Tordecilla, Joana Rosette D.

Pet E 416
Pet E – 4103 18-59180

Research Activity No. 1

A. Decline Curve Analysis

Decline curve analysis (DCA) refers to the graphical approach for examining diminishing
production rates and estimating future well performance. Oil and gas production rates decrease
with time, mainly due to a loss of reservoir pressure or a change in the relative quantities of the
produced fluids.

J. J. Arps compiled these ideas into a set of equations that defined exponential, hyperbolic,
and harmonic decreases. Other researchers expanded on his work to encompass more specific
cases.

Golden Rule for DCA

The key assumption in this technique is that whatever reasons governed a curve's trend
in the past will continue to regulate it uniformly in the future.

Types of Decline
The three types of declines are the following:

1. Exponential
The well's production data plots as a straight line on semi log paper in the exponential
decline. The following table summarizes the equations used in exponential decline:
 Exponential Decline, b=0

Where:
q = well’s production rate at time t, STB/day
qi = well’s production rate at time 0, STB/day
D = nominal exponential decline rate, 1/day
t = time, day

2. Hyperbolic
A hyperbolic decline is modeled when the well's production data plotted on a semi log
paper concave upward. The hyperbolic decline equation is as follows:

Where:
q = current production rate
qi = initial production rate (start of production)
di = initial nominal decline rate at t = 0
t = cumulative time since start of production
Np = cumulative production being analyzed
 b= hyperbolic decline constant (0 < b < 1)
*This is the most general formulation for decline curve analysis. Exponential (b=0) and
harmonic (b=1) decline are special cases of this formula.

3. Harmonic
Harmonic decline refers to a special example of hyperbolic decline in which b is set to 1.
The harmonic decline equation is as follows:

Where:

q = current production rate

qi = initial production rate (start of production)
di = initial nominal decline rate at t = 0
t = cumulative time since start of production
Np = cumulative production being analyzed
A simple formula – often the most optimistic case

*Plot of log rate vs. cumulative production is a straight line on semi-log plot

Application of DCA
The most common application of DCA in industry today is still based on Arps' equations
and curves. To model production reductions, Arps used the Hyperbola equation to develop three
general equations.

The estimation of reserves makes extensive use of decline curve analysis. Even when
history-matched simulation models are available, a cross-check with DCA is usually performed to
ensure that values are accurate. Moreover, DCA is also applied in waterflood and ratio plots.
 Decline analyses and projections (whether for production profiles or reserves) should be
primarily founded on a thorough understanding of the elements that influence this behavior. When
it comes to the use of DCA, the principle of "no one size fits all" is true and ubiquitous. It is neither
theoretically nor empirically justified to use an exponential decline technique for water drive,
solution gas drive, and gravity drainage systems.

B. Material Balance Equation

The simplest statement of mass conservation in a reservoir is the material balance

equation. The equation successfully ties reservoir fluid and rock expansion to eventual fluid
withdrawal by quantitatively defining the various generating mechanisms. Schilthuis devised a
generic material balancing equation that may be applied to all reservoir types in 1936. Despite
the fact that it is a tank model equation, it can provide a lot of useful information to a reservoir
engineer in the field. The following are some of its applications:

✓ Determining the initial hydrocarbon in place

✓ Predicting an overall recovery factor
✓ Determining reservoir drive mechanisms

The original volumes at initial reservoir pressure are compared to the present volumes at
a lower pressure in material balancing. It's zero-dimensional, which means it only compares the
original state to the present state. The macroscopic material balance equation is given below:
Where:

Material Balance Drive Indices

The material balance equation may be used to infer reservoir driving mechanisms, which
is one of its most significant uses (also known as reservoir drive indices). Natural energy is used
to transfer oil and gas to the wellbore through reservoir drive devices. The macroscopic material
balance equations account for each of the reservoir drive mechanisms.
C. Major Laws Used in Reservoir Simulation

The conservation of mass, momentum, and energy are the fundamental conservation
rules of reservoir simulation.

Conservation of Mass

The law of conservation of mass states that mass in an isolated system is neither created
nor destroyed by chemical reactions or physical transformations. According to this law, the mass
of the products in a chemical reaction must be equal the mass of the reactants. This is useful for
a number of calculations and can be used to solve for unknown masses, such the amount of gas
consumed or produced during a reaction. The conservation of mass is represented by the
continuity equation.

Conservation of Momentum

The fundamental physical law stating that the momentum of a system is constant if no
external forces act upon the system. The principle of conservation of momentum holds generally
and is applicable in all fields of physics. In particular, momentum is conserved even if the particles
of a system exert forces on one another or if the total mechanical energy is not conserved. The
conservation of momentum is represented by the Navier-Stokes equations.
The Navier-Stokes equations govern the motion of fluids and can be seen as Newton's
second law of motion for fluids. In the case of a compressible Newtonian fluid,

Where:
u = fluid velocity
p = fluid pressure
ρ = the fluid density
μ = fluid dynamic viscosity
*The different terms correspond to the inertial forces (1), pressure forces (2), viscous forces (3),
and the external forces applied to the fluid (4). The Navier-Stokes equations were derived by
Navier, Poisson, Saint-Venant, and Stokes between 1827 and 1845.

These equations are always solved together with the continuity equation. Fluid flow
modeling is based on these equations. Solving them forecasts the fluid velocity and pressure in
a given geometry for a given set of boundary conditions (such as inlets, outlets, and walls). These
equations only allow a limited number of analytical solutions due to their complexity. Solving these
equations for a flow between two parallel plates or a flow in a circular pipe, for example, is rather
simple. However, for increasingly complex geometries, the equations must be solved.

Conservation of Energy

The law of conservation of energy states that energy can neither be created nor destroyed
- only converted from one form of energy to another. Along with the conservation of mass and
momentum, the conservation of energy is a fundamental idea in physics. The amount of energy
in some issue domains remains constant, and energy is neither created nor destroyed. Although
energy can be changed from one form to another (for example, potential energy to kinetic energy),
the total energy in the domain remains constant.

The amount of energy in any system is determined by the following equation:

Ut = Ui + W + QUt = Ui + W + Q

Where:
Ut = whole internal energy of system
Ui = initial internal energy of the system
W = work done
Q = heat added to or removed from the system.

We also determine the change in internal energy of the system using the equation:

ΔU=W+Q
References

Celli, J. (January 2020). McGraw Hill: Conservation of Momentum. Retrieved August 24,
2021 from https://www.accessscience.com/content/conservation-of-momentum/157800

Comsol (2021). Navier-Stokes Equation. Retrieved August 24, 2021 from

https://www.comsol.com/multiphysics/navier-stokes-equations

Lumen Learning (2021). The Law of Conservation of Mass. Retrieved August 24, 2021 from
https://courses.lumenlearning.com/introchem/chapter/the-law-of-conservation-of-mass/

PetroWiki (November 2018). Production forecasting decline curve analysis. Retrieved August
23, 2021 from
https://petrowiki.spe.org/Production_forecasting_decline_curve_analysis#:~:text=Decline
%20curve%20analysis%20(DCA)%20is,fluids%2C%20are%20usually%20the%20cause.
Science Stuffs (2021). Law of Conservation of Energy. Retrieved August 24, 2021 from
https://sciencestuffs.com/energy-definition-law-of-conservation-of-energy-types-of-
energy-transfer/

Tolbert, B. (2021). Top Dog Engineer: Material Balance Drive Indices. Retrieved August 23,
2021 from https://topdogengineer.com/material-balance-drive-indices/

Tolbert, B. (2021). Top Dog Engineer: Material Balance Introduction. Retrieved August 23,
2021 from https://topdogengineer.com/material-balance-introduction/