenses are greater when oil is moved by tank truck or barge, but the capital investment is negligible when compared to pipeline installation. Development drilling in an oil field often may be conducted in a more growth-oriented manner than that in a gas field. Generally speaking, the capital investment required to develop a gas field is greater than for developing the same reserves in an oil field because a pipeline always is required to transport the gas. Non-capitalintensive barges or trucks may be used to transport oil.

What Is the Surface Environment?

What Surface Production Facilities Are Required?


There is no sense in drilling an offshore development well if there are no facilities available for production hookup. The production facilities could cost much more than the value of the reserves. Drilling on land in an area where costs may be reduced considerably could allow the production facility costs to be only a fraction of the reserves worth.

By What Method is the Product to be Sold? Gas must be transmitted by pipeline, whereas oil must be trucked or lightered to a receiving facility. For an oil well, revenue usually begins upon completion, while a gas well must wait for the installation of a pipeline. The cash flow situation for development of either an oil or a gas field is usually different because of the type of product. What Is the Relationship Between the Costs and the Profit Margin? The margin of profit for an operator will
vary considerably according to geographical location and the type of lease. Also, overhead costs may be greater for a large company than for a smaller company. The cost of money may be less for a large company because of a significant and established cash flow. Foreign profit margins are generally much less than margins from U.S. oil and gas sales. Readers will see other areas of uncertainty in addition to those discussed here. However, the following discussion will shed light on some of the more important points that one should remember concerning the formulation of a development plan for either an oil reservoir or a gas reservoir. There are no handy formulas to use nor are there any tried-and-true rules to follow. Proper field development for a particular set of conditions requires a combination of a variety of oil field disciplines.

The Best Depletion Technique


There are fundamental differences between developing and depleting an oil reservoir and a gas reservoir. These differences are discussed next.

Oil Reservoirs. Every effort should be made to maintain


reservoir pressure as high as possible during the depletion of an oil reservoir. A high reservoir pressure helps to preclude the installation of some type of artificial lift system or some method to aid in recovery. High reservoir pressures usually result from an active water drive or gas cap encroachment, both of which displace oil and help to push it toward the wellbore. These displacement mechanisms result in a reduced oil saturation at a relatively high abandonment pressure.

Gas Reservoirs. The compressibility of gas may be up to 1,000 times greater than relatively incompressible oils. These high compressibilities can allow the majority

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of the reserves in a gas reservoir to be depleted by simple gas expansion. In fact, ultimate recoveries of 80% of the original gas in place (OGIP) may be achieved by pressure depleting a gas reservoir, even though the remaining gas saturation may be quite high. Conversely, if a gas is trapped behind an advancing water front with a correspondingly lower residual saturation, the remaining gas left behind will be greater because the high compressibility of the gas allows a much greater quantity of gas to be trapped at these higher reservoir pressures. Example Problem l-Dry Gus Reservoir. The example given in Table 36.1 indicates the effect of the type of drive mechanism on ultimate recovery from a theoretical dry gas reservoir. Water is assumed to invade the reservoir uniformly in the water influx case. The assumption is not necessarily true in the operational context, but the illustration is made to show the necessity of abandoning gas reservoirs at low pressures. The effect of the gas FVF in the lower-pressure reaches of the reservoir allow the pressure depletion case to recover more gas. The previous discussion shows how the development of an oil reservoir may be conducted in a piecemeal and leisurely manner while development of a gas reservoir should be carried out with an eye toward maximizing the reservoir offtake rate to aid in the occurrence of pressure depletion conditions. To arrive at a development plan two basic steps need to be accomplished. These are (1) the characterization of the reservoir and (2) the prediction of the performance of the reservoir under various exploitation schemes and operating conditions.

TABLE 36.1 -EXAMPLE OF EFFECTS OF DRIVE MECHANISM ON RECOVERY


V, = 6,400

acre-ft

Q = 22% s, s, = 23% = 34%

G = 8.878 x log scf


Cumulative Production (109 scf) Pressure (PW 3,150 2,500 2,000 500 (set% ft) 188 150 120 28 Volumetric Reservoir 1 .a

3.2 7.6

Waterdrive Reservoir 5.8 6.4 -

LOW res?rvOlr press res Will not be ObtaIned because Of me additlonal energy supplied by the encroaching water, therefore, Bg will be at a higher value at abandonment.

Therefore, a predictive interpretation may be some degree of certainty. Less is known of carbonates. The chemical the depositional processes to form carbonate and the usually extensive diagenetic history true nature of the reservoir character. A large data-i.e., a considerable number of wells-is before the nature of a carbonate reservoir discerned.

done with nature of reservoirs cloud the amount of required may be

Characterization of the Reservoir


Geology
The limits of a reservoir and the possible variation of the porosity and permeability within the reservoir may be inferred by studying the well logs and cores taken from wildcat and appraisal wells. The knowledge gained from these studies would be of great help in setting wellsite locations early in the life of a development drilling project. Usually the reservoir productive characteristics are known only after the field or reservoir is maturely developed. The nature of the reservoir rock often is reflected in the sedimentary record. The sedimentary section is penetrated during the drilling for oil and gas. The character of the sediments may be inferred by logs or by core analyses. For a number of years, geologists have been studying and relating currently occurring sedimentary processes to reservoir rock paleo-environments. Each sedimentary process has been shown to have a particular porosity and permeability distribution and to have a reasonably predictable area1 extent. The interpretation of the probable paleo-environment by log and core analysis of a sedimentary section could be of inestimable value early in the life of field development. The following discussion gives a brief overview of geological interpretive work. The literature contains an overabundance of work on the evolution of elastic sediments. The reservoir characteristics of a elastic sediment (mainly sandstones) often is related largely to its depositional history.

Interpretation of Paleo-Environments.

Clastic Reservoirs. The depositional environment may be estimated by studying electric log sections that pass through the zone of interest and by analyzing core samples taken from the zone. l-3 The interpretation of these paleo-environments is derived from the study of modem depositional environments. The character of modem streams, deltas, and beaches has been well documented. 4-6 Bernard and LeBlanc divided the major depositional environments into continental, transitional, and deep marine classifications. Continental and deep marine deposits do not contain widespread oil or gas accumulations and are not discussed further. Transitional sediments may be divided into coastal interdeltaic and deltaic environments. The coastal interdeltaic area usually consists of linear, relatively narrow sand beaches, which extend seaward into a normal and then a deepwater environment. The sands composing the normal marine environment are usually very fine grained and are deposited in conjunction with a high percentage of clay. The generally low permeabilities displayed by normal marine sediments preclude a high incidence of commercial oil and gas deposits. 8 Deepwater marine sediments are composed mostly of shales and are on the whole nonproductive. The most common and important hydrocarbon-bearing sandstone reservoirs are of deltaic origin. These sediments usually are deposited in a high-energy, often fluctuating atmosphere. In deltaic environments encountered most often during oil and gas drilling operations, delta-bar and distributary channel sediments are the two most prevalent sedimentary environments found, while offshore bars may be found in the delta front areas.

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DELTAIC CHANNEL DEPOSITS


GAMMA RN PERML4Bltll-Y (MD1

DELTAIC BAR DEPOSITS


GAMMA R&Y 01 PERMEABILITY IMDI a1 10 low

-3
Grain Size and channel deposits. porosity and permeability profiles-bar

Fig. 1&l-idealized

The delta-bar sequence is typified by an upward gradation from shallow, marine clays at the base through a section that shows an increasing grain size. The progressive upward coarsening of the sand-grain size is the result of the delta advancing over the marine clays. A high-energy regime is seen to increase in the vertical direction. A typical electric log section grades upward from a shale section (deeper water) to gradually increasing amounts of sand9 (see Fig. 36.1). The section contains crossbeds, ripple laminations, and modest amounts of quartz. Delta-bar sands grade downdip into pro-delta silts and clays and grade updip into the organic-rich, fresh- and brackish-water clays. Delta sands often are limited in areal extent, even though encompassing a thick sedimentary sequence. Vertical reservoir continuity may be restricted because of the large number of shale stringers present in the delta front sequence. Distributary (river) channels transport sediments to the delta front. Distributary channels cut through deltas in a variety of meandering ways. Even though they comprise only a small portion of sedimentary record, these sediments often transect deltaic or offshore bar sand reservoirs and incur reservoir discontinuities in an otherwise homogeneous system. Fig. 36.2 is an example of such a discontinuity in the South Pass 27 field located in the offshore waters of south Louisiana. lo The field is included in the sand/shale sequence generated by prior deposition of the Mississippi River. Notice how the channel cut through the previously deposited sediments and formed a reservoir separate from the original. Distributary channel sediments initially are deposited in a higher-energy atmosphere, and, hence, display a

coarser grain size toward the bottom of the section. The effect of grain size gradation may be seen in Fig. 36.1. These deposits are characterized by boxy log shapes with a very high sand content. The gradation of the sands is typified by an abrupt change from a shale to a very clean sand and then to a gradual increase in shale/sand ratio in the upward direction. Deposition is parallel to the source of the sediments. Shoreline or barrier-island sandstones are represented by a sequence of normal marine muds grading upward into laminated sandstones. The section may be overlain by aeolian dune sandstones, which are the emergent portion of the shoreline. Sand gradation is generally coarsening upward. The sand grains are well sorted, and the quartz content of the sand is quite high. Wave action has reduced the less resistant feldspars to clay-sized particles, which have been transported to lower-energy regimes. Deposition is normal to the source of the sediments. I1 The sand bodies contain very few shale laminations and they are characterized by excellent lateral continuity. I2 The lowermost layer of a barrier bar sand comprises interbedded sand, silts, and shales. The second layer is made up of a bioturbated thick sand sequence. The penultimate layer consists of laminated sands laid down on the beach or the upper shore face of the barrier bar. The uppermost layer usually consists of oxidized aeolian deposits. l3 Barrier bar reservoirs offer an excellent opportunity for hydrocarbon exploration. The reservoirs usually are overlain by lagoonal clays, which form an excellent trap. Barrier sands usually exhibit a high degree of internal continuity and are deposited parallel to the coastline.

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NORTH S.L. 1007 1 S.L. 1012 I NO. 5.30


r

SOUTH

no.54
-rit

llo.1n a ORILLEDli74

MD.lM 9 ORILLEO 1Ull

NO. 115 0 DRILLED 5hS

NO. 203

l
ORILLED3,74

o R lttLo 2 lM
rA lOrr2

D IL 1 2/ H R L ED

Fig. 36.2--Reservoir

discontinuity-channel

and fringe sands.

Carbonate Reservoirs. Carbonate reservoirs are completely different in nature from sandstone reservoirs. The composition of sandstone reservoirs is largely a product of the depositional environment; carbonate reservoirs are a product of not only the depositional environment but also mechanical processes that occur after deposition. l4 The heterogeneities caused by the variety of formative processes may form extremely complex fields such as the Means field shown in Fig. 36.3. Is Note the field heterogeneity. Carbonates may be deposited in both shallow- and deepwater marine environments. The fields may range from a few acres (pinnacle reefs) to regional in size (carbonate banks). Jardine16 has discussed how

carbonate

fields may be formed in a variety of settings.

Biohenn Reefs. Bioherm or pinnacle reefs usually are


characterized by their relatively small size with a high degree of relief. The reefs contain a high percentage of skeletal material at the outermost portions of the accumulation. The interior of the reef is composed of finergrained material and has less porosity and permeability than the outer limits. Biostrome Reefs. Biostrome reefs were formed in less rapidly subsiding basins and may extend for hundreds of square miles. Like the biohenn reefs, the biostrome reefs contain a high percentage of skeletal material. Horizontal stratification is present.

Fig. 36.3-Means

field schematic.

IF

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PRIMARY POROSITY
CONFIGURATION

SECONDARY POROSITY

BI0HEP.M REEF

INCREASE K R

DOLOMIlIZAllON BANK (SHELF) DECREASE d DECREASE 0 PORE SIZE AND K CEMENTATION R K & K

Fig. 36.4-Distribution

of porosity within various types of carbonate reservoirs.

Shelf Carbonates. Shelf carbonates are usually sheetlike or tabular bodies composed of a high percentage of skeletal material, enclosed by surrounding fine-grained material. Nearshore Deposits. Nearshore deposits are usually of a thin and restricted nature andare generally fine grained. This type of deposit is of minor significance in oil and gas production. the characteristics of the Fig. 36.4 I6 summarizes variety of carbonate deposits. Note the different types of porosity and the processes that affect the reservoir quality. The development of oil and gas fields in carbonate sediments requires the study of the fossil content, any postdepositional alterations, and characterization of the pore space. This type of reservoir often displays two dissimilar porosity-permeability systems.

discovery would be of considerable aid for planning of the future development drilling program. Weber combined studies done principally by Zeito, I8 Verrien et al., I9 and Sneider et al. * to arrive at Fig. 36.5. The figure summarizes a number of efforts to estimate the effect of depositional environment on the extent of shale stringers on sandstone reservoirs. Note how the marine sands possess the most extensive shale barriers, while the more poorly sorted point bars and distributary channels possess the shale members of least extent. Of course, the more widely correlative a producing interval is, the easier it is to predict future productive patterns. Many channels and point bars have been laid down in such a widely fluctuating atmosphere that correlation between wells is often difficult if not impossible. The recognition of the possible extent of the shale intercalations early in the life of development in the field would be of tremendous aid in the spotting of well locations.

Extent of Shale Stringers. The knowledge of the probable lateral composition of a sandstone body soon after

Engineering
In&awe11 continuity of the producing zone is one of the main ingredients for successfully depleting an oil or gas reservoir of the majority of the potential reserves. Additional development drilling often is required in a field when sand stringers are found to be discontinuous between producing wells. The differential movement of fluids within a reservoir caused by rock heterogeneities was noted first in the engineering sense by Stiles.2 Poor response to the installation of many of the waterflood projects installed in some of the west Texas carbonate reservoirs in the 1950 and 1960 produced s s a spate of studies investigating the often discontinuous nature of the reservoirs. Refs. 15 and 22 through 25 are good reviews of some of these investigations. The determination of the degree of noncommunication between adjacent wells may be quantified to a certain degree by geological and reservoir engineering studies. The better-known techniques for estimating the degree of reservoir continuity are discussed next.

Fig. 36.5-Continuity

of shale intercalations.

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Net Pay/Net Connected Pay Ratio. Irregularities within sedimentary rocks often cause discontinuous productive horizons between wells. The degree of these discontinuities may be discerned by correlating the individual pay zones between adjacent wells. If a particular sand stringer is seen in one well but not in the other then it is called discontinuous. Sands are known to become more discontinuous with distance. A method to estimate the degree of producing-sand-interval intrawell communication is discussed in a paper by Stiles. 23 The continuity between wells is defined as the fraction of the total pay sand volume that is connected to another well. A productive stringer is defined as continuous when correlatable between two wells. The stringer is classed as discontinuous if it is not correlative. Well pairs are compared, and eventually a figure may be drawn that summarizes the decline in reservoir continuity with distance. Fig. 36.6 is the result of one of these studies.26 Notice the decline of continuity with distance between wells. The figure shows that the number of producing zone discontinuities was found to be much greater than expected when additional infill drilling was carried out in the Means field. A similar type of investigation by Stiles23 in the Fullerton-Cleat-fork Unit had indicated a degree of reservoir continuity of 0.72. The estimate compares quite favorably with a material balance of the field. \ A more recently published paper indicated that the material balance and the volumetric in-place estimate for a number of reservoirs in the Meren field compared very correlation of these same favorably. * A sand-by-sand reservoirs in the Met-en field indicated a degree of continuity approaching that of unity. One could gather from these studies that communication was uniform throughout the reservoirs and additional infield drilling in all likelihood would not discover many discontinuous sand members. However, infield drilling in the Fullerton-Clearfork Unit could prove fruitful because of the good probability of penetrating previously undrained sand members. Material Balance Studies. The results of volumetric
reserves estimates may be compared to the material balance estimate. The material balance estimate is a function of production, which is derived from the movement of fluid through connected producing zones. Volumetric calculations are determined from net sand maps, which often do not take into account the effect of sand discontinuities on production. The difference between the results of the calculations gives an idea of the degree of discontinuity of a particular reservoir. Stiles23 used the idea when studying the Fullerton-Clearfork Unit. The material balance method indicated 738 million bbl OIP. A volumetric estimate showed 1.03 billion bbl OIP. The ratio of the material balance estimate to volumetric estimate is 0.72. The low degree of communication would be an indicator of the successful outcome of an infield drilling project. simulation studies are simply an extension of the material balance technique. However, the reservoir simulator allows one to take into account the producing and rock characteristics of individual areas within the reservoir.

Fig. 36.6-Continuous

pay-Means

field.

Details of reservoir simulation are given in Chap. 48. A study by Weber 28 is an excellent example of the use of core and log interpretation principles to aid in determining the paleo-environment. These interpretations then were used in a computer simulation program, which was able to typify the D 1.30 reservoir in the Obigbo field with a high degree of accuracy. Fig. 36.7 is the type log of the reservoir. Note the differentiation of the producing interval into four discrete depositional environments. Each of the environments is represented by an interval of differing productive characteristics. The variations of these environments were noted in the section of each well penetrating the D 1.30 sand interval. Core analyses indicated the range of permeabilities that each of the units would exhibit. A permeability distribution map was drawn for the reservoir as a whole from these machinations. Subsequent modeling of the drainage patterns within the reservoir could be carried out with a high degree of certainty since the pattern of deposition had been replicated.

Computer Simulation Methods. Reservoir

Interference Testing. The analysis of reservoir pressures has been an age-old reservoir evaluation tool in the petroleum industry. The similarity of pressures within a group of wells usually helps prove or disprove the interwell communication. An abnormally different pressure from a particular well is often the first indication of reservoir separation. Further analysis may disclose a previously undetected fault separating the wells in question. Sometimes wells are seen to display similar static bottomhole pressures even though there is a known fault separation. The similarity of pressures is caused by the production from each well being sufficient to draw the reservoir pressure down to the same degree. A transient pressure test must be run between the well pairs to estimate the degree of interwell communication. The alteration in the producing or injection rate of a well will have an effect on the pressure in a connected observation well. The study of these effects is called transient-pressure or interference testing. Interference testing may be done by either a long-term production or injection change in a well (interference testing) or by very short-term rate alterations (pulse testing). Ref. 29 presents a detailed description of the two methods.

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D I.30 RESERVOIR
LITHOLOGY AND ENVIRONMENT

Fig. 36.7-Type

log-D

1.30 sand, Obigbo field.

Interference tests comprise a relatively long-term rate alteration. The effect of the rate alteration will be noted in the observation well when there is interwell continuity. Of course, one would assume the presence of a discontinuity if the pressure fluctuation is not seen in the observation well. The field application of an interference test is well documented in Ref. 30. A fieldwide spacing rule of 40 acres per well had been instituted in the North Anderson Ranch field in Lea County, NM. The engineering effort

29

28

WELL C 0

V&ELL B
T

32

WELL

0 A

15 s

was designed to estimate the true drainage area with the field. Four wells were produced and the resulting pressure decline was noted in a central observation well. (See Fig. 36.8 for the plan of the well layout.) The production from the four offsetting wells declined 11 psi after 165 hours production. The diffusivity equation was used to calculate the expected pressure drop for similar conditions. The theoretically predicted pressure drop was 12 psi. The use of interference tests indicated a well drainage area greatly in excess of the initial 40-acre estimate. An go-acre drilling pattern would effect a similar recovery with a greatly reduced number of wells. Pulse testing is often more convenient than interference testing. 3* The use of very precise pressure gauges coupled with individual design characteristics often allows pulse tests to be carried out within 1 or 2 days. Minor variations in production or injection volumes are able to send a pulse to observation wells. The variation of rates provides a footprint, which may be noted by precision gauges placed in the observation wells. A pulse test is able to discern reservoir heterogeneities in a manner similar to the previously discussed interference test. However, the test may be carried out in a much shorter time because of the precision of the equipment. Ramey 32 discusses the use of the pulse testing technique to determine reservoir anisotropy.

l l

Geophysics
The three-dimensional (3D) seismic technique is a system of seismic data collection and processing that permits the proper vertical images to be developed and displayed by solving three orthogonalwave equation migrations. The 3D method is a useful technique to map subsurface structures and to define the field configuration better previous to development. The detailed results allow the fault boundaries and

3D Seismic Techniques.

T
l 2 l +

16 S
W
test plan.

R 32
Fig. 36.8~Interference

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36-9

Fig. 36.9-Comparison

of 2- and 3D seismic surveys.

stratigraphic limits of a reservoir to be mapped accurately soon after discovery. The number of appraisal wells would be reduced, and a more reliable estimate of the reserves could be obtained early in the life of the prospect. The knowledge of these two important facts would materially affect the overall drilling program. The method is considerably more expensive than the more mundane seismic techniques, but it has been estimated that 100 sq miles of seismic covera e may be obtained for the cost of one appraisal well. 35 The 3D method provides greater structural definition than the better-known two-dimensional (2D) techniques for the following reasons. 34-38 1. The placement of the vertical and horizontal reflection images is more accurate. Additionally, both vertical and horizontal sections may be presented for any depth and for any direction. 2. Defraction events are eliminated. 3 The signal strength normally lost because of scattering problems is restored. 4. The increased control point density permits more accurate mapping. 5. The greater amount of data improves the statistical base for estimating near-surface corrections and velocities. A particularly interesting example of using the 3D seismic method to evaluate a prospect and to help plan the drilling program may be seen in a study conducted in the Gulf of Thailand. 39 Three wildcat wells had disclosed the presence of probably commercial quantities of

gas. However, the prospect appeared to be faulted and a number of appraisal wells would be required to evaluate the potential in this relatively unexplored region. A region of 120 km2 was subjected to a 3D seismic reconnaissance shot at 100-m intervals. The program afforded a greater definition of the megastructure, indicated faulting was much more prevalent than previously indicated, and also helped prove the viability of the prospect. Figs. 36.9a and 36.9b compare the structural interpretations obtained by conventional 2D results with those obtained by 3D vertical migration. Note the increase in the complexity of the structure. The clarity of the 3D subsurface structural interpretation results from the more sharply focused nature of the process. The 2D interpretations give a more blurred or distorted picture because of the coarser sampling, which results in a statistically poorer presentation. A survey conducted in offshore Trinidad4 resulted in a change in the platform location and drilling plan of one prospect and the deletion of another prospect from development until additional exploration in other faultblocks was conducted.

Prediction of Reservoir Performance


After the reservoir has been characterized adequately, as described previously, a development plan must be selected. Performance of the reservoir under various exploitation schemes needs to be determined before selecting the final development plan. The modem tools used

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by the reservoir engineer to predict the performance of the reservoir are reservoir simulators or mathematical models (see Chap. 48). A general description of the simulation steps and the results from simulation follows.

S!mulation Steps Data Preparation.


1. Select the appropriate simulator to use in the study-i.e., black oil. compositional, 2D, 3D, etc. 2. Divide the reservoir into a number of cells-i.e.. establish a grid system for the reservoir. 3. Assign rock properties, geometry, initial fluid distribution, and fluid properties for each cell. The rock properties include permeability, porosity. relative permeability, capillary pressure, etc. The cell geometry includes depth, thickness, and location of wells. Fluid properties are specified by the usual PVT data and phase behavior if required. 4. Assign the production and/or injection schedule for wells and the well constraints that need to be maintained.

Performance Prediction. If no historical data are available, the next step is to make the necessary computer runs to obtain the performance of the wells and the reservoir as a function of time and various plans of development. If historical data are available, the first step is to match the historical performance. The reservoir performance is calculated and the results are compared with the fieldrecorded histories of the wells. If the agreement is not satisfactory, adjustments in the data (such as the relative permeability, the specific permeability. the porosity, the aquifer, etc.) are made until a satisfactory match is achieved. The model then is used to predict the performance for alternative plans of operating the reservoir. In summary, the reservoir engineer obtains from the simulators the reservoir performance for different including various displacement development plans, mechanisms (such as water or gas injection, miscible displacement, etc.), different number and location of wells, and effect of flow rates. The reservoir performance then is used in the appropriate economic analysis to decide on the optimal development plan.

References
I. Krueger, W.C. Jr.: Depositional Environments of Sandstones as Interpreted from Electrical Measurements-An Introduction. Trans.. Gulf Coast Assoc. Geol. Sot. (1968) XVIII, 226-41. Selly, R.C.: Subsurface Environmental Analysis of North Sea Sediments, AAPG (Feb. 1976) 60, No. 2. 184-95. Berg, R.R.: Point Bar Origin of Fall River Sandstone Reservoirs, Northeastern uiyormng. AAPG (1968) 2116-22. Sedimenza~ Environmenrs and Fucies. H.G. Reading (ed.), Elsevier Press, New York City (1978). Remeck, H.E. and Singh, 1.B.: DeposittonaL Seduncniur$ Environments, second edition, Springer-Verlag Inc., New York City (1975). 6. Scholle, P.A. and Spearing, D.: Sandstone Depositional Environments, AAPG (1982) Memoir 3 1. I. Bernard, H.A. and LeBlanc, R.J.: Resume of Quatemaq Geology ofrhe Northwestern GulfofMexico Province, Princeton U. Press, Pnnceton, N.J. (1965) 137-85. 8. Berg, R.A. : Studies of Reservoir Sun&ones. Prentice Hall, En&wood Cliffs, N.J. (1985).

9. Sneider. R.M.. Tinker. C.N.. and Meckel. L.D.: Deltaic Environmental Reservoir Types and Their Characteristics, .I. Per. Tech. (Nov. 1978) 1538-46. IO Hartman. J.A. and Paynter, D.D.: Drainage Anomalies m Gull Coast Tertiary Sandstones, J. Per. Tech. (Oct. 1979) 1313-22. II Pryor. W.A. and F&on, K.: Geometry of Reservoir-Type Sandbodies in the Holocene Rio Cirande Delta and Comparison With Ancient River Analogs. paper SPE 7045 prcsentcd at the 1978 SPEiDOE Enhanced Oil-Recovety Symposium. Tulsa. April 16-19. 12 Poston, S.W., Berry, P., and Molokowu. F.W.: Meren Field-The Geology and Resewou Characteristics of a Nigenan Offshore Field, /. Per. Tech. (Nov. 1983) 2095-2 104. 13 LeBlanc. R.J.: Distnbutlon and Continuity of Sandstone Rehervain-Parts I and 2, J. Per. Twh. (July j977) 776-804. 14 Harris, D.G. and Hewitt, C.H.: Synergism in Reservoir Management-The Geologtc Perspectwe. j. Per. Tech. (July 1977) 76 I-70. 15 Kunkel. G.C. and Bagley, J.W. Jr.: Controlled Waterflooding. Means Queen Reservoir, J. Pe/. Tech. (Dec. 1965) 1385-90. 16. lardine, D., er (I/.: Distribution and Contmu~ty of Carbonate Reservoirs, J. Per. Tech. (July 1977) 873-85. 17. Weber. K.J.: Influence of Common Sedimentar): Structure\ on Fluid Flow in Reservoir Models, J. Pet. Tech. (March 1982) 665-72. 18. Zeito, G.A.: Interbedding of Shale Breaks and Reservoir Heterogeneities, J. Pet. Tech. (Oct. 1965) 1223-28: Trcrns.. AIME, 234. 19. Verrien, J.P., Courand. G., and Montadert. L.: Applications of Production Geology Methods to Reservoir Characteristics -Analysis From Outcrops Observations. Proc . Seventh World Pet. Gong.. Mexlco City (1967) 425. 20. Sneider. R. M., er al. : Predicting Reservoir Rock Geometry and Continuity in Pennsylvanian Reserwr. Elk City Field, Oklahoma, J. Pet. Tech. (July 1977) X5 l-66. 21. Stiles. W.E.: Use of Permeability Distributmn in Wateflood Calculations, Trans., AIME (1949) 189. 9-14. 22. Driscoll, V.J. and Howell, R.G.: Recovery Optimization Through Intill Drilling-Concepts, Analysis, and Field Results. paper SPE 4977 presented at the 1974 SPE Annual Fall Meeting, Houston, Oct. 6-9. 23. Stiles, L.H.: Optimizing Waterflood Recover), in a Mature Waterflood, The Fullerton Clearfork Unit, paper SPE 6198 presented at the 1976 SPE Annual Fall Meeting, Houston, Oct. 3-6. 24. George, C.J and Stiles, L.H.: Improved Techniques for Evaluating C; bonate Waterfloods in West Texac, J. Pet. Tech. (Nov. 1978) 1547-54. 25. Application for Waterflood Response Allowable for Wasson Denver Unit, Shell Oil Co., testimony presented before Texas Railroad Commission, Austin (March 21. 1972) Docket 8-A-61677. 26. Barber, A.H. Jr. etal.: Intill Drilling to Increase Reserves-ACtual Experience in Nine Fields in Texas, Oklahoma and Illinois. J. Pet. Tech. (Aug. 1983) 1530-38. 27. Poston, S.W., Lubojacky. R.W. and Aruna. M.: Meren Field-An Engineering Review. J. Pet. Tech. (NW 1983) 2105-12. 28. Weber, K.J. er al.: Simulation of Water InJection in a BanierBar-Type, Oil-Rim Reservoir in Nigeria. J. Pet. Tech. (Nov. 1978) 1555-65. 29. Earlougher, R.C. Jr.: Adwnce.s in Well Tat Analysis. Monograph Series. SPE, Richardson (1977) 5. 264 30. Matthies, E.P.: Practical Application of Interference Tests, J. Per. Tech. (March 1964) 249-52. 31. Johnson, C.R., Greenkom, R.A., and Woods, E.G.: PulscTesting: A New Method for Describing Reselvou Flow Properties Between Well, J. Pet. Tech. (Dec. 1966) 1599-1602; Trans.. AIME, 237. 32. Ramey, H.J. Jr.: Interference Analysis for Anisotropic Formatlons-A Case History, J. Pet. Tech. (Sept. 1975) 1290-98. 33. Brown, A.R.: Three-D Seismic Surveying for Field Development Comes of Age. Oil & Gas J. (Nov. 17, 1980) 63-65. 34. Johnson, J.P. and Bone. M.P.: Understanding Field Development History Utilizing 3D Seismic, paper OTC 3849 presented at the 1980 Offshore Technology Conference, Houston, Mav 5-8. Evolutwn ot 35. Graebner. R.J., Steel. G., and Wuwn. C.B.: Scivnic Technology I the XO r. APkA J (19801 20. I 10-X)

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36. French. W.S.: Two Dimenknal and Three Dimcns~onal M~eration of Model-Experiment Reflection Profiles, Gwphrticx (April 1974) 39. No. 4. 265-77. 37. Hikerman. F.J.: interpretation Lessons From ThreeGmphwics (May 1982) 47, No. 5. Dimensional Modeling. 784-808. 38. McDonald. J.A., Gardner, G.H.F., and Kotcher. J.S : Areal Seismic Methods For Determining the Extent of Acoustic Discon-

tinuitles, Geo~hwi~~.c (Jan. 1981) 46. No I. 2-16. 39. Dahm. C.G. and Graebner. R.J.: Field Development with Three Dimensional Seismic Methods-Gulf of Thailand-A Case History, Geophysits (Feb. 1982) 47. No. 2. 149-76. 40. Galbraith, M. and Brown, R.B.: Field Appraisal with ThreeDimensional Seismic Surveys-Offshore Trinidad. Grophwicx (Feb. 1982) 47, No. 2, 177-95.

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