Petrloium resevoir management; past, present and future

Three quarters of recent increases in world oil reserve estimates since 1990 have been attributed lo ‘better reservoir management' rather than to new discoveries. For the United Kingdom Continental Shelf (IJKCS), the Department of Trade and Industry (DTI) has on 2.2 bn barrels of extra oil protection through effective reservoir management of existing producing reservoirs. Past practise has been to manage petroleum exploitation on a departmental basis, with exploration assessing and ranking prospects, reservoir engineering assessing development plans and production facilities implementing plans. Any reservations necessary might involve restarting the project evaluation from scratch. Current practice is to manage an operation through asset management teams involving all disciplines. It is hoped that this approach will not only eliminate fruitless directions of effort, but the quality of work in each discipline will benefit from interaction. That is, the result of a team effort is greater than the sum of individual efforts. To date, this is most apparent with the interaction between geology, reservoir geophysics and reservoir engineering through reservoir characterization. This is the current area of greatest effort, with improved geophysical technology and computer power leading to more and more detailed and complex simulation models. The equally important interaction of reservoir engineering and production and facilities engineering applied to fields in decline has not yet achieved the prominence that it deserves. Establishing priorities in reservoir management requires the very critical evaluation of the relative value of objectives. The fact that something can be done (3-D seismic, 4-D seismic, multilateral wells, or three phase multi-layer well test analyses etc) is not a good reason for doing it. Reservoir management should he a study of value added versus cost for any activity possible or proposed. Both in the areas of reservoir data acquisition and of assessing opportunities in the period of production decline, it is likely that expert systems will need to be developed with the associated base of experience, understanding and know ledge. A n other area for the future is the elusive target of ‘enhanced ’ oil recovery, as distinct from ‘improved’ oil recovery. The most likely route forward here is the incessant scrutiny of reservoir regions and units within fields for their suitability for pilot schemes for advanced recovery techniques implemented at a favourable time. Finally, the reduction of costs, the maintenance of low. but viable rates of production and the threat of abandonment costs will increase reserves. An increase which may have appeared insignificant in the past is now more valuable.