Journal of
Petroleum and Gas Engineering

  • Abbreviation: J. Petroleum Gas Eng.
  • Language: English
  • ISSN: 2141-2677
  • DOI: 10.5897/JPGE
  • Start Year: 2010
  • Published Articles: 123

Article in Press

High resolution infill drilling modeling: A viable tool for effective field development and optimization


The drive for infill drilling is capacitated by the sudden quest for oil and gas development and optimization particularly in the Niger Delta has critical geotechnical constraints such as the favourable position, number of wells and even to know when the well should come on stream. The aim of this study is to apply the above statement with the view of determining the reasonable maximum cumulative gas to be produced and to carry out detailed and comprehensive reservoir and economic sensitivity analysis with the view of predicting the future economics after the wells are commissioned. The materials used for this work are reservoir and economic data from old and exploratory wells and Fekete Software (F.A.S.T. Evolution). The three reservoir parameters sensitized are initial reservoir pressure (5000psi – 9000psi); reservoir temperature (1200F – 2000F) and number/type of wells (3 to 6) for both vertical and horizontal wells. Economic parameters varied are well cost, cost of compression, royalty interest, line pressure, gas price, discounted cash flows and net present value. Results of Field layout for forecast 1, 2 and 3 shows that forecast 1 with 6 wells with a predetermined cost of $500,000 is preferred. Field forecast results however also confirmed the validity of the layout forecast results with gas production rates ranging from 0.298mmscfd to 1.352mmscfd for a combined period of 40 months. Results of net cash flow forecast gave best results for the valid data used with remarkable exponential increases in net present value also forecast 2 above 6,000mmscfd and fairly linear increase in net present value for forecast 1 (> 11,000mmscfd). It was then observed that forecast 1 tend to follow a trend pattern similar to the valid data suggesting the option of forecast 1.

Keywords: net present value, forecast, reservoir parameters, economic parameters, forecast