RESERVOIR MODELLING & SIMULATION

PCB3053

JANUARY 2016
Chapter 1
(Introduction to Reservoir Modelling & Simulation)

Course Background
Lecturers
Mr Juhairi Aris bin Muhamad Shuhili
Dr Mohammed Idrees Ali

Reference Material
Basic Applied Reservoir Simulation by Turgay Ertekin

Course Code
PCB 3053

Assessment
Individual Lab Project (15%)
Eclipse Project (7.5%)

Lab Report (5%)

Presentation (2.5%)

CMG Project (7.5%)

Class Participation will contribute up

to 5% - Mr. Aris

Lab Report (5%)

Presentation (2.5%)

Pop Quizzes (2.5%)

Tutorials (2.5%)
Assignment (10%)

Assignment 1 (5%) (Mr. Juhairi Aris)

Assignment 2 (5%) (Dr. Mohammed Idrees Ali)

Test 1 (15%) (Mr. Juhairi Aris)

Test 2 (15%) (Dr. Mohammed Idrees Ali)
---------------------------------------------------------Total coursework 60%
Final exam 40%
Attendance must be more than 90%
2 Lectures, 1 Tutorial and 1 Lab Session per week (except for the first week).
Software: Schlumberger Eclipse and CMG

Enlightenment
Outcome-Based Education (OBE)
Engineering Accreditation Council (EAC)
Board of Engineers Malaysia (BEM)
The Institution of Engineers Malaysia (IEM)

Course Outcomes
Identify the different steps (workflow) for developing a reservoir
simulator
Identify the basic equations of fluid flow in porous media applied to
various type of reservoir simulator.
Apply simple finite different schemes and matrix solver in a Black Oil
Simulator.
Conduct simulation study using a commercial simulator

Course Schedule
Week
1

Chapter

Lecturer

Chapter 1: Introduction to Reservoir Modelling & Simulation

Mr. Juhairi Aris

2-3

Chapter 2: Principles & Application of Finite Difference

Mr. Juhairi Aris

3-5

Chapter 3: Matrix Solver

Mr. Juhairi Aris

Chapter 4: History Matching & Error Analysis

Mr. Juhairi Aris

6-10

Chapter 5: Effects of Simulation Parameters on the Performance of a

Simulator.

Dr. Mohammed
Idrees Ali

10-12

Chapter 6: Introduction to Compositional Simulators

Dr. Mohammed
Idrees Ali

12-14

Chapter 7: Analysis of a full field simulation project from workflow of the

project

Dr. Mohammed
Idrees Ali

Course Tentative (Mr Juhairi Aris)

Tentative

Date
Release Date Week 3

Assignment 1 Chapter 1 2
Submission Date Week 4
Test 1 Chapter 1 to 4

Week 6 During Tutorial

Eclipse Project Week 7

Lab Report Submission & Presentation

CMG Project Week 12

Pre-requisites
Reservoir Engineering 1 (Compulsory)
Structural Programming and Database System (Compulsory)
Reservoir Rock & Fluid Properties (Highly Recommended)
Vector Calculus (Highly Recommended)
Computational Method (Highly Recommended)
Differential Equation (Highly Recommended)

Chapter Learning Outcome

To discuss the importance of reservoir simulation.
To describe different types of simulation models/methods.
To differentiate the function of each type of simulation
model.

To explain how a simulator works and the evolution of

reservoir simulation over the time.

Chapter Learning Outcome

Be familiar with what specifically a reservoir simulation model is.
Be able to describe the simplifications and issues that arise in going from the
description of a real reservoir to a reservoir simulation model.
Be able to list what input data is required and where this may be found.
Be able to compare the differences between what reservoir simulations can do
at the appraisal and in the mature stages of reservoir development.
Know all the types of reservoir simulation models (simulators) and what type of
problem or reservoir process each is used to model.
Know the key steps of the reservoir simulation study required for the field
development plan (FDP).
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11

Reservoir Simulation
Reservoir simulation is an important and useful tool in reservoir
management. Reservoir engineer can utilise it under different operating
conditions to predict the reservoir performance. This is the main
advantage of reservoir simulation. Prediction of performance accuracy is
really important because oil and gas project usually costs huge capital.
Reservoir simulation can be done at any stage.
Reservoir simulation is done by solving the partial differential equations
for single or multiphase flow using complex numerical method.
Reservoir simulation is divided into 2 main branches which are history
matching and performance forecasting.
Reservoir simulation is defined as the process of using the behaviour of
a model of the reservoir to represent or approximate the behaviour of
the true reservoir.

Reservoir Simulator
Reservoir simulators use numerical methods and high-speed
computers to model multidimensional fluid flow in reservoir rock.
Main components of a simulator

Geological model
Reservoir model
Fluid model
Petro-physical model
Mathematical model.

Mathematical Model
A mathematical model is described by a set of partial differential equations
(PDEs) which describe mass transport in region occupied by the reservoir
together with initial and boundary conditions.
The set of PDEs plus the initial and boundary conditions is referred to an initial
boundary value problem.
If the model is sufficiently simple, we may be able to solve the IBVP
analytically
For example, if we assume linear, incompressible steady-state flow in
homogeneous reservoir, neglect capillary pressure and gravity effects, we can
solve for the saturation profile and compute performance, analytically.
For instance, most well testing theory is based on models which have
analytical or semi-analytical solutions.
For most problems, of interest, however, the IBVP cannot be solved
analytically and thus we use a numerical model (or simulator), which is based
on the application of numerical methods to obtain an approximate solution of
the IBVP

Data Needed
Reservoir properties

Permeability & Porosity

Thickness
Dimensions & Geometry
Initial pressure & Saturations

Fluid properties
Viscosity & Density
Formation Volume Factor

Petro-physical properties
Relative Permeability
Capillary Pressures
Compressibility

Past production history

WOR
GOR
Pressure
Rate
Temperatures in the case of non-isothermal flow
Concentrations in the case of tracer flow

Faults, fluid contacts

OWC and GOC

Data Considered by Reservoir Modelling Methods

16

17

Reservoir Simulation
Reservoir simulation requires knowledge from several disciplines
Engineering
Physics
Chemistry
Mathematics
Computer programming

Heterogeneity & Anisotropy

Heterogeneity refers to the variation of permeability with respect to
location.
Anisotropy refers to the variation of permeability with respect to
direction. The vertical permeability is usually lower than horizontal
permeability due more variation of strata vertically than horizontally.
In real case, a reservoir is always heterogeneous and anisotropic.
Reservoir simulation is the only technique in modelling fluid flow
which considers heterogeneity and anisotropy. This is another
advantage of reservoir simulation.

Heterogeneity & Anisotropy

Material Balance vs Reservoir Simulation

Material Balance

Reservoir Simulation

Consider a single tank size

Consider from 1000 1000000 million cells

Doesnt incorporate heterogeneity

Cater for heterogeneity

Flow parameters are not introduced

Darcys flow is a main equation

Doesnt need static modelling

Static modelling must be done before reservoir simulation

Utilizes conservation of volume principle

Uses Darcy, Continuity, EOS, Partial Differential Equation and numerical

method

Easy and less expensive

Higher cost and more effort needed

Less Accurate

More Accurate (very accurate if history matched)

Vector & Scalar Quantities

Scalar quantities have only magnitude such as pressure, length and
time.
Vector quantities have both magnitude and direction such as
displacement and velocity.

Pressure & Potential

In 1-D flow horizontal flow, the effect of gravity is often neglected.
However, in vertical flow the effect of gravity plays an important role
in determining the direction of flow.
The resultant direction of flow can be computed by taking into
consideration of pressure difference and gravitational force. The
combined term of pressure difference and gravitational force is
known as potential term.

Permeability Tensor
In an anisotropic media, pressure difference can be applied in all 3
directions and in each direction, the permeability can be measured in 3
directions.
This will result in a 3 x 3 matrix tensor. Tensor is actually a generic term.
Scalar is zero rank tensor while vector is first rank tensor. Scalar will form 1
x1 matrix while vector will form 3 x 1 matrix.
In the case of permeability, the matrix formed is a symmetrical matrix. It
means the Kxy = Kyx, Kxz = Kzx, and Kzy = Kyz.

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Clear Objectives
Examples of Reservoir Study Goals
Typical Goals for New Fields (Appraisal Stage):
Define reservoirs internal & external boundaries
Define reservoir pay, volume, & reserves

Determine optimum number, location, & configuration

of wells
Optimize timing and sizing of facilities
Select optimum recovery process
Estimate potential recovery performance
Anticipate future produced fluid & operational changes

Determine critical gas and water coning rates

26

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
27

Clear Objectives
Examples of Reservoir Study Goals
Typical Goals for Mature Fields:
Monitor fluid contact movement

Evaluate productivity degradation

Evaluate historical reservoir performance. Determine why
performance did not match predicted recovery

Determine source of produced water and/or gas. Identify

wells with workover potential
Monitor reservoir sweep to locate by-passed oil

Specify infill drilling requirements

Estimate benefits of secondary recovery or EOR
Determine connectivity between multiple reservoirs
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Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
29

Reservoir Characterization
Three Inter-Dependent Components

30

Reservoir Characterization

31

Reservoir Characterization

32

Reservoir Characterization

33

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
34

Model (Simulator) Selection

Aspects of Model
1. Process
2. Dimensionality
3. Approach

35

Model (Simulator) Selection

Determine the Process
1. In reservoir simulation, fluid flows through one grid block to another. The
pressure, saturation and sometimes the compositions are monitored
while the fluids flow through the cells. In black oil simulation, the
composition change is neglected while in compositional simulation, the
composition change is considered.
2. The Black Oil Model
3. Compositional simulation is involved when phase change is prominent
such as for volatile oil, condensate gas or whenever an Enhanced Oil
Recovery process (EOR) is involved.
4. More Complex Reservoir Simulation Models:
The Chemical Flood Model
Thermal Models
Dual-Porosity Models of Fractured Systems
Coupled Hydraulic, Thermal Fracturing and Fluid Flow Models

36

Model (Simulator) Selection

The Black Oil Model:
It treats the three phases - oil, gas and water - as if they were mass
components where only the gas is allowed to dissolve in the oil and
water. This gas solubility is described in oil and water by the gas solubility
factors (or solution gas-oil ratios), Rso and Rsw, respectively.

Schematic of a
grid block in a
black oil simulator

37

Model (Simulator) Selection

The Black Oil Model:
Reservoir processes that can be modelled using the black oil model
include:
Recovery by fluid expansion - solution gas drive (primary depletion).
Water flooding including viscous, capillary and gravity forces
(secondary recovery).
Immiscible gas injection.
Some three phase recovery processes such as immiscible wateralternating- gas (WAG).
Capillary imbibition processes.

38

Model (Simulator) Selection

The Compositional Model:
A compositional reservoir simulation model is required when significant
inter-phase mass transfer effects occur in the fluid displacement process.
This model usually defines three phases (gas, oil and water) but the actual
compositions of the oil and gas phases are explicitly acknowledged due
to their more complicated PVT behavior. That is, the separate components
(C1, C2, C3, etc.) in the oil and gas phases are explicitly tracked.

The view of
phases and
components
taken in
compositional
simulation. Cij is the mass
concentration of
component i in
phase j (j = gas,
oil or water)
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Model (Simulator) Selection

The Compositional Model:
Examples of reservoir processes that can be modelled using a
compositional model include:
Miscible Gas injection (first 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.

40

Model (Simulator) Selection

The Chemical Flood Model:
This model has been developed primarily to model alkaline,
polymer and surfactant (or combined) displacement
processes.
Polymer flooding can be considered mainly as extended
water flooding with some additional effects in the aqueous
phase which must be modelling e.g. polymer component
transport, the viscosification of the aqueous phase, polymer
adsorption, permeability reduction etc.

Surfactant, flooding however, involves strong phase

behaviour effects where third phases may appear which
contain oil/water/surfactant emulsions.

Extended chemical flood models are also used to model

foam flooding.
41

Model (Simulator) Selection

The Chemical Flood Model:
Examples of reservoir processes that can be modelled using a
chemical flood model include:
Polymer flooding which can be thought of as an enhanced waterflood to
improve the mobility ratio and hence improve the microscopic sweep efficiency
and also to reduce streaking in highly heterogeneous layered systems;
Polymer/surfactant flooding where the main purpose of the surfactant is to
lower interfacial tension (IFT) between the oil and water phases and hence
to release or mobilize trapped residual oil; the polymer is for mobility
control behind the surfactant slug;
Low-tension polymer flooding (LTPF) where a more viscous polymer
containing injected solution also contains some surfactant to reduce IFT; the
combined effect of the lower IFT and viscous drive fluid improves the sweep
and also helps to mobilize some of the residual oil;
Alkali flooding where a solution of sodium hydroxide is injected into the
formation. The sodium hydroxide may react with certain components in the oil
to produce natural "soaps" which lower IFT and which may help to mobilize
some of the residual oil;
42

Model (Simulator) Selection

The Chemical Flood Model:
Examples of reservoir processes that can be modelled using a
chemical flood model include:
Foam flooding where a surfactant is added during gas injection to form a
foam which has a high effective viscosity (lower mobility) in the formation than
the gas alone which may then displace oil more efficiently.
Another near-wellbore process that can be modelled using such simulators
in water shut-off using either polymer-crosslinked gels or so-called relative
permeability modifiers.

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Model (Simulator) Selection

Thermal Models:
Examples of reservoir processes that can be modelled using thermal
models include:
Steam soaks where steam in injected into the formation, the well is shut in
for a time to allow heat dissipation into the oil and then the well is back
produced to obtain the mobilized oil (because of lower viscosity). This is
known as a Huff n Puff process.

Steam drive where the steam is injected continuously into the formation
from an injector to the producer. Again, the objective is to lower oil viscosity by
the penetration of the heat front deep into the reservoir.
In situ combustion where - as noted above - an actual combustion process
is initiated in the reservoir by injecting oxygen or air. Part of the oil is burned
(oxidized) 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.
44

Model (Simulator) Selection

Dual-Porosity Models of Fractured Systems:
These models have been designed explicitly to simulate multiphase
flow in fractured systems where the oil mainly flows in fractures but is
stored mainly in the rock matrix.
Such models attempt to model the fracture flows (and sometimes the
matrix flows) and the exchange of fluids between the fractures and the
rock matrix.
The models have been applied to model recovery processes in
massively fractured carbonate reservoir such as those found in many
parts of the Middle East and elsewhere in the world.
There is quite considerable field experience of modelling such systems
in certain companies but there are also doubts over the validity of such
models to model flow in fractured systems.
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Model (Simulator) Selection

Aspects of Model
1. Process
2. Dimensionality
3. Approach

46

Model (Simulator) Selection

Determine the Dimensionality
Use 1D models for linear or radial
flow in only one direction
Use 2D models for linear or radial
flow in two directions: Radial, areal,
cross-sectional
Use 3D models for situations for
linear or radial flow in three
directions: Pattern element,
segment, fullfield

47

Model (Simulator) Selection

Aspects of Model
1. Process
2. Dimensionality
3. Approach

48

Model (Simulator) Selection

Determine the Approach

Detailed Geologic Description

(May be matched to historic
performance)

Higher Uncertainty Properties

(Model depends on correlations
and assumed data)

49

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
50

Model Construction
Converting the Geological Model into a
Simulation Model
1.

Quality Control (QC) the geological model

for errors and problems

2.

Scale-up the geological model

3.

Output the geological model in simulation

format

4.

Output fault information for simulation

5.

Output well data for simulation

6.

Output production data in simulation

formats and link to wells

51

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
52

Model Validation

53

Model Validation
Two important ideas for the proper
validation of reservoir models:
History Matching must not be achieved at the expense
of parameter modifications that are physically and/or
geologically wrong
Even when a model is fully validated, simulation results
will still have some degree of uncertainty

54

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
55

Predictions
Important considerations when making
reservoir model predictions:
Prediction cases shouldnt exceed capabilities of the model.
Predictions need to be consistent with field practices.
Simulation yields a non-unique solution with inherent uncertainties
from:
Lack of validation (e.g., reservoirs with sparse geologic or
engineering data).
Modeling or mathematical constraints because of compromises
made in model selection.
Inherent uncertainties in reservoir characterization and/or scale up
to model dimensions.

56

Key Steps in a Simulation Study

1. Clear Objectives

Compare & Adjust

2. Reservoir Characterization
3. Model Selection
4. Model Construction
5. Model Validation
6. Predictions
7. Documentation
57

Documentation
Methods to document studies
Technical memorandum
Formal report
Presentation
Store data files
Share lessons learned with future project teams

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Acknowledgement
Prof. Mustafa Onur, UTP (2012-2013)
Dr. Abdalla Ayoub, UTP (2013-Present)
Dr. Mohammed Idrees Ali, UTP (2014-Present)