Petroleum Engineering Department

Introduction to reservoir simulation

Lecture #1

Barham S. Mahmood
barham.sabir@koyauniversity.org
21 February 2017
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Outline
What is a simulation model?

What is a reservoir simulation model?

Applications of reservoir simulation

Types of reservoir simulation models

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What is a simulation model?

A Simple Example of a Simulation Model
A simulation model shows the main features of a real system in its behavior,
but is simple enough to make calculations on.

These calculations may be "analytical" or "numerical -

"analytical" => the equations of the model solved using "well known"
equations or functions (x2, sin x, ex etc).

e.g. the growth of a colony of bacteria - number of bacteria = N Model says

that the rate of increase of N with time (dN/dt) is directly proportional to N
itself, then:

Where a is a constant
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Q. what is N as a function of time, t, denoted N(t), if we start with a

bacterial colony of size No ??

It is easy to show that, N(t) is given by: = . .

Analytical Solution
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Solve same problem by Numerical model - to do this ....

- break the time, t, into discrete timesteps , t
- if no. bacteria at t = 0 = No, need to calculate no. at time t later
- then use the new value to find the number at time t later etc..
- to do systematically => need an Algorithm (a mathematical
recipe) which is easy to follow.
- define the following Notation:
- value of N at the current time step n denoted Nn
- value of N at the next time step, n+1 is denoted as Nn+1
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Approximate the model equation:

which rearranges to =>

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Numerical Algorithm (mathematical recipe) to solve problem is:

Algorithm can be formally represented as a flow chart -

Figure 1.1 as follows ...
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Figure .1Numerical Algorithm

flowchart
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Exercise 1:
Return to the simple model described by pervious equation. Take as input
data, that we start off with 25 bacteria in the colony. Take the value a=1.74
and take time steps = 0.05 in the numerical model.

i. plot the analytical solution for the number of bacteria N(t) as a function of
time between t=0 and t=2 (in arbitrary time units).

ii. Plot as points on the same plot, the numerical solution at times t= 0,
0.05, 0.1, 0.15, until 2.0. what do you notice about these?

iii. Using the spreadsheet, repeat the numerical calculation with a =

0.001 and plot the same 5 points as before. what do you notice about
these? (H.W)
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Solution 1:
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900.0

800.0

700.0

600.0

500.0
N(t)

400.0 Analytical
Numerical
300.0

200.0

100.0

0.0
0 0.5 1 1.5 2 2.5
t
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Outline
What is a simulation model?

What is a reservoir simulation model?

Applications of reservoir simulation

Types of reservoir simulation models

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What is a reservoir simulation model?

In 1953, Uren defined a petroleum reservoir as follows:
" ... a body of porous and permeable rock containing oil and gas through
which fluids may move toward recovery openings under the pressure
existing or that may be applied. All communicating pore space within the
productive formation is properly a part of the rock, which may include
several or many individual rock strata and may encompass bodies of
impermeable and barren shale. The lateral expanse of such a reservoir is
contingent only upon the continuity of pore space and the ability of the
fluids to move through the rock pores under the pressures available."
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The task of reservoir simulation

What is the magnitude of the task modelling the performance
of a real petroleum reservoir ??

Figure 2 shows a schematic of reservoir depositional system for the mid-

Jurassic Linnhe and Beryl formations in the UK sector of the North Sea.

Figure 3 shows actual reservoir cores from the Beryl formation

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Figure 2. Depositional
system for the mid-
Jurassic Linnhe and
Beryl formations
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Figure 3 Slabbed core from the

mid-Jurassic Beryl formation -
UK sector of the N. Sea

note the various levels of

heterogeneity
- kair from 1mD to ~ 3000 mD
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A reservoir simulation model of such a geo-systems must be

hugely simplified compared with a real system.

A typical reservoir simulation model which might be used to

simulate waterflooding in a layered system of this type is shown
schematically in Figure 4.
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Activities involved in setting up a reservoir model

(i) "Choices and Controls": we have some control over these

(ii) "Reservoir Givens": usually very uncertain - whats down

there ?

(iii) "Reservoir Performance Results": observation of the

"results - the reservoir performance
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Activities involved in setting up a reservoir model

Cont..
(i) "Choices and Controls": we have some control over - e.g.

- location of injectors and producer wells

- well capability (completions & kit)

- how much and rate of water or gas injection [constraint]

- how fast we produce the wells (drawdown) [constraint]

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Activities involved in setting up a reservoir model

Cont..
(ii) "Reservoir Givens": (usually very uncertain)
- reservoir geology
- architecture and properties (petrophysics)
- presence/absence of an active aquifer (drive mechanism)

We can know more about the reservoir by carrying out seismic surveys,
drilling appraisal wells, running wireline logs, gathering and performing
measurements on core, performing and analyzing pressure buildup or
drawdown tests, etc.
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Advances in
Seismic from
the 1970s to
now
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Running Logs - Improving k/ correlations

Predicted k based on multiple regression of , resistivity and GR logs

J.C.Herweijer, M Barley, S. Chugh, S. Alexander, M. Smith and F. Kuppe, Using
a 3D Stochastic GeoModel to Determine Optimal Infill Potential of a Mature Gas
Field: A Case Study, SPE62901, 2000 ATCE, Dallas, TX, 1-4 October 2000
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Activities involved in setting up a reservoir model

Cont..
(iii) "Reservoir Performance Results": observation of the
"results e.g. well production rates of oil, water and gas, the field
average pressure, the individual well pressures and well
productivities etc.
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What Are We Trying To Do and How Complex

Must Our Model Be?
At its most complex, task is to incorporate features (i) - (iii)
above in a complete model of the reservoir performance.

But stop and ask ....

- What decision am I trying to make?

- What is the minimum level of modelling - or which tool can I
use - that allows me to adequately make that decision?
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Return to questions ...

- What decision am I trying to make?
- What is the minimum level of modelling - or which tool
can I use - that allows me to adequately make that
decision?

Without details of "simple" and "complex", Figure 1.5

shows three models of the same reservoir.
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Fig. 5(a) Tank model of a reservoir

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Fig. 5(a) Tank model of a reservoir (Material Balance)

Advantages of material balance models

- very simple
- can address questions relating to average field pressure
for given oil/water/gas production and water influx
from given initial quantities and initial pressure (assumptions).
Disadvantages - (essentially a "tank" model)
- cannot address pressures in two sectors of reservoir being
different (single average P is a core assumption)
- any other spatial question - e.g. well location, etc
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Fig. 5(b) Simple sector model of a reservoir

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Fig. 5(b) Simple sector model of a reservoir

Advantages:
- the sector model is somewhat more complex in that it
recognizes different regions of the reservoir.
- can therefore model different regional pressures.
Disadvantages:
- may still be inadequate for detailed questions e.g. in mature
field with many injector/producer wells where should I locate
an infill well ? should it be vertical, slanted or horizontal ?
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Fig. 5(c) Fine grid simulation model of a waterflood

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Fig. 5(c) Fine grid simulation model of a waterflood

Advantages:
- does everything the simpler models do +++
- much more flexible and can now include extensive spatial
data

Disadvantages:
- complexity, time consuming and computational cost
- lack of data ... see below
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Fig. 5(c) Fine grid simulation model of a waterflood

more detailed and it contains more spatial information

- can model well location, horizontal vs. vertical etc..
sequence of models => no one "right" model for a reservoir.
The simplicity/complexity of the model should relate to the
simplicity/complexity of the question

Also - the issue of DATA

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Fig. 5(c) Fine grid simulation model of a waterflood

The issue of DATA ... note that ..

1) We require increasing amounts of data as we go from
Figure 5a 5b 5c.
2) Think carefully before building a very detailed model (Fig.5c)
if we have almost no data (sometimes we do)
Usually:
The simplicity/complexity of the model should relate to the
simplicity/complexity of the question, and be consistent with the
amount of reliable data which we have.
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IF building a numerical simulation model is the correct

approach:
- what do we model and why do we model it ?
- may approach a range of questions only some of which
require construction of a full numerical simulation model

We first define what a numerical reservoir simulation model

is and what sorts of things it can (and cannot) do.
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Definition:
A numerical reservoir simulation model is a grid block model
of a petroleum reservoir where each of the blocks represents a
local part of the reservoir. Within a grid block the properties are
uniform (porosity, permeability, relative permeability etc.)
although they may change with time as the reservoir process
progresses. Blocks are generally connected to neighboring
blocks so fluid may flow in a block-to-block manner. The model
incorporates data on the reservoir fluids (PVT) and the reservoir
description (porosities , permeabilities etc.) and their distribution
in space. Sub-models within the simulator represent and model
the injection/producer wells.
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An example of numerical reservoir simulation model (Figure 6)

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A waterflood simulation in a reservoir model 1 year

1.5 years
2.0 years
2.5 years
3.0 years
3.5 years
4.0 years
4.5 years
5.0 years
5.5 years
6.0 years
6.5 years
7.0 years
7.5 years
8.0 years
8.5 years
9.0 years
9.5 years
10 years
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To run a reservoir simulation model, you must:

a) gather and input the fluid and rock (reservoir description)
data as outlined above;
b) choose certain numerical features of the grid (number of
grid blocks, time step sizes etc);
c) set up the correct field well controls (injection rates, bottom
hole pressure constraints etc.); these "drive" the model;
d) choose which output (vast range) to be printed to file
then plotted later or while the simulation is still running.
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Output may include (non exhaustive)

the average field pressure as a function of time;
the total field cumulative oil, water and gas profiles vs. time;
the total field daily (weekly, monthly, annual) production rates of each
phase: oil, water and gas;
the individual well pressures (bottom hole or, through lift curves, wellhead)
over time;
the individual cumulative and daily flowrates of oil, water and gas with
time;
either full field or individual well watercuts, GORs, O/W ratios with time;
the spatial distribution of oil, water and gas saturations in the reservoir as
functions of time i.e. So(x,y,z;t), Sw(x,y,z;t) and Sg(x,y,z;t),
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Objective in a typical full field reservoir simulation

study
to produce future predictions (output quantities) that
will allow us to optimize reservoir performance.
"optimize reservoir performance" implies bringing
the maximum economic benefit to the company.

May use reservoir simulation in many smaller ways to

decide on various technical matters.
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Outline
What is a simulation model?

What is a reservoir simulation model?

Applications of reservoir simulation

Types of reservoir simulation models

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Field application of reservoir simulation

A. Reservoir Simulation at Appraisal and in Mature Fields

Reservoir simulation may be applied either at the appraisal

stage of a field development or at any stage in the early,
middle or late field lifetime.
There are clearly differences in what we might want to get out
of a study carried out at the appraisal stage of a reservoir and
a study carried out on a mature field.
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Appraisal stage: reservoir simulation used to design field

development plan in terms of the following issues:
the nature of the reservoir recovery plan e.g. natural depletion,
waterflooding, gas injection etc.
the nature of the facility required to develop the field (e.g. a
platform, subsea development or FPS etc..)
the nature and capacities of plant sub-facilities such as
compressors for injection, o/w/g separation capability
the number, locations and types of well (vertical, slanted or
horizontal) to be drilled in the field
the sequencing of the well drilling program and the topside
facilities
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Appraisal stage: ... but consider

At appraisal stage we make many of the most expensive
investment decisions e.g. the type of platform and facilities etc.

Appraisal is the most helpful time to have accurate forward

predictions of the reservoir performance.

But, this is when we have the least amount of data and very little
or no field performance history (there may be some extended
production well tests).

Does reservoir simulation have a built-in weakness ?

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Does reservoir simulation let us down when we

need it most?
BUT .. running forward predictions on a range of cases may
generate a spread of predicted future performance - see Fig. 6.

How to estimate which of these predictions is the most likely and

what the magnitude of the "true" uncertainties are is very
difficult and will be discussed later in the course.
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Figure 6: Spread of future predicted field performances from a

range of scenarios of the reservoir at appraisal.

Example scenarios:
different assumptions about the original
oil in place (STOIIP)

different values of the reservoir

parameters e.g. permeability, porosity,
net-to-gross ratio, the effect of an
aquifer, etc.

major changes in the structural geology

or sedimentology of the reservoir
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Mature field development: when the field is in "mid-life"

- production 2 - 20+ years but still life ahead - say 3 - 10+ years.
At this stage, reservoir simulation is a tool for evaluating future
development options for the reservoir
Main difference with appraisal stage - now have some field
production history e.g. pressures, cum. oil, watercuts, GORs..+
idea of which wells communicating + some production logs.
Initial reservoir simulation model probably found to be "wrong
i.e. fails in some predictions e.g. didn't predict water
breakthrough in our waterflood (often injected water arrives
early).
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Mature field development: typical activities are:

perform history match of the available field production - "tune"
model for future field performance prediction;
from history match - re-visit field strategy in terms of changing the
development plan e.g. infill drilling, extra injection capability,
going to gas injection, implement IOR scheme etc.;
deciding between smaller project options such as drilling an attic
horizontal well vs. working over 2 or 3 existing vertical/slanted
wells;
may review the equity stake of partner companies after some
field production - typically involves a complete review of the
engineering, geological and petrophysical data prior to a new
simulation study;
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Mature field development: typical activities are

(Cont..)
the reservoir recovery mechanisms can be reviewed using a
carefully history matched simulation model e.g. if we find that,
to match the history, we must reduce the vertical flows (by
lowering the vertical transmissibility), we may wish to
determine the importance of gravity in the reservoir recovery
mechanism.
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Outline
What is a simulation model?

What is a reservoir simulation model?

Applications of reservoir simulation

Types of reservoir simulation models

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A) The Black Oil Model

CM1 Focuses on simplest simulation model - "Black Oil
Model
The Black Oil Model:
- most commonly used formulation of the reservoir simulation equations -
single, two and three phase reservoir processes

- treats the three phases - oil, gas and water - like mass components - only
gas is allowed to dissolve in the oil and water.

- gas solubility is described in oil and water by the gas solubility factors (or
solution gas-oil ratios), Rso and Rsw

- typical field units of Rso and Rsw are SCF/STB - are pressure dependent
and this is incorporated into the black oil model.
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Schematic of a grid block in a black oil simulator in Fig. 7 showing

the amounts of mass of oil, water and gas present
Fig. 7: schematic of block in a black oil simulator - gas is present in the oil and water;
pore volume = Vp = block vol. x ; osc, wsc. and gsc are densities at standard conditions
(60oF and 14.7 psi); Bo, Bw and Bg are the formation volume factors; Rso and Rsw are the gas
solubilities (or solution gas/oil ratios).
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Schematic of a grid block in a black oil simulator in Fig. 7

showing the amounts of mass of oil, water and gas present
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Reservoir processes modelled using black oil

model:
- recovery by fluid expansion - solution gas drive (primary
depletion);
- waterflooding viscous/capillary/gravity forces (secondary
recovery)+ capillary imbibition processes;
- immiscible gas injection;
- some 3 phase processes e.g. immiscible WAG
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B) Compositional Model
required when significant interphase mass transfer occurs in the
fluid displacement process.
- usually three phases (g/o/w) but actual compositions of the oil
and gas phases are explicitly acknowledged via PVT behaviour.
i.e. the separate components (C1, C2, C3, etc.) in the oil and
gas phases are tracked as indicated in Fig. 8.
- mass conservation applied to each component rather than just
to "oil", "gas" and "water" as in the black oil model. e.g. for
nearcritical fluid, small P => large compositional changes of
"oil and "gas" phases => affects (o, g, , IFTs - ow, go,
gw etc.).
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Fig. 8: phases and components in compositional simulation. Cij =

mass conc. of component i in phase j (j = gas, oil or water) -
(M/L3).
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The Compositional Model: reservoir processes that

can be modelled using a compositional model
include:
- gas injection with oil mobilisation by 1st contact or multi-
contact miscibility (e.g. in CO2 flooding);
- the modelling of gas injection into near critical
reservoirs;
- gas recycling processes in condensate reservoirs
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More Complex Reservoir Simulation Models

The Chemical Flood Model: developed to model polymer and
surfactant (usually combined) displacement processes.
- polymer flooding - an "enhanced waterflood" to improve the
mobility ratio (M) - improve sweep efficiency and reduce
channelling in highly heterogeneous layered systems;
- polymer/surfactant flooding - surfactant lowers IFT between
the oil and water phases - hence "releases" trapped Sor - the
polymer is for mobility control behind the surfactant slug;
- low-tension polymer flooding (LTPF) viscous polymer +
surfactant to reduce IFT - combined effect good sweep
+ lower Sor;
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The Chemical Flood Model: (continued...)

- alkali flooding e.g. sodium hydroxide injected to lower IFT
+ other effects which may help to mobilise Sor;
- foam flooding - surfactant in gas injection forms foam which has
high effective viscosity in the formation - displaces oil more
efficiently.
- water shut-off - a near-wellbore process modelled using such
simulators is water shut-off using either polymer-crosslinked
gels or so-called "relative permeability modifiers".
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Thermal Models: in thermal processes heat is added to the

reservoir - to reduce the viscosity of a heavy oil e.g. o of order
100s or 1000s of cP; examples:
- steam "soaks" - steam injected into the formation - well is
shut in to allow heat dissipation into the oil - well then back
produced to obtain mobilised oil ( o); known as a "Huff n' Puff
- steam "drive" where the steam in injected continuously into
the formation from an injector. Again, objective is to o but
penetration of the heat front is deeper into the reservoir.
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Thermal Models: (continued ...)

- in situ combustion where - an actual combustion process is
initiated in the reservoir by injecting oxygen or air. Part of the
oil is burned (oxidised) to produce heat and combustion gases
that help to drive the (unburned) oil from the system.
This is not a common improved oil recovery method but a
number of field cases showing at least technical success have
been reported in the SPE literature.
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Models more closely defined by their treatment of

the rock structure or the rock response include:
Dual-Porosity Models of Fractured Systems:
simulate where oil mainly flows in fractures but is stored mainly in rock
matrix;

- models the fracture flows + exchange of fluids between them;

- applied to recovery processes in massively fractured carbonate reservoirs

e.g. in Middle East and elsewhere in the world.

- considerable field experience of modelling such systems in certain

companies but...

- are also doubts over the validity of such models of flow in fractured systems
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Table 1.1: Comparison of field experience with various types of simulation

model (after Mattax and Dalton, 1990)

Any of the books

on reservoir
simulation listed at
the end slide
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Some further reading

on reservoir simulation
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