FUNDAMENTALS OF

RESERVOIR ENGINEERING

Subsurface Asset Management Limited,

KM 12 Lekki-Epe Expressway,
Lekki Peninsula, Lagos, Nigeria
 Course Outline
Introduction
The Basic Reservoir Rock Properties
Characteristics Of Reservoir Fluid
Recovery Methods
Determination of Hydrocarbon in Place
Different Forms of MBE And Applications
Gas Condensate Reservoirs
Water Influx
Decline Curve Analysis
Fluid Flow Concept
Advances In Reservoir Engineering
 Course
Course Objectives
Objectives
At the end of this course the participants will effectively
carry out the following functions:
Choose best Recovery Scheme
  Calculate oil-in-place and gas-in-place
  Estimate Recoverable Reserves
  Predict future performance (Forecast)
  Undertake Studies to aid Reservoir Management
  Reservoir Surveillance
  PVT Sampling and BHP Survey
Welltest Interpretation
  Operational Support
 Chapter 1
Introduction
Course Overview:

Reservoir Engineering deals with the application

scientific principles for optimal recovery of the
contents of hydrocarbon reservoir.

It requires an integrated input of all petroleum

engineers (from drilling engineer to the production
engineer), geologists, geophysicist and management
staff.
Reservoir Engineer And Other
Disciplines
Exploration
Prod Geology/
Production
Environmental Seismology
Economics

Petrophysics Reservoir Production

Engineering Operations

Well Production
Engineering Process Technology
Engineering
• STOIIP:
Nomenclature
Stock-Tank-Oil-Initially-In-Place.
Total estimated oil volume in the reservoir , measured at the surface.
• FGIIP: Free-Gas-Initially-In-Place.
Total estimated gas volume in the reservoir , measured at the
surface.

• UR: Ultimate Recovery

Total recoverable volume of reservoir fluid, measured at
the surface.
• Production
Volume of hydrocarbon produced to the surface.
• Reserves
Ultimate Recovery - Production.
 Essential Features Of
Petroleum Reservoir Cap Rock

GAS

OIL
Reservoir
Oil and gas migrating
up-structure

WATER

Carrier Bed

• Cap rock (Non Permeable Rock)

From Sources
Beds
• Reservoir (Porous and Permeable Rock)
• Hydrocarbon
• Aquifer (Water Sand)
 Major Rock Types
Igneous Rocks
These are products of solidification of molten earth-materials.
Petroleum accumulations are not found in igneous rocks.

Metamorphic Rocks
These are formed from pre-existing rocks altered by high
temperature and pressures during a period of deep burial (gneiss
and schist). Petroleum deposits are not likely in metamorphic
rocks and have not yet been reported.

Sedimentary
These are formed from the deposition of the fragments of pre-
existing rocks (shale, sandstone and limestone).
 Classification of
Sedimentary Rocks
• Clastic
These consist of particles which are derived from
pre-existing rocks e.g. Sands, Sandstone, Silts,
Shale etc.
• Non-Clastic
These are formed by chemical precipitation e.g.
Limestone, Dolomite, Chalk

Great Petroleum Reservoirs Occur in Sands, Sandstone, Limestone,

Dolomite and Mixture of these types.
 Chemistry of Petroleum
 

Chemically, petroleum is an extremely complex mixture

of hydrocarbon (compounds of hydrocarbon and carbon)
compounds with minor amounts of nitrogen, oxygen,
sulphur and other inorganic substances as impurities.

Element Crude Oil Asphalt Natural Gas

  % wt. % wt. % wt.
Carbon 82.2 - 87.1 80 - 85 65 - 80
Hydrocarbon 11.7 - 14.7 8.5 - 11 1 - 25
Sulphur 0.1 - 5.5 2-8 trace - 0.2
Nitrogen 0.1 - 1.5 0-2 1 - 15
Oxygen 0 - 4.5 -- --
 Hydrocarbon Groups
Paraffin
The paraffins or alkanes are saturated straight chain
hydrocarbons with the basic formula CnH2n +2,
Naphthene
Naphthenes or cycloparaffins are saturated ring
hydrocarbon compounds with the molecular formula CnH2n
Aromatics
Aromatic or benzoid hydrocarbons are unsaturated with a
molecular formula of CnH2n-6

Hydrocarbon Type % wt.

Paraffin 57.2 - 85.2
Naphthene 7. - 34.9
Aromatics 2.8 - 8.
Hydrocarbon Groups Cont’d

Benzene
 Forms of Natural Gas
Occurrence
Petroleum occurs in gaseous state as natural gas. Natural gas is
a mixture of hydrocarbon gases and in some cases plus some
non-hydrocarbon gases. Depending on some conditions, natural
gas can occur as:  
-Non Associated Gas.
- Associated Gas. 

Gas

Gas Oil

Water
Water

Non Associated Gas Associated Gas

 Forms of Petroleum Occurrence

Surface occurrence
The semi-solid/solid petroleum are usually regarded as fossil
petroleum (petroleum that has lost its liquid and gaseous
components).

They occur as disseminated deposits in the pores and fractures

of sedimentary rocks (rocks made up of particles derived from
a pre-existing source, transported for some distance before
being deposited).
 Forms of Petroleum
Occurrence Cont’d
Subsurface occurrence
Subsurface occurrences of petroleum are restricted to gaseous
and liquid hydrocarbons. Based on their economic viability, the
following classes are distinguished:
Minor shows
Pools
Fields
Province
 Classification of Subsurface
Occurrence Based on Economics
• Minor oil show
These are uneconomic oil and gas accumulations based on the
current price of oil.

• Pool (Reservoir or Sand)

This is the simplest unit of commercial occurrence petroleum. It is a
body of oil and/or gas which occurs in a separate reservoir and under
a single pressure system

• Field
This term refers to a group of oil and/or gas pools related to a single
geologic feature such as structural or stratigraphic

• Province
A petroleum province is a region which contains a number of oil
and/or gas pools and fields in a similar or related geologic
environment (e.g. the Niger Delta petroleum province).
 Origin of Petroleum

The genesis of petroleum is not too well understood because

many hypotheses have been advanced by several workers.
These propositions can be conveniently subdivided into 2:

Abiogenic (inorganic)

Biogenic (organic)
 
 Inorganic Origin of Petroleum
The proposed models are based on the following facts:
Chemical reactions with inorganic substances (e.g.
metallic carbides) in the laboratory yield some
paraffinic hydrocarbons like methane.
Association of small quantities of hydrocarbons with
volcanic rocks (e.g. Japan, Mexico and Java).
The occurrence of hydrocarbons in some
meteorites (e.g. Arguel meteorite of USA.)

The inorganic hypothesis have been relegated to the

background because none can produce the complex
mixtures of hydrocarbons normally present in petroleum.
 Organic Origin of
Petroleum
On the contrary, the organic model appears very plausible
for the following reasons:
1. 99% of all petroleum occurrences are associated with sedimentary
rocks which contain varying proportions or organic matter.

2. Petroleum are preferentially accumulated in geologically younger rocks

which coincides with the abundance of life.

3.  A wide variety of fossil micro-organisms, of organic origin, occur in

most crude oils.

4. Recent organic rich sediments form petroleum hydrocarbons like

methane.
 Organic Origin of Petroleum
Cont’d

5. Crude oils contain compounds (porphyrin complexes) found

only in plants and animals.

6. Crude oil also contain substances suggestive of low temperature

origin (porphyrin < 250C and elemental sulphur).

7. The depth bracket at which petroleum is encountered in any

sedimentary basin is relative shallow.
 Distribution of Organic Matter
and Hydrocarbon in Sediments
Lithology %Organic Matter / Hydrocarbon
Organic Carbon (ppm)

Sands Less than 0.05 --

Carbonates 0.29 --
Shales 2.1 --
-- -- --
Underdays 0.34 19
Green Shales 0.31 31
Grey Shales 1.52 129
Black Shales 7.94 2920
Limestone 0.19 91
-- -- --
Recent Shelf Clay 2.86 --
Recent Slope Clay 0.85 --
Foot of Slope Clay 0.42 --
Ridge Clay 0.41 --
Pelagic Clay 1.16 --
 Stratgraphic Distribution of
Petroleum
Era/Period Age % total Life Processes
(Mys.) Oil

Tertiary 62 38 Multiplicative Growth

Mesozoic 186 53 Exponential Growth
Paleozoic 350 9 --

To what degree the biogenic source material were of vegetable opposed

to animal derivation and the exact genetic stages the organic matter
undergoes to become petroleum is not very well understood.

However, the association of crude oil with sedimentary rocks of marine

origin suggest a significant role of marine organisms (both vegetable and
animal) in the formation of petroleum.
 Origin of Petroleum
a) Inland sea bottoms abounded with
marine plant and animal life.
b) Remains of plants and animals were
buried.
c) Sediments were compacted into rock
such as sandstone, limestone, and
shale.
d) Heat, pressure, bacteria, and other
processes transformed remains of
marine life to small droplets of oil.
e) Oil droplets migrated through the pore
spaces.
f) Forces within the earth caused the
rocks to be arched and folded.
g) Hydrocarbons accumulated and were
trapped in the crests of the folds.
 Petroleum Migration
Differential pressures and waters in the porous, permeable
rock cause the scattered oil and gas units to migrate and
accumulate into larger and larger concentrations.
• Primary migration
From source bed to reservoir rock and caused by compaction.

• Secondary migration
Movement within reservoir rock to most sealing trap.

Cap Rock
SM
SM SM Primary and
Reservoir Rock
Secondary
PM Migration
Source Rock
 Petroleum Traps

A point of low potential energy within the reservoir rock,

arrests movement of the hydrocarbon and causes
entrapment and accumulation.

Such points could be caused by structural, stratigraphic

and hydrodynamic factors or a combination of any of the
above.

These are geologically referred to as petroleum traps.

 Petroleum Traps Cont’d
Structural Traps
Structural traps are the result of movements within the crust that
produce faults and folds.
Traps that are formed chiefly as a result of uplifting, folding and
faulting are the ones that are most apparent from structural mapping

Stratigraphic Traps
Stratigraphic traps are not dependent on folding or faulting of the rock
layers; instead they are formed by primary changes in porosity and
permeability related to deposition.
 Structural Traps
Faults

Anticlines
Oil

Salt Wate r

Structural
Unconformities Piercements
Gas

Oil
Oil
Oil
Salt
Water Salt
Oil
 Stratigraphic Traps

Oil
• Isolated Sand or
Limestone Bodies Wate r

– Fluvial bars and Oil

Oil
channels
Wate r
– Deep water Wate r

channels
– Reefs
 Exercise
Exercise No.
No. 11
Name the hydrocarbon traps shown in the figure:
A

C
F
B
D
E
Solution to Exercise No. 1

A. Anticline
B. Pinchout
C. Unconformity
D. Reef
E. Salt dome related
F. Fault
 Geophysical Exploration

Geophysical exploration is defined as prospecting for mineral

deposits and geologic structures by the indirect
measurement, at the earth’s surface, of the physical
properties of the rocks below the earth’s surface

These best oil-finding techniques reveal only structural or

stratigraphic traps that may or may not contain
hydrocarbons.

Main Exploration Methods Includes:

Gravity Method
Magnetic Method
Seismic method
 Gravity Method
In the gravity method, measurements are made of minute variations in
the pull of gravity from rocks within the first few miles of the earth’s
surface. The measurements are made with a gravity meter, which is
capable of detecting minute variations in the pull of gravity with an
accuracy of one part in ten million.

Theoretical gravity
graphs over
various buried
structural
hydrocarbon
traps.
 Magnetic Method
The magnetic method uses the magnetometer which indicates deviations
from the earth’s normal magnetic field. Granite ridges, igneous intrusive
rocks and structures containing highly magnetic rock layers produce such
deviations. Whenever petroleum is expected to be trapped by or
associated with rocks such as these, the magnetometer is a valuable
exploration tool.

Theoretical magnetometer graph

over a buried igneous intrusive
containing many magnetic
minerals. The upwarping caused by
the intrusion has created an
anticlinal oil trap.
 Seismic Method
These miniature earthquakes are created at or near the surface of the
earth by exploding a charge of dynamite. The seismic wave created by
the dynamite explosion travels downward through the rock layers.
When the seismic wave encounters a particularly hard, dense layer (for
example, a limestone underlying a soft shale), a small portion of the
energy of the seismic wave is reflected back to the surface. Lower
reflecting horizons are detected by sets of wiggles farther along on the
seismic record.

Seismographic field operation.

(After Finley, 1975)
 SI System of units
SI - abbreviation for Le Systeme International d’Unites or International
System of Units
– An international language of measurements whose
symbols are identical in all languages

SI system of units is an absolute system of units

– It is based on seven well defined base units
– It is not identical with the metric units (CGS & MKS); but
an extension & improvement of the units

SI system is fast becoming the most internationally recognised system

of units

Unit of force in SI units is the Newton (kg.m/s2)

 Engineers’ Field Units
Engineers in the US and many English-
speaking countries use a hybrid system of
units called the engineers’ units
However, engineers need to learn how to
work in SI units since this system is becoming
more widespread.
The wide variation of unit systems makes it
important for geoscientists and engineers to
be adepts at converting from one system of
units to the other
Absolute and Hybrid System of Units Used in Petroleum Engineering

      Absolute units Hybrid units

Parameter Symbol Dimensions cgs SI Darcy Field

Length l L cm meter cm Ft

Mass m M gm kg gm lb

Time t T sec sec sec hr

Velocity u L/T cm/sec meter/sec cm/sec ft/sec

Rate q L3/M cc/sec meter3/sec cc/sec stb/d (liquid)

Mscf/d (gas)

Pressure P (ML/T2)/L2 dyne/cm2 Newton/meter2 atm psia

(Pascal)

Density  M/L3 gm/cc kg/meter3 gm/cc lb/cu.ft

Viscosity  M/LT gm/cm.sec kg/meter.sec cp cp

(Poise)

Permeability K L2 cm2 meter2 Darcy mD

 Units Conversion
Dimensional Consistency
We use equations to express relationships among physical
quantities that are represented by algebraic symbols
Each algebraic symbol always denotes both a number and a unit.
– For example s might represent distance of 100 feet, t time of
50 seconds, and v speed of 2 ft/s
An equation must always be dimensionally consistent. Two terms
may be added or equated only if they have the same units.
For example if a body moving at constant speed, travels a
distance s, in time t, the quantities may be related by an
equation: s = vt
If s is measured in feet, then the product vt must also be
expressed in feet
 Units Conversion
To convert a quantity from one unit to another:
Express the same physical quantity in the two units and then
form an equality
– e.g. if we say that 1 min = 60sec, we don’t mean that the
number 1 is equal to the number 60; we mean that 1 min
represents the same physical time interval as 60 sec
– For this reason, the ratio (1 min)/(60 sec) equals 1, as does
its reciprocal (60 sec)/ (1 min).
We can multiply a quantity by either of these factors without
changing that quantity’s physical meaning
To find the number of seconds in 9 min, we may write
9 min = 9 min ( 60sec ) = 540 sec
( 1 min )

Note: In Units Conversion, units are multiplied & divided just like
ordinary algebraic symbols
 Units Conversion
Converting Numerical Quantities
Problem-Solving Strategy
Form an equality with the same physical quantity using its
original units on both the LHS and the RHS
From the units table, find out the unit factor that relates the
original and the newly required units.
Form a ratio between the new and the original units (or vice-
versa)
Multiply the RHS of your equality with this ratio, making sure
the ratio is arranged in such a way that symbols representing
the original units cancel out, leaving behind the new units.
Finally calculate the resulting numbers under the new units.
 Exercise No. 2

Express the speed of 2056 km/h in

metres per second
Solution To Exercise
No. 2
The prefix k means 103
2056km/h =2056 x 103 m/h
Set up the conversion equality as follows,
treating the units as if they were algebraic
symbols that could cancel out:

 m  1h  
2056Km / h  2056  10 3   
h  3600 s 
2056Km / h  571.11m / s
 Exercise No.3
The world’s largest cut diamond is the First
Star of Africa (mounted in the British Royal
Sceptre and kept in the Tower of London). Its
volume is 1.84 cubic inches. What is the
volume in cubic centimetres? In cubic
metres?
 Solution To Exercise No. 3

Conversion to cubic metres

Since 1 inch = 2.54 x 10-2 metres

  
3
  
 2.54  10 2  2.54 3 10  6 m 3 
3 3 m 3
1.84in  1.84in    1.84 in
  
1in 3
   1in 
1.84in3  30.2  10  6 m 3
 Conversion of Equations
The equation
kA p
q  
 L
is the steady state form of Darcy’s law for a linear system. The
parameters in the above equation are given in Darcy’s units.
That is:
q cc / s   
 
k  D  A cm 2 p atm
  cp  L  cm
The above equation can be converted to oilfield units. That is:
q(cc/s) - q(STB/day) Note that the flow rate in Darcy’s
unit is expressed at reservoir
k(D) - K(mD) conditions, in oilfield units, it is
expressed at stock tank conditions.
A(cm2) - A(ft2) Conversions of Darcy’s equation
from Darcy’s units to oilfield units is
p(atm) - p(psi) done by replacing all terms in the
original equations with other terms
(cp) - (cp) combining to get the overall
conversion factor.
L(cm) - L(ft)
 Conversion of Equations Cont’d
The terms and their replacement are as follows:

1 D 
k  D   k  mD  
1000 mD 

   Aft   30.48 cm

2
2 2 
A cm  
 1 ft  

1 atm
p atm  p psi
14.7 psi

  cp     cp 

30.48 cm
L  cm  L  ft 
1 ft 

 bbl  1 day 158987 cm 3

q cc / s   q STB / day  B o     24  3600  sec 
 STB  1 bbl 
 Conversion of Equations Cont’d
Substituting:
 STB   bbl  1 day 0.158973 m 3 100 3 cm 3
q   B o    
 day   STB   24  3600  sec s bbl m

k  mD  
D
1000mD
 
2
 A ft 
 30.48 2 cm2
ft 2

 p psi
 atm 
14.7 psi 
 
30.48 cm
  cp  L  ft  
ft

Evaluating: qB  STB 
 day   1.84013  0.002073469
 
k  mD A ft 2 p psi 
o    cp  L  ft 

and

 STB 
q   1.127  10
 
 3 k  mD  A ft p psi 
2

 day   bbl 
  cp  B o   L  ft 
 STB 
The conversion factor 1.127 x 10-3 should be familiar to those who
have taken basic reservoir engineering courses.
 Dimensions
Every physical quantity,including those
encountered in the foregoing sections,may be
designated in terms of a few primary dimensions
such as force, length, time and temperature
(F, L, T, ) or mass, length, time and temperature
(M, L, T, ).

For most problems the three fundamentals

dimensions needed are M, L, and T or F, L and T.
 Exercise 4
Express the following in terms of primary
dimensions:
1. Volumetric flow rate, Q
2. Mass flow rate, G
3. Density, 
4. Viscosity, 
5. Pressure, p
6. Pressure Gradient, P/L
 Solution To Exercise 4
Q = Volume/Time = L3M-1
G = Mass/Time = MT-1 (or FL-1T)
 = Mass/Volume = ML-3 (or FL-4T-2)
 = Stress/Rate of shear
MLT 2  L2
= (F/A)/(dv/dx) 
LT  1
L

 ML 1T  1 or FL 1T 

P = Force/Area = ML-1T-2 (or FL-2)

P/L = Pressure/Length = ML-2T-2 (or
FL-3)
 Dimensions and Quantities
Quantity Mass System (MLTQ) Force System (FLTQ)
Length L L
Time T T
Mass M FL-1T2
Force MLT-2 FL-1T2
Temperature  
Specific Weight MLT-2T-2 FL-3
Mass Density ML-3 FL-4T2
Angle None None
Pressure and Stress ML-1T-2 FL-2
Velocity LT-1 LT-1
Acceleration LT-2 LT-2
Flow Rate (Volumetric) L3T-1 L3T-1
Flow Rate (Mass) MT-1 FL-1T
Energy, Work ML2T2 FL
Power = Force x Dist/Time ML2T3 FLT-1
Surface Tension MT-2 FL-1
Viscosity (Dynamic) ML-1T-1 FL-2T
Viscosity (Kinetic) L2T-1 L2T-1
 Exercise 5

Given the Darcy’s Equation:

q L
k 
A P

Evaluate the dimension of permeability.

 Solution To Exercise 5
From the Darcy’s Equation:
qL
k 
AP

cm3 / s cp cm 1 1

cm 2 atm

 1 M
L2 T   1T
 L  1 L


2
L   1T
 L
M  2

 L2

Hence, k=L2 showing that permeability must have the dimensions of L2

to make the Darcy’s Equation correct. The unit of 1 darcy is about 10-6
square meters.
END OF CHAPTER ONE