RESERVOIR MECHANISMS

SENSITIVITY OF GAS RECOVERY TO PRODUCING RATE

A gas reservoir contains 650 Bcf of original gas-in-place (OGIP). Regional geology and offset field performance
suggest a large influx will cause this reservoir to have water influx. The geologic maps indicate that only a few
flow barriers are present and that the reservoir is reasonably homogeneous and of high permeability. Log analysis
indicates an initial water saturation of 25% and special core analysis in similar reservoirs suggests a residual gas
saturation to water displacement of 30%. Other reservoir and fluid parameters include,

1. Reservoir Temperature 150 deg F

2. Initial Pressure 4,050 psia
3. Reservoir Gas Gravity 0.65

The initial development plan anticipates a water drive will provide significant pressure support. If 10 wells are drilled,
the reservoir pressure is calculated to decline and stabilize at 2,750 psia prior to abandonment.

Estimate the ultimate recovery for this development scenario.

An alternative development plan considers infill drilling such that 20 wells will be used to develop the reservoir. For this
scenario, material balance and water influx equations suggest that the reservoir pressure will decline and stabilize at
1,750 psia.

Estimate the ultimate recovery for this second development scenario.

Each well costs about $6 million to drill, complete and equip to produce. The gas price (net of royalties and operating
expenses) is about $2.50 / Mcf.

Which of the 2 development options appears more attractive economically and should be the
subject of more detailed studies?
 performance
at only a few
ty. Log analysis
a residual gas

0 wells are drilled,

he reservoir. For this

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alties and operating