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What is Reservoir Simulation ?

Reservoir simulation is an area of reservoir engineering in which computer

models are used to predict the flow of fluids (typically, oil, water, and gas)
through porous media. (wiki)

Simulation is the art of combining physics, mathematics, reservoir engineering, and

computer programming to develop a tool for predicting hydrocarbon reservoir
performance under various operating strategies(Islam et al., 2016)

Simulation of petroleum reservoir performance refers to the construction and

operation of a model whose behaviour assumes the appearance of actual reservoir
behavior. (petrowiki)

Reservoir simulation is the means by which we use a numerical model of the

petrophysical characteristics of a hydrocarbon reservoir to analyze and predict
fluid behaviour in the reservoir over time( Knut-Andreas, 2014)
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General Modeling and Simulation Process
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Complexity of the Reservoir

• The hydrocarbon is trapped in the microscopic pores of a rock and will flow
through the rock only under the influence of extremely large pressure differentials

• The processes occurring in petroleum reservoirs are basically fluid flow

and mass transfer. Up to three immiscible phases (water, oil, and gas)
flow simultaneously, while mass transfer may take place between the
phases. Gravity, capillary, and viscous forces all play a role in the fluid flow
process.

• The model equations must account for all these forces, and should also
take into account an arbitrary reservoir description with respect to
heterogeneity and geometry

• The differential equations are obtained by combining Darcy’s law for each
phase with a differential material balance for each phase.
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Key terminologies

Computer models
Mathematical model
Numerical models
The physical system to be modelled A computer program or a
must be expressed in terms of set of programs written to
The equations constituting a
appropriate mathematical solve the equations
mathematical model of the
equations(PDEs). This process of the numerical model
reservoir are
almost always involves constitutes a computer
almost always too complex to be
assumptions. The assumptions are model of the reservoir.
solved by analytical methods.
necessary from a practical
Approximations must be made
standpoint in
to put the equations in a form
order to make the problem
that is
tractable. it results in a set of
amenable to solution by digital
nonlinear partial differential
computers. Such a set of
equations with appropriate initial
equations forms a
and
numerical model (Transform
boundary conditions
non-linear PDEs into linear
system of algebraic equations)
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Major Steps Involved In The Development Of A Reservoir Simulator

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The formulation step outlines the basic assumptions inherent to the simulator, states these
assumptions in precise mathematical terms, and applies them to a control volume in the
reservoir. Newton’s approximation is used to render these control volume equations into a set of
coupled, nonlinear partial differential equations (PDEs) that describe fluid flow through porous
media (Ertekin et al., 2001). Because of the highly nonlinear nature of a PDE, analytical
techniques cannot be used and solutions must be obtained with numerical methods.

Discretization is the process of converting the PDE into an algebraic equations. Several numerical
methods can be used to discretize a PDEs. The most common approach in the oil industry today
is the finite-difference method. Numerical solutions give the values of pressure and fluid
saturations only at discrete points in the reservoir and at discrete times. The discretization
process results in a system of nonlinear algebraic equations
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Linearization involves approximating nonlinear terms in both space and time. Linearization
results in a set of linear algebraic equations. Any one of several linear equation solvers can
then be used to obtain the solution. The solution comprises of pressure and fluid saturation
distributions in the reservoir and well flow rates

Validation of a reservoir simulator is the last step in developing a simulator, after which the
simulator can be used for practical field applications. The validation step is necessary to
make sure that no error was introduced in the various steps of development and in
computer programming. Validation of a reservoir simulator merely involves testing the
numerical code
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General Idea of reservoir simulation process

• Break up the reservoir into individual “blocks” or “grids”

• Write algebraic equations for pressure, saturation, etc. each block

• Solve the system of equations. More blocks means more accuracy, but longer
computation time
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Basic Steps of a Simulation Study

• Setting objectives

• Selecting the model and approach

• Gathering, collecting and preparing the input data

• Planning the computer runs, in terms of history matching

and/or performance prediction

• Analyzing, interpreting and reporting the results

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So why bother
about reservoir
simulation?
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Importance of reservoir simulation

• Predict future performance of oil and gas fields (forecast producing behavior)

• Evaluate alternate field development plans

• Evaluate new recovery methods

• Perform economic evaluations and cost analysis

• Estimate oil and gas reserves

• evaluate alternative reservoir management scenarios

• enhance oil and gas recovery.

• Understand how reservoir behaves under different operational conditions

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Static vrs. Dynamic Reservoir models

Reservoir models typically fall into two categories:

Geological models are created by

STATIC geologists and geophysicists and aim to
(Geologic provide a static description of the
Models) reservoir, prior to production.

Reservoir simulation models are created

DYNAMIC by reservoir engineers and use finite
(Reservoir difference methods to simulate the flow
Simulation
Models) of fluids within the reservoir, over its
production lifetime.
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Static vrs. Dynamic Reservoir models

Oil and gas reservoir modelling involves two broad classes of data:

STATIC
[core, well logs, and seismic data]

DYNAMIC
[pressure and fluid production observed at
wells(production history), PVT data].
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Traditional Reservoir Performance Modelling Approaches

Reservoir performance is traditionally predicted using three methods

1) Analogical
2) Experimental
3) Mathematical

The analogical methods utilize features of mature reservoirs that are

analogous(geographically or petrophysically) to the target reservoir in an attempt to
forecast the performance of this target reservoir. This method is especially useful
when there is a limited available data.

The experimental methods measure physical properties, such as pressure,

saturation, and/or rates, in laboratory cores and then scale them up to the whole
hydrocarbon accumulation.
The mathematical methods use basic conservation laws and equations to forecast
reservoir performance
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Traditional Reservoir Performance Modelling Approaches

The mathematical model includes material balance equation, decline curve,

statistical approaches and also analytical methods.

Material Balance Methods

The classical material balance methods use a mathematical representation of a

reservoir or drainage volume. Their basic principle is based on mass conservation;
i.e., the amount of mass for water, oil, or gas remaining in the reservoir after a
production period equals the difference of the amount of mass originally in place
and that was removed from the reservoir due to production, plus the amount of
mass added due to injection and encroachment
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Traditional Reservoir Performance Modelling Approaches

Decline Curve Methods

The classical decline curve methods use one of three mathematical declines
(exponential, hyperbolic, and harmonic) to describe the rate of oil production
decline. A decline curve has the general form

where C is a decline rate parameter, q is the production rate (m3/d), and t is

time (d). The cases b = 0, 0 < b < 1, and b = 1 correspond to the exponential,
hyperbolic, and harmonic declines, respectively.
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Traditional Reservoir Performance Modelling Approaches

Decline Curve Methods

The decline curve methods match historical production data to select a proper
form of the rate equation. Extrapolating the historical data into the future predicts
reservoir performance using the matched equation. A major assumption of any
extrapolating method is that all processes occurring in the past will continue in the
future.

Statistical Method

In this method, the past performance of numerous reservoirs is statistically

accounted for to derive the empirical correlations, which are used for future
predictions. A correlation is developed with data from mature reservoirs in the same
region, with the same lithology (e.g., carbonate or sandstone) and under the same
operating conditions (e.g., solution gas drive or water flood).
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Traditional Reservoir Performance Modelling Approaches

Analytical methods
Analytical methods, such as pressure-transient and Buckley–Leverett methods, use
the analytical solution of a mathematical model. The model consists of a set of
differential equations that describe the flow and transport of fluids in a petroleum
reservoir, together with an appropriate set of boundary and/or initial conditions.
To solve these equations exactly, simplifying assumptions must be made to reduce
the complexity of the model. In general, these assumptions are very restrictive.