Joint Industry Project

“Added value from Intelligent Well &

Field systems Technology (IWFsT)”

Review 2011/13

David Davies & Khafiz Muradov

Intelligent Fields:

Why Do We Need Intelligence?

Accelerate Production Buildup

Reduce Well Count & Extend Plateau

Reduce Well Intervention frequency

Improve production monitoring and control

Improve safety and project economics

Advance

production

Q0il

(bpd)

Increase

plateau rateMaintain and

extend plateau

t (years)

Enhance post-

plateau production

Field Production Profile with Added Value:

History &Technology: of the IWFsT Project

• Completions providing a well with real-time, zonal production control

and monitoring (Intelligent Well Technology) began in 1994.

• HWU’s own R & D involvement started in 1998

• This project began in 2001 to meet industry demands for analysis of

the technology’s feasibility, reliability, application envelope & risks.

• The initial (2004) deliverables included an I-Technology evaluation

methodology, including the role of reliability plus several case studies.

• The 2nd phase (to 2010) developed tools for evaluating active &

passive advanced completions, began Intelligent Well monitoring research

& the integration of Intelligent Wells into Intelligent Fields.

• The current phase, started in 2011, concentrated on developing

optimisation methodologies for I-field design & control assisted by

improved monitoring techniques, plus a number of case studies.

• The 2014-2016 extension of the JIP proposes to explore new,

downhole flow control technologies screened for different reservoir

types, develop comprehensive, closed-loop, I-field control procedures

using advanced downhole, soft, multi-phase flow metering.

The 2013 IWFsT JIP Sponsors

IWFsT JIP

Project History & Achievements 2011-2013

The early Project History & Achievements (for 2004-2010) are available on request

Project Evolution (2008-2013) The IWFsT project is steered by the sponsors, continuously evolving by

responding to research leads, technology developments & sponsor insights

Three projects begun 2008-2010 were completed during 2011-2013

# Title Description Deliverales

A Added value of Uncertainty Minimisation

Evaluate the “Increased Added Value” of IWFsT by reducing the production uncertainty

Guidelines, Techniques & Workflow

B IWFsT & Water Injection Management Develop integrated waterflood management Guidelines & New Technique

C Online optimisation of Intelligent Well &

Field Systems

Develop an online optimiser based on model update

via a feedback decision loop for optimising njection

Online Controller & Optimiser

Well Liquid Rate Constraint: IW completion reduces oil and water

production uncertainties

Both Dynamic & Static Uncertainty

IW reduces reservoir heterogeneity &

Uncertainty

Well Pressure Constraint: IW completion reduces oil & water

production uncertainties

Increased pressure drop in IW completion

reduces oil production

Effective Control Strategy required (see

WCcritical-based reactive control studies:

Project 12)

IPR curves

0

50

100

150

200

250

0 5000 10000 15000 20000 25000

Production rate, sm3

Pre

ss

ure

, b

ar

Conventional Well

(Prosper)

ICV 3.5 in

ICV 4.5 in

Conventional

Horizontal Well

(Eclipse)

ICV 4.5 in Ecipse

Oil Rate of

Conventional Well

at WC=25% and

GOR=210 sm3/sm3

Eclipse liquid

production at

the first

timestep

Project A: Added IWFsT Value by

Minimising Uncertainty

Deliverables: Problem Analysis, Uncertainty

minimization, case studies, publications & thesis

Project B:

Water Injection Management

• Common techniques of

monitoring waterflooding

reviewed

• Type curves developed to

control total injection rate of

water in to the reservoirs

Waterflooding monitoring and management: Approaches investigated

Pressure management

Allocation management

• Techniques used to quantify

inter-well connectivity studies.

• New techniques introduced

to determine water allocation

factors

Pav=const

Q1->2

Qi->p

Images from Journal of Petroleum Science and Engineering 69 (2009) 227–238

Deliverables: Methods for improving performance of water flooding in order to:

• Maintain reservoir pressure

• Delay water breakthrough

• Enhance hydrocarbon recovery

• Decrease water production

Results summarised in a thesis

Production for a

period

Give initial ICV

settingsCurrent model

parameter

Step response

model

Optimisor

Measured

pressure, liquid

flow rate and water

cut data at every

sampling time

(seconds)

Waiting for

1 time

step

Optimum decision

variables series for

one predictive period

Do the first optimum value

equal to the current decision

variables value?

Keep current

valves setting

GPC controller

New valves setting

to achieve

optimum decision

variables

No

Yes

Database

Denoise

Updated Step

response model

Decision variables valuePiecewise step

response models

Step response model No.

Project C: Online for water injection allocation optimisation

0

0.5

1

1.5

Input: ∆u(t)

Output: ∆ y(t)

system

Reservoir response is

quantified and used to

predict the optimal

injection allocation:

Optimiser operating via a feedback decision

loop using Eclipse data for the response

model update and injection optimisation

Deliverables: Workflow developed & coded in Matlab suitable for liquid

constrained production & injection where reservoir shows linear behaviour

Project Evolution: New Projects started 2011-2013

Type # Project Description Deliverables

Pro

du

ction

Op

timisa

tion

1 IWFsT field design workflow Is the workflow for designing an IWFsT field different from a conventional field. Why?

What are the differences? Can the process be automated?

Guidelines &

workflow

2 Application of Genetic &

other Algorithms for control

of I-wells.

Identify the preferred stochastic production optimization method for both I-well & I-

field control

Test feasibility.

Workflow &

Guidelines

We

ll De

sig

n

3 Design an ideal device for

downhole flow control to

meet production optimization

Reconsider the available (JIP & other) approaches to choosing a particular device, its

location and control principles. Propose a methodology for choosing the best device or

group of devices that meets a particular well, field and/or production objective.

Guidelines

/Methodology

4 ICV/AICD design based on

predicted life-time

production

ICD/(A)ICD design is often carried out on a “snapshot” basis at one time in the well’s

lifetime. Apply dynamic design principles to ensure that long-term production

conditions & objectives are also met.

Workflow, Proof of

design feasibility,

guidelines, examples

5 I-Single-boreholes and I-

Multilaterals. Are they

different?

Are the JIP findings for single-bores applicable to multilaterals? What are the

differences? This includes: injectivity study between the laterals; interference while

monitoring/clean-up; loss or gain of control flexibility

Comparative results

supported by example

studies.

Pro

du

ctio

n

Mo

nito

ring

6 Develop Temperature

Transient Analysis (TTA)

Further development of the TTA and its application guidelines for horizontals/verticals

gas/oil producers/injectors.

TTA methodology &

Examples

7 Advanced methods for

interpretation of downhole

data from multiple

measurement devices

Analysis of data from multiple measurement devices is a wide area. Application to the I-

well/field measurement and control system is promising. Manipulation of ICVs to

increase the information content of the data is included here.

Methodology;

Examples of the

application

8 Interference of I-well design

and control strategies with

production network

Investigate how changes in the production network (i.e. an existing/newly installed

pump/gas lift/separator/another well tie-back) can cause the I-well control strategy to

become unstable. Investigate design principles & benefits.

Research results

9 “Value of IWFsT, a 2nd look” Re-evaluate the “Value of Flexibility offered by IWFsT” using Real Options Rejected by sponsors

10 Heavy Oil production with

IWFsT

Develop design methodology for a heavy oil ,I-Well completion with artificial lift

designed to mitigate water fingering with an ICD completed horizontal well.

Methodology &

Examples

Ad

ditio

nal

11 Workover scheduling Methodology for proactive workover scheduling Case study – N2-field

12 WCcrit based reactive control Methodology for fast and robust, reactive ICV control and ON/OFF application area Thesis, publications

13 N-field case study Test well completion design and control methodologies: both reactive and proactive Results

14 DTS feasibility Forecast DTS response to water influx for a heavy-oil producing, advanced well Results

15 ICS comparison and design Compare Inflow Control Systems (ICS). Suggest (A)ICD design methodology Methodology. Thesis

20

25

30

35

40

5 10 15 20 25

Op

en

ing

TSP

Closing TSP

K1_50_K2_500Phi25Trans0.0

K1_50_K2_500Phi25Trans0.1

K150_K2_500Phi25Trans0.2

K1_50_K2_500Phi25Trans0.3

K1_50_K2_500Phi25Trans0.5

K1_50_K2_500Phi25Trans0.7

Achievements:

Well Placement

Production String Design

(ICDs)

Optimise the Control

Strategy

ICV

Optimum strategy becomes more

critical as transmissibility increases.

Best Conventional Well Trajectory

can be the best I-well trajectory

0

100

200

300

400

500

0 10 20 30 40 50

ICV

Are

a (m

m2

)

Time Step

Loop complete for

Synthetic Model

Developed procedure is being tested with a real field model

Deliverables by December 2013: extra project 11and:

• Step-by-Step workflow

• Guidelines for optimisation setup

• Comparison with the conclusions from the synthetic model

Project 1: I-Field Design Workflow &

Project 2: Application of Genetic & other

Algorithms for control of I-wells

Slow

Loop

Project 2: Application of Genetic &

other Algorithms for I-well control

Reacti

ve C

ontr

ol

Pro

acti

ve

Opti

mis

ati

on

Validating

Decisions (Uncertainties)

Data

Processing

Pro

acti

ve

Contr

ol

Fast

Loop Deliverables: New algorithm for proactive

optimisation

Guidelines for limiting the

proactive, optimisation to

essential periods only

Workflow to define optimum

control frequency

Guidelines for modifying

available tools for proactive

optimisation

Problems: o Large number of variables

o Large, full-field model

Progress

I-Well

Slow loop activated ONLY when needed

Control frequency of the slow loop

Project 3: Customise Design of Downhole Flow Control Devices for Production Optimization

Sta

nd

ard

Des

ign

Cu

stom

ised

Desig

n

ICV or ICD?

Optimal Zonal Pressures for I-injector Requires this performance:

Using a 6 position ICV

with this trim design

Deliverables: PUNQ study showed that knowledge of optimal rate or FBHP required

to make the optimum design. A comprehensive, unified design is part of Projects 1 & 2.

Ideal performance

of the best device?

Example: I-injector’s design, PUNQ field, WAG injection

• Optimising life-time production

delivers significant improvements

• Chosen economic model is the

critical factor.

Deliverables planned late 2013:

Work flow

Optimisation Guidelines

Economic parameter sensitivity

ICD/AICD/ICV recovery comparison

Project 4: ICV/ICD/AICD Design

based on Life-time Production

Achievements:

ICD

AICD

ICV

Project 6: Further Development of

Temperature Transient Analysis

T & P zone-by-zone analysis workflow developed

1.E+02

1.E+03

1.E+04

1.E+05

1.E+06

1.E+07

1.0E-03

1.0E-02

1.0E-01

1.0E+00

1.0E+01

1.0E+02

1000 10000 100000

d(B

HP

i-B

HP

)/d

ln(e

lap

se

d tim

e),

ba

r /

ln(s

)

dB

HT

/dln

(ela

ps

ed

tim

e),

K / ln

(s)

elapsed time, s

zonal temperature derivative over logarithm of elapsed time

zonal pressure derivative over logarithm of elapsed time

1/2 slope

0 slope

T & P transient interpretation methods being developed

-0.2

-0.18

-0.16

-0.14

-0.12

-0.1

-0.08

-0.06

-0.04

-0.02

0

0 5000 10000 15000 20000 25000 30000

time from the beginning of drawdown, sec

tem

pera

ture

ch

an

ge,

K

toe zone temperature change

straight trend line

Linear flow regime

ETR

Deliverables: Methodology

developed &

tested

SPE 164868: Some Case Studies of Temperature and Pressure Transient Analysis in Horizontal, Multi-zone, Intelligent Wells

Project 7: Advanced Methods of Downhole Data

Interpretation from Multiple Measurement Devices

Multi-zone I-well

File: Case-Three Zone-Oil-Incomplete Wellbore.tpl

PT [psia] (Zone-2) "Pressure"gfedcb PT [psia] (Zone-1) "Pressure"gfedcb PT [psia] (Zone-3) "Pressure"gfedcb

Time [s]600,000500,000400,000300,000200,000100,0000

ps

ia

5800

5750

5700

5650

5600

5550

5500

5450

5400

5350

5300

5250

5200

5150

File: Case-Three Zone-Oil-Incomplete Wellbore.tpl

TM [F] (TUBING.PIPE-1.10) "Fluid temperature"gfedcb TM [F] (ANNULUS.PIPE-1.10) "Fluid temperature"gfedcb TM [F] (ANNULUS.PIPE-2.10) "Fluid temperature"gfedcb

Time [d]76.565.554.543.532.521.510.50

F

212

210

208

206

204

202

200

198

196

194

P Data

Temperature Measurement

(steady state & transient)

Pressure Measurement

(steady state & transient) Data analysis using all

available measurements Objective:- Maximise

Information content for a

minimum measurement effort

• “Deliberately disturbed well

tests”

1

2 3

DTS data from multi-

zone measured during

I-well multi-rate tests

T Data

8900

9100

9300

9500

9700

9900

175 185 195 205 215

Temperature, F

MD

, ft

Twellbore

Tgeothermal

Twellbore 6000

Twellbore 8000

Twellbore 6000 (2)

Deliverables: Workflow & examples for “Minimum measurement effort”

monitoring during multi-rate flow tests using either ICVs or wellhead choke

Interaction between ESP Artificial lift & Downhole Flow Control Devices

Requires proper design, operation & ability to adapt to changing

production conditions

courtesy of Welldynamics

ESP Performance Plot

Operating

Point

Project 8: Interference of I-well & ESP

Production Control Strategies

Deliverables: Two ESP-ICV/ICD/AICD design methods

proposed, tested, reported & published (see also Project 10)

courtesy of Weatherford

Project 10: Heavy Oil production

with IWFsT & ESP

Deliverables: Snap-shot design

completed

During 2013 1. Dynamic modelling

2. Effect of gravel

pack

Pilot study: Heavy-oil production with an AICD completion:

“Snap-shot” performance of Integrated completion modelled

AWC simulation results ESP selection routine

ESP-AICD design A ESP-AICD design B

0.90

0.91

0.92

0.93

0.94

0.95

0.96

0 50 100 150 200

No

rma

lise

d T

ota

l Oil

Pro

du

ced

Iteration No.

Optimal Case Evolution

Extra Project 11: Optimum workover schedule for wells in a sector of a real field

GA for proactive workover scheduling (4 wells, total 12 zones)

Performance Comparison

Deliverables: Workflow &

MEPO add-on for proactive,

work-over scheduling

2% recovery increase

by choosing

optimum schedule

nn

i

N

ni

iBHP

ndPJ

WCJP

WC

)1(

1

-40

-30

-20

-10

0

10

20

01/10/2018 13/02/2020 27/06/2021 09/11/2022

ICV

3 P

osi

tio

n

Cri

tica

l W

ate

r C

ut-

Cu

rre

nt

Wat

er

Cu

t, %

Date

Well1, ICV3 control criteria

WC Difference ICV Position

Open

Closed

Valve Open Zonal WC higher than Critical WC

Zonal WC less than Critical WC Valve Closed

1500

2000

2500

3000

3500

4000

4500

5000

1 6 11

Oil

Pro

du

ctio

n, S

TB/d

ay

Choke Position

Qoil vs Choke Position

10

20

30

40

50

60

70

80

90

100

0

WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT WCT

Extra Project 12: The Critical Water-Cut concept:

Application Area of ON/OFF ICV Reactive Control

Deliverables: CWC concept

systematically analysed + tested using

several synthetic & real field models.

On/Off valves optimal in 90% cases:

- For reactive control of vertical

wells with fixed THP only

- No gas inflow

- Not for viscous oil

Optimum valve position found based

on the zonal, Critical Water Cut (CWC

criterion):

Extra Project 13: Real-field case study combining

reactive & proactive production optimisation methods

-50

0

50

100

150

200

250

2014

2019

2025

2030

2036

2041

NPV

Dif

fere

nce,

MM

$

Date

Difference in NPV wrt basecase for I-Well non-optimised

Difference in NPV wrt basecase for I-Well optimised

A large, real-field model used as a production optimisation test-bed for:

1. Several proactive well control methods &

2. CWC reactive control (CWC is fast, robust without the convergence

problems often experienced by commercial optimisation simulators)

First Level:

• Genetic Algorithm optimisation

• Zonal control by optimising ICVs

Second Level:

• Eclipse well prioritization option

• Control production from all wells with a

total oil production rate constraint

Deliverables: Real-field control studies by developing & testing:

1. Reactive Control (commercial optimisers & CWC)

2. Proactive Control (optimal control, GA).

DTS response to zonal water break-through in a long horizontal

well has been evaluated using the HWU simulator

Early production Temperature profile

(clear water influx signature observed)

Late production Temperature profile

(T-profile should be smoothed)

Extra Project 14: Evaluate the application of DTS

in an AICD-equipped, heavy oil production well

Deliverables: DTS system’s long-term resolution

requirement defined by this real well feasibility study

Extra Project 15: Comparison &

Design of Inflow Control Systems (ICS)

Aspect

ICD vs.

cased

hole

ICD vs.

ICV

AICD vs.

ICV

Uncertainty in Reservoir Description ICD ICV AICD

More Flexible Development ICD ICV ICV

Length of Control Interval ICD ICD AICD

Tubing Size = ICD AICD

Value of Information = ICV ICV

Control of Lateral = ICV ICV

Control within Lateral ICD ICD AICD

Commingled Production ICD ICV ICV

Long Term Equipment Reliability Conv ICD ICV

High Formation Permeability ICD ICD =

Mid-to-Low Formation Perm. ICD ICV =

Aspect

ICD vs.

cased

hole

ICD vs.

ICV

AICD vs.

ICV

Modelling Tool Availability Conv ICV ICV

Reservoir Isolation Barrier = ICV ICV

Acidizing / Scale Treatment ICD ICV ICV

Improved Well Clean-Up ICD ICV ICV

Equipment Cost ICD ICD AICD

Installation Complexity ICD ICD AICD

Installation Risk Conv ICD AICD

Installation Time ICD ICD AICD

In-situ Gas Lift Conv ICV ICV

Gas

Fields

Gas Inflow Equalisation ICD ICD AICD

Water Production Control Conv ICV AICD

Comprehensive review & comparison of Inflow Control Systems:

Nodal analysis based ICD & AICD design & sizing workflow developed & tested

Deliverables: Comprehensive comparison of ICS & optimum (A)ICD design.

Conference papers:

1. IPTC-15215 Use of Distributed Temperature for Zonal Flow Rate and Pressure Estimation, IPTC 2011, Bangkok

2. Temperature Monitoring and Interpretation in Intelligent Wells, 3rd International Oil Production Intensification Conference, Jul 2011, Tomsk, Russia

Scientific papers:

1. Application of inflow control devices to heterogeneous reservoirs – JPSE published Volume 78, Issue 2, August 2011, pp 534-541

2. SPE 131642 - Novel Analytical Methods of Temperature Interpretation in Horizontal Wells- SPE Journal, Vol. 16, No. 3, September 2011, pp 637-647

IWFsT JIP Achievements (2011-2013) Publications 2011

Conference papers:

1. SPE 150138 - Temperature Transient Analysis in a Horizontal, Multi-zone, Intelligent Well; SPE Intelligent Energy, March 2012

2. SPE 150195 - Review, Analysis and Comparison of Intelligent Well Downhole Monitoring Systems, SPE Intelligent Energy, March 2012

3. SPE 154472 - A Novel Optimisation Algorithm for Inflow Control Valve Management; SPE EUROPEC, June 2012

4. Review, Analysis and Comparison of Intelligent Well Downhole Monitoring Systems, SPE JPT, pp 75-79, September 2012

Scientific papers: 1. Linear Non-adiabatic Flow of an Incompressible Fluid in a Porous Layer –

Review, Adaptation and Analysis of the Available Temperature Models and Solutions; J. of Petroleum Science and Engineering

2. Early-time Asymptotic, Analytical Temperature Solution for Linear Non-adiabatic Flow of a Slightly Compressible Fluid in a Porous Layer; Transport in Porous Media

3. Temperature Transient Analysis Application Workflow, Problems and Advantages; Journal of Petroleum Science and Engineering

IWFsT JIP Achievements (2011-2013) Publications 2012

Conference papers: 1. SPE 164868 - Some Case Studies of Temperature and

Pressure Transient Analysis in Horizontal, Multi-zone, Intelligent Wells, SPE Europec, June 2013

2. SPE 166603 - Role of Artificial Lift in Wells With Downhole, Flow Control Completion, SPE Offshore Europe, Sep 2013

3. Field management by proactive optimisation of Intelligent wells – a practical approach submitted to Intelligent Energy, Dubai, Oct 2013

Theses: 1. “A Comprehensive Approach to the Design of Advanced Well

Completions” by Faisal Al-Khelaiwi

2. “Intelligent Well Transient Temperature Signal Reconstruction” by Manoel Feliciano da Silva Junior

3. 2 further theses expected during 2013

IWFsT JIP Achievements (2011-2013) Publications 2013

Research, Design & Value Demonstration of

many aspects of Advanced Completions has

been done using Sponsor’s Real Field Models

Field Case Studies:

a) S Field

b) NH Field

c) BG Field

d) Ch Field

e) BP Field

f) H Field

g) N Field

h) N2 Field

i) E Field

j) C-gas-field

k) U-field

l) ...

Project Evolution The IWFsT project is steered by the sponsors, continuously evolving by

responding to research leads, technology developments & sponsor insights

Three projects started in 2008 were completed during 2011-2013

# Title Description Deliverales

A Added value of Uncertainty Minimisation

Evaluate the “Increased Added Value” of IWFsT by reducing the production uncertainty

Guidelines, Techniques & Workflow

B IWFsT & Water Injection Management Develop integrated waterflood management Guidelines & New Technique

C Online optimisation of Intelligent Well &

Field Systems

Develop an online optimiser based on model update

via a feedback decision loop for optimising njection

Online Controller & Optimiser

Projects finished by 2010

...contributed to the current projects

(2011-2013)

...and formed the basis for the

proposed 2014-2016 projects

1 Inflow Control System Comparison (ICV vs. ICD)

Inflow Control Systems Compared (ICV/ ICD/AICD)

• Reservoir types suitable for (A)ICD • I-well design for multilaterals

2 Advanced well modelling ...is the integral, ever developing part of all JIP studies: current and proposed

3 Automatic optimisation of ICV settings Results provide a the base case control scenario in reactive well control studies

4 Online Well Control Inspired the field controller (#1 below) -

5 Reconcile short-term optimisation & long-term management

Inspired the reactive vs. proactive control studies

• Multi-objective optimisation • Controls for different Reservoir types

6 Integrate downhole T & P data into well modelling

• Fundamental solution to extend the Pressure and Temperature Transient Analysis • Well modelling experience used in the Active Monitoring studies

7 Field case studies: H & SH Fields Modelling and analysis experience applied to E, N, N2, PUNQ, AINSA II models

Modelling experience to be applied to the case studies

8 Evaluate Clean-up techniques Experience with dynamic flow modelling

9 Value & application envelope of IWFsT I-well designs suited to Reservoir types

10 I-well value as a source of information Reconciled active monitoring &control