A Procedure to Parameterize High Permeability Zones in Naturally Fractured Reservoir

This paper presents a novel-methodology to compensate for the poor characterization of high-permeability structures (excess-K: vugs, karsts and super-K features), and non-fault-related-fractures, in naturally fractured Brazilian Pre-Salt carbonate reservoirs. These heterogeneities are often undetectable in well logs and seismic data, but significantly impact well performance. The methodology aims to enhance the representation of such features within dynamic simulation models, improving reservoir characterization and supporting more reliable data-assimilation and forecasting processes. The methodology involves: (1) upscaling high-fidelity fine-grid models to coarser-grids while preserving dynamic behavior, (2) identifying wells with productivity/injectivity mismatches due to a poor excess-K characterization, (3) applying a data assimilation (DA) process to minimize the mismatch between modeled and measured wells production and injection rates by updating the absolute permeability of the matrix. The novelty of the process is that the permeability field is updated by creating a mask (3D property) built by kriging permeability increments estimated from the well cells with productivity/injectivity issues. Therefore, the DA aims to find the least increments of permeability needed for each well such that when this mask is summed with the matrix permeability field all wells present good productivity/injectivity matching with history data. The methodology was applied to a dual-porosity/dual-permeability (DP/DK) compositional reservoir model. Two distinct well behaviors were observed: (1) wells located within fracture zone (12 of 33) showed good productivity/injectivity alignment with historical data and (2) the remaining 21 wells, located away from fracture zone, exhibited significantly poorer productivity/injectivity. This mismatch was attributed to the absence of excess-K features in the original matrix permeability model (Km-field). The optimization process was applied to these 21 wells. For each well a specific Ki-value was settled, defining input-points for kriging. The resulting kriged permeability correction volume (mask) was summed with the Km-field to generate an updated-permeability model. This process was repeated until all wells presented good productivity/injectivity matching with historical data. The process not only corrected the simulated dynamic responses, but also revealed key spatial permeability patterns that had not been captured in the static model. The results served as feedback to the geologists and enabled iterative improvement of the geological model, supporting a more integrated and realistic characterization. Overall, the results validate the methodology as a robust tool for incorporating unresolved high-permeability features in reservoir simulation and improving the quality of data assimilation. This study introduces an automated, iterative probabilistic data-assimilation framework that directly integrates geostatistical kriging with permeability adjustments for excess-Kstructures. The approach provides bidirectional feedback to geological modeling and allows the generation of realistic ensembles for data assimilation workflows. By combining geo-statistics within an uncertainty reduction scheme, the method addresses key modeling gaps encountered when modelling a Brazilian Pre-Salt carbonate.

Optimizing Gas Export Flexibility for Complex Offshore Reservoirs: A Brazilian Case

Oil and gas reservoir management is associated with uncertainties and risks that can significantly impact performance and economic outcomes. The objective of this work is to present how flexibility can be used to manage risk and uncertainty, as well as evaluate the potential flexibility to export and commercialize natural gas as an alternative to water-alternating-gas (WAG) in Brazilian pre-salt fields, identifying favorable and unfavorable scenarios for its implementation. This work presents a case study that addresses the challenges and opportunities of the expected value of the flexibility associated with natural gas export.

The methodology developed presents a structured technique to assess and select optimal strategies under subsurface uncertainties and possible market fluctuations, combining asset portfolio management with reservoir simulation. One of the main advantages of this methodology is that the chance of success is determined through an automated procedure that can be obtained using the production optimization of representative scenarios. Additionally, to illustrate the applicability, we present an application case study to design flexible facilities that allow future expansion for natural gas commercialization, thus capturing possible upsides considering variations in oil and gas selling prices. We also present how these variations impact the overall design to reduce risks and enhance asset value using a simulation model designed to replicate the Brazilian pre-salt fields and forecasting the value of the natural gas in the country.

The results show that this integrated analysis addresses immediate challenges and highlights future advancement potentials through strategic flexibility in Brazil’s natural gas industry, demonstrating that well-planned flexibility can significantly mitigate risks and enhance the resilience of petroleum management strategies. By aligning sustainable petroleum production with CO2 fraction reinjection, we argue that it is more lucrative to produce the natural gas fraction at lower oil prices and that there is a balance point of WAG miscibility to gas price, coupled with enhanced flexibility. We demonstrate how it is possible to increase asset value and mitigate risks, therefore addressing a major concern for stakeholders.

Investigation of Biases Caused by Model-Based Optimization Processes for Reservoir Management

In reservoir management, many decisions are made considering model-based production forecasts and optimization processes. These approaches can generate biases and the actual production and economic return may be overestimated. One of the reasons for these biases is the optimization process itself (procedure bias). Thus, the objective of this work is to investigate biases caused by model-based optimization processes using synthetic benchmark cases, analyzing the magnitude and the impact on future decisions.

We use synthetic benchmarks composed of: (1) an ensemble of data-assimilated simulation models; (2) a subset of this ensemble, named Representative Models (RMs); (3) a reference case, used as the real response of the reservoir (ground truth). Two case studies are analyzed: one focused on design variables (development phase), and the other on control variables (management phase). We demonstrate how specialized and robust strategies (resulting from nominal and robust optimizations, respectively) behave in relation to the ensemble of models and in relation to the reference case, using Net Present Value (NPV) and Expected Monetary Value (EMV) as objective functions.

The results confirm the presence of bias and overestimated forecasts caused by optimization processes. In Case Study 1 (development phase), the robust strategy showed an expected return improvement of 45% due to optimization, while the actual gain was only 6%. Specialized strategies presented differences between expected and actual economic gains ranging from 38% to 179% (with an average of 79%). In Case Study 2 (management phase), the robust strategy yielded a 4.1% expected increase in economic return compared to a 2.5% actual gain, with specialized strategies showing an average overestimation of 38% for the specialized strategies. The bias was stronger in Case Study 1 due to the greater impact of development variables on reservoir performance. Risk curve and boxplot analyses showed that strategies tend to become overly specialized to the model in which they were optimized, may leading to suboptimal decisions when applied to the real field.

By employing synthetic benchmarks with known reference cases, this work quantifies the overestimation introduced by optimization processes, providing valuable insights to help practitioners recognize and account for procedure bias, reducing the risk of overconfident model-based decisions in real-field applications.

Fast Objective Function Estimator Based on Parametric Dynamic Mode Decomposition for Wag-Co2 Injection in Carbonate Reservoirs

Objective/Scope

Fast-objective function estimators (FOFE) are often used to speed up reservoir management. This work presents a FOFE constructed with the parametric Dynamic Mode Decomposition (DMDp) method for a carbonate reservoir with WAG-CO2 injection. The FOFE results are then compared to simulation results to analyze the FOFE’s efficiency.

Method/Procedure/Process

We present an example of how changes in the production strategy can affect reservoir behavior. The FOFE utilizes snapshots of gas and water saturation of numerical simulation runs with different sizes of WAG-CO2 cycles to predict the snapshots and fluid rates of a production strategy with a desired WAG-CO2 cycle size. The FOFE utilizes the DMDp method to calculate the saturation snapshots and material balance equations to calculate oil, water, and gas rates. Unlike the standard where snapshots are stacked up for multiple parameters, leading to increased computational costs, here we perform interpolation directly on the reduced Koopman operator. This leads to enhanced performance as the time eigenvalues are no longer shared between all parameters. The case study is the public access benchmark UNΊSFM-ΓV-2022, a carbonate reservoir model with characteristics of the Brazilian pre-salt. This model represents a developed reservoir with a WAG-CO2 recovery method for a compositional simulator with historical data.

Results/Observations/Conclusions

For this work, the FOFE utilizes snapshots of two reservoir simulations, one with a WAG-CO2 cycle size of 6 months and the other with 18 months, to predict the states of a production strategy with 12 months of WAG-CO2 cycle. The FOFE results of gas, oil, and water are compared to a simulation result with the same production strategy. The comparisons for fluid dynamics are shown for reservoir conditions, and their curves with relative differences are provided. The FOFE can predict the states of a different field scenario, dispensing the necessity of extra numerical simulation runs. This result is promising for production optimization problems which require a significant amount of simulation runs to incorporate the many reservoir uncertainties, as it is observed in highly heterogeneous carbonate reservoirs.

Novel/Additive Information

The innovation of this work is the utilization of the DMDp in a highly heterogeneous reservoir with three-phase flow and WAG-CO2 injection utilizing commercial software. This FOFE can be utilized to reduce the time and computational effort necessary for the decision-making process involving the control variable of WAG-CO2 cycle size.

Enhancing Asset Profitability with Flexibility for Life Cycle Field Development – A Comparative Study for Well Placement Allocation and Platform Capacity

In the context of rising global energy demands that are aligned with sustainable energy supply, making informed decisions regarding investments has become increasingly complex. This complexity is particularly challenging in oil and gas management, where devising a production strategy and commencing field development pose challenges given the multitude of uncertain variables and extended timelines involved. Flexibility is key to address these uncertainties. Hence, the objective of this article is to evaluate the importance and advantages of considering the expected value of flexibility in the decision-making process to create a strategy able to deal with the risks imposed in the petroleum industry. Doing so, this article provides an examination of different approaches employed for the implementation of flexibility, considering the well placement allocations, final strategy selection, and platform capacity, thereby offering an informed perspective on this crucial aspect of reservoir strategic management.

The methodology for the construction of a flexible strategy employs theories in decision analysis combined with reservoir simulation models and optimization methods in a Bayesian probabilistic approach to access the expected value of the flexibility (EVoF). We present a structured technique to assess and select optimal strategies, specifically focusing on managing uncertainty in the initial stages of field development to identify potential platform capacities and drilling location strategies in the face of uncertainties related to reservoir characteristics, facility operations, and market conditions. To illustrate the results, we conduct a case study on an offshore benchmark field with Brazilian pre-salt features under WAG-CO2 recovery method, involving the complete reinjection of produced CO2 to mitigate greenhouse gas effects.

The results reveal that the initial strategy can highly impact the final net present value outcome and risk curves due to the first wells drilled. The results also indicate that increasing flexibility in the early stage of development could extract the best results related to financial return. Our study underscores the immense potential of integrating flexibility valuation and uncertainty quantification into the energy planning and policy-making process. It also highlights that the holistic integration between flexibility and reservoir simulation facilitates the identification of innovative investment strategies and enhances the decision-making process with the tools to navigate the complexities of uncertainty with greater confidence and adaptability.

This innovative approach offers a structured technique that not only addresses uncertainties in the subsurface reservoir and economic scenarios but also contributes to the identification of methodologies for investment management, enhancing the adaptability in the dynamic landscape of reservoir engineering.

Estimating Rock Typing in Uncored Wells Using Machine Learning Techniques for Brazilian Pre-Salt Carbonate Reservoir

Accurate rock typing in uncored wells is essential for enhancing reservoir models, particularly in complex geological formations like the Brazilian pre-salt carbonate reservoirs. This study explores the application of machine learning (ML) techniques to estimate rock types in uncored wells. The research leveraged core data from 11 cored wells to calculate the Rock Quality Index (RQI) and Flow Zone Indicator (FZI), identifying 14 distinct rock types through the Discrete Rock Typing (DRT) method, along with well log data such as gamma ray, density, neutron, permeability, and porosity. Various machine learning models, including Support Vector Machine (SVM), K-Nearest Neighbors (KNN), Decision Tree, Gradient Boosting, Naive Bayes, XGBoost, and Random Forest were tested, where XGBoost achieved the highest accuracy of 73.3%. Applying XGBoost to all wells resulted in accuracy ranging from 0.6 to 0.91 and the model was subsequently used to estimate rock types in over 20 uncored wells to generate reservoir simulation models. This study highlights the efficacy of machine learning (particularly XGBoost) in addressing reservoir complexities and offering significant improvements in the understanding and development of carbonate reservoirs.

Numerical Simulation Study of Relative Permeability Hysteresis in a Fractured Carbonate Reservoir Subjected to Water-Alternating-Gas Injection (WAG-CO2)

The hysteresis phenomenon in relative permeability curves is an important aspect when modeling WAG- CO2 processes. Although experimentally validated, this phenomenon is often overlooked in numerical studies. Furthermore, the impact of hysteresis on oil recovery is a complex issue, which may hinder or contribute to the sweep efficiency. This work evaluates different hysteresis scenarios for a comprehensive analysis of this phenomenon in a synthetic fractured carbonate field analogous to a pre-salt field in Brazil (UNISIM-II-D). The hysteresis is applied in two different scenarios: (i) in low-permeability porous medium (LK); (ii) also included to a lesser extent in high-permeability layers (LSK). The work initially presents sensitivity analyses based on attributes of the Larsen-Skauge WAG hysteresis model. The results reveal that the impact of hysteresis on oil recovery differ for different production strategies. The sensitivity profile of each hysteresis attribute also differs notably between the two assessed hysteresis scenarios, with the effect being more pronounced in the LSK scenario, even at low attribute values. Then, a nominal optimization of reservoir development and management variables is presented for each hysteresis scenario and for the scenario with no hysteresis. We verified that the application of an optimized solution in a non-corresponding scenario may compromise economic and production indicators. The results demonstrate the importance of incorporating the hysteresis phenomenon into models used in life cycle optimization processes (LCO), as the field should be operated differently when hysteresis is identified as a real phenomenon. Finally, the impact of hysteresis on an ensemble of 197 models under uncertainty was evaluated considering two approaches: (i) hysteresis scenario as uncertainty; (ii) values of the Larsen-Skauge’s hysteresis model as uncertainty. In both cases, the NPV risk curves were similar to the original one, in which hysteresis was not included as uncertainty. However, changes were observed for some production indicators and the impact may be more significant for different cases. The results also revealed that different hysteresis scenarios can impact the NPV and production indicators differently when applied to an ensemble of reservoir scenarios, resulting in either positive or negative trends. In this benchmark, hysteresis in low-permeability porous medium at immiscible conditions tend to cause a slight decrease of oil recovery, while hysteresis in Super-k promoted a better mobility control of gas and water in these layers, favoring the production and economic outcomes. Hence, this numerical study provides an extensive analysis of the effects of different hysteresis scenarios on applications that have not been previously explored, such as hysteresis in high- permeability layers, in reservoir life-cycle optimizations, and in a probabilistic approach.

Integrated Multi-Scale Pore Characterization of Carbonate Rocks in the Barra Velha Formation, Santos Basin, Brazil

Carbonate rocks feature heterogeneous porous systems that span multiple scales, from pore level to the reservoir scale. The complexity and diversity of carbonate reservoirs demand a consistent approach to their characterization. The efficient integration of multiscale imaging data and petrophysical data is increasingly important to address the challenges associated with these complex carbonate reservoirs. A crucial step in overcoming these scale gaps in reservoir modeling and simulation involves enhancing the characterization of reservoir flow units and their associations with geological and petrophysical heterogeneities at varying scales. In this study, we focus on the classification of pore types using digital rock analysis and petrophysical evaluation of pre-salt lacustrine carbonates from the Barra Velha Formation (BVF) in the Santos Basin using computerized tomography (CT), core samples description, and petrography. Eight types of pores were identified at the core scale: interparticle, stratiform-vuggy, growth framework, vuggy, vuggy-fracture, fracture, interclast, and intraclast. The distribution and characteristics of these pore types were analyzed at different scales, including thin-sections and micro-CT, and nuclear magnetic resonance (NMR), which highlights the diversity in the porous system and the impact of different pore types on porosity and permeability. NMR analyses illustrated the pore size heterogeneity to provide distinction between tight and porous samples. Hydraulic rock units (HRUs) were defined based on flow zone indicator (FZI) using the probability plot approach. Seven HRUs were defined: HRU1 and HRU2 represent samples with the highest FZI and rock quality index (RQI) values, whereas HRU3 and HRU4 denote intermediate values. HRU5, HRU6, and HRU7 represent units with the lowest values. HRU1 and HRU2 were predominantly associated with vuggy, growth framework, and interparticle porosities, which are often enhanced by dissolution processes. Conversely, HRUs with reduced reservoir qualities (5, 6, and 7), characterized by the lowest permeability values, are more prevalent in intervals with higher silicification and silica and dolomite cementation, presenting a variety of pore types at a macroscale. The integration of multiscale imaging techniques and petrophysical data underscores the complexity of pore systems, providing crucial insights into their reservoir characteristics.

Numerical Study on the Impact of Advanced Phenomena in a Fractured Carbonate Reservoir Subjected to WAG-CO2 Injection

Advanced phenomena related to water-alternating-gas (WAG) injection are usually neglected in numerical simulations. This work evaluates the impact of different physical phenomena on field indicators, considering a typical pre-salt carbonate reservoir (UNISIM-II-D-CO, a dual-por dual-perm compositional case) subjected to WAG-CO2 injection. Additionally, the computational cost incurred by each of these phenomena is evaluated, since it represents a great challenge in optimization and probabilistic studies. The following phenomena are evaluated considering a nominal base case: (i) matrix-fracture transfer calculation, (ii) relative permeability hysteresis, (iii) CO2 and CH4 solubilities in aqueous phase, (iv) diffusion, (v) numerical dispersion control models, and (vi) velocity-dependent dispersion. CO2 and CH4 solubilities in the aqueous phase, as well as molecular diffusion, did not have a significant impact on field indicators, but they increased simulation runtime more than two times. Matrix-fracture transfer modeling was the most impactful factor, followed by hysteresis and velocity-dependent dispersion. Therefore, the impact of these phenomena was also investigated in a probabilistic approach, considering an ensemble of 197 geostatistical scenarios under uncertainty. Risk curves revealed that the advanced matrix-fracture transfer models improve sweep efficiency. This effect is mainly due to gravity force which acts as a driving mechanism for the oil moving from the matrix to fractures. The capillary effect, in turn, was small compared to gravity. The impact of dispersion and hysteresis on risk curves were smaller than the effect of matrix-fracture transfer modelling. However, these phenomena are particularly interesting in UNISIM-II-D-CO due to the presence of Super-K facies. Hysteresis, when applied to low and high permeability layers, reduced gas mobility and, consequently, the gas produced, contributing to the NPV for most models under uncertainty. On the other hand, the velocity-dependent dispersion mainly affected fluid flows in the regions adjacent to Super-K layers, promoting better oil recovery. The inclusion of advanced phenomena related to WAG-CO2 injection can hold importance when modeling fractured carbonate fields, like those found in the Pre-Salt in Brazil. Nevertheless, computational costs might make their inclusion impractical in full-field simulation models employed for optimization and probabilistic studies. In such cases, it is recommended to assess low-fidelity models or alternatives to accelerate simulations, focusing mainly on the most impactful phenomena related to WAG-CO2 injection.