10 ¥ Chapter 2 1, When should reservoir management sar ‘The ideal ume w start managing + reserve i at is discovery However, fe nevertoo early to start this program because ealy initiation ‘fa cooedinated reeeninmanagement program not only provides 2 better monitoring and evaluation tool, but also costs es inthe Tong run. For example, 2 few cary dill sem vests (DST) could help decide i and ‘here to set pipe Sometimes these ata can alo provide the mime type ‘f information normally available by complex and expensive cased hole, ‘multe zone eeating. An extra log Oran addidonal hou'stime on a DST tay provide hetter information than could be obtained from more Expensive core analyst’ Sometimes iti posible to do some early tests that can indicate dhe sizeof a reservoir. IF it sof limited sxe, drilbng of tunnecessary wells can be prevented. ‘We can draw an analogy bermeen rescvoir and health management se isnot sufficient for the reservoir management team to determine the state of a reservoirs health and then aztempt to improve i. To be most ‘llective the team snust maintain the reserebir'sand i satr subsystems! Teal frou dhe start “Most often reservoir management is not started early enough, and the reservoir, wells, and wirface stems are ignored for along ime. Many times we Conder reservoir management atthe time ofa tertiary recovery ‘operation. However, ti critical and a prerequisite for an economically ‘ecessal tertiary recovery operation to have a good reservoir manage: ment program already in place In the Permian Basin. carbon dioxide (CO) Moding is receiving more and more sttention. An elfcicat reservoir management program for CO, flooding (with a $2 per barrel injecuant cost seven more critical compared to waterlooding (with a 5-10¢ per barrel cost for water). Thus, {Gevery important that all injected CO, be property wilized in displacing cil wo the production well, Reseronte Management Concepts ¥ 11 2. What, how, and when to collect data? To answer this question, we must follow an integrated approach of data collection involving al functions from the beginning. Before collect ing ary data, we should ask the following questions: “+ Are the data necessary, and what are we going todo with these dau? What decisions willbe made based om the results ofthe data collection? 4+ What are the benefits of these data, and hw do we devise plan to obtain the necessary data at the minimum cout? “The reservoir management team must prepare s coordinated reser vir evaluation program to show the need for the data requirement, ‘long with thts costs and benefits Asx eal. provides a detaed review of data etluation for reservoir engineering calculations ‘Ic must be emphasized that early definiion and evaluation of the reservoir sstem isa prerequisite to good reservoir management" The team members must convince the management to obtain necessary data to evaluate the reservoir stem, In addition, the team should parcipate in making operating decisions, 3. What kinds of questions should be asked ifwe want lo ensure the right answer in the process of reervoir management? Some example questions fllowe What does the answer mean? Does the answer Gta the fact: why or why no? Are there other possible interpretations of the data? ‘Were the asumptions reasonable? ‘Ave the data reliable? ‘Are additional data necessary? Has there cen an adequate geological study? asthe reservoir been adequately defined? ‘The modern reservoir management process inoWes oul seiing, planning, implementing, monitoring, evaluating, and rewsing plans Setting a cevervoir management srutegy requires knowledge of the reservoir, svalbiliy of technology, and knewledge ofthe business, Politica, and environmental cliemate: Formulating a comprehensive ma 8gement plan involves depletion and development strategies, data ac sition and analyses, geological and numerical model aude, production and reserves forectss, fails requirements, economic optmizaton, and management approval. Implementing dhe plan requires manage ‘ment support, feld personnel comraitment, and malinciplinary, inte 12 ¥ chepter 2 grated teamwork, Suecess of the project depends upon careful monitor: Ing/survellance and thorough, ongoing evaluation ofits performance. IF the acusal behavior of the project does not agree wih the expected performance, the original plan needs wo be revised, and the ejcle (Le, Implementing, monitoring, and evaluating) reactivated,