University of Technology

Oil and Gas Engineering Department

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 Introduction
The General Material Balance Equation (GMBE) is developed based on
an oil reservoir with a primary gas cap at initial conditions and
reservoir pressure designated as . At a later time, reservoir pressure
is assumed to have been reduced from production of oil, water, and
gas.

The general material balance equation (GMBE) has long been

recognized as one of the basic tools of reservoir engineers for
interpreting and predicting reservoir performance. The GMBE, when
properly applied, can be used to:

Estimate initial hydrocarbon volumes in place

Predict future reservoir performance.
Predict ultimate hydrocarbon recovery under various types of primary
driving mechanisms

During the production period, it is assumed that there was water

influx into the reservoir from an aquifer. It is also assumed that water
and/or gas was injected into the reservoir. These conditions are
illustrated in the following Figure.
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Material balance model for an oil reservoir
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Knowing the amount of the hydrocarbon pore volume correctly is
basically required to have properly design of oil and gas
reservoirs. The accuracy in calculating of the hydrocarbon pore
volume depends on the used method.

Usually two conventional methods use to estimate the Original Oil

In Place (OOIP) very quickly. These two methods are volumetric
method and Material-Balance-Equation (MBE) method.

Each method required sort of data; the volumetric method

depends on static data, whereas MBE method require dynamic
data of the reservoir and the area around. Usually the driving
mechanism is the key point when MBE are used.

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The equation of the material balance developed by Schilthius
which equates the cumulative observed production (expressed as
underground withdrawal) to the expansion of the fluid in the
reservoir resulting from finite pressure drop.
(m initial + m add – m removed = m remaining)
The material balance equations considered assume tank type
behavior at any given datum depth - the reservoir is considered
to have the same pressure and fluid properties at any location in
the reservoir. This assumption is quite reasonable provided that
quality production and static pressure measurements are
obtained.

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 The material balance is convenient to denote certain terms by
symbols for brevity. The symbols used conform where possible to the
standard nomenclature adopted by the Society of Petroleum
Engineers.

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The GMBE can be represented volumetrically in reservoir barrels as:

Before developing the terms of the expression for the GMBE in Eq. (1), it is
necessary to derive other expressions that apply to oil reservoirs with primary
gas caps. The ratio of original reservoir gas cap volume and the original
reservoir oil zone volume is defined as:

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The general form of MBE for the tank mode:

Rearrangement of MBE can written in this form:

Moreover, Havlena and Odch had simplified the above equation to

be an equation of straight line equation (Linearization) and
shortages the number of terms to have them in equation of couple
groups with different names as shown below:
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Oil reservoir with water influx and gas expansion 9
In this equation each new symbol have different name and
represent different section of the reservoir which are (F)
represents the reservoir volume of cumulative oil and gas
produced which named as the underground withdrawal,
(We) refers to the net water influx that is retained in the
reservoir, (Eo, Eg, Efw) these group presents the expansion
of oil and its originally dissolved gas production, net
expansion of the gas cap that occurs with the production,
and the expansion of the initial water and the reduction in
the pore volume respectively. Havlena and Odeh in 1963
expressed an equation for under-saturted oil reservoir
where m=0, and rearranging this equation.
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 So the equation can be written as:

Havlena and Odeh had further expressed equation in a more

condensed form:

Also, (Eo+Ef,W) can be expressed as a (Et).

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Havlena and Odeh examined several cases of varying reservoir types
with the following Equation (F equation) and pointed out that the
relationship can be rearranged into the form of a straight line. For
example, in the case of a reservoir which has no initial gas cap (i.e.,
m = 0) or water influx (i.e., We = 0), and negligible formation and
water compressibilities (i.e., cf and cw = 0), the following Equation:
reduces to:
F = N Eo
The above expression suggests that a plot of the parameter F as a
function of the oil expansion parameter Eo would yield a straight
line with a slope N and intercept equal to zero.

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An example of (H-O) or graphical method
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An example of (H-O) or graphical method
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An example of (H-O) or graphical method
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An example of (H-O) or graphical method
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Water influx models:

1. Pot aquifer
2. Schilthuis steady-state
3. Hurst modified steady-state
4. The Van Everdingen-Hurst
• Unsteady-state
• Edge-water drive.
• Bottom-water drive
5. The Carter-Tracy unsteady-state
6. Fetkovich method

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 MBAL software
The MBAL is a software used for efficient reservoir development
and helps the engineer better define reservoir drive mechanisms
and hydrocarbon volumes, also natural forces in the reservoir
that displace hydrocarbons out of the reservoir.

The MBAL allows non dimensional reservoir analysis to be

conducted throughout the life of the field, whether this is in early
field life when limited data is available, or even in mature fields
where more certainty exists. As such, this straightforward but
powerful reservoir toolkit can be applied throughout the life of
the reservoir, and is often used in conjunction with numerical
simulators as a quality check of history matching.

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Using limited data (PVT and cumulative production) the
engineer is well equipped to find the amount of oil in place, and
any associated drive mechanisms. Moreover, compartmentalize
reservoirs with partially sealing faults, or pressure activated
faults can be modelled and history matched by creating multi-
tank models with transmissibility. The most important
applications of MBAL:

 History matching reservoir performance to identify

hydrocarbons in place and aquifer drive mechanisms
 Building Multi-Tank reservoir model
 Generate production profiles

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 Run development studies

 Decline curve analysis

 Monte Carlo simulations

 1D flood front modelling

 Calibrate relative permeability curves against field

performance data

 MBAL allows the engineer to tune PVT correlations to match

with field data

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 Data preparation for MBAL

1. Production data:
 Oil production data: prepare a table and figure for cumulative
oil production of oil field.

Year Oil per year (mmbbl) Cumulative oil (NP) (mmbbl)

….

…..
……

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 Data preparation for MBAL

 Water production data: prepare a table and figure for

cumulative water production of Mishrif reservoir-Buzurgan oil
field.

Year Water per year (mmbbl) Cumulative water (WP)

(mmbbl)
……

…..
……

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 Data preparation for MBAL

2. Pressure data:
Prepare a table and figure for average reservoir pressure for
each year of oil field.

Year Average reservoir pressure

(Psi)
…….

…….

……..

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 Data preparation for MBAL

3. PVT data:
Prepare a table and figures for PVT data for available report
in oil field.

• General fluid properties

• Bo, Rs, oil viscosity with pressure

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 Data preparation for MBAL

4. Other parameters
• Average porosity
• Reservoir temperature
• Initial pressure
• Connate water saturation
• Water compressibility
• Rock compressibility
• Relative permeability curves
• Initial gas cap
• Production start date

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 Assumptions of the tank model (MBE model)
The main assumptions of the Schilthius Tank Model :
1. Constant Tank Volume: The formation section containing
the initial hydrocarbons is assumed to be of a constant
volume, one that does not change with production and
injection.
2. Constant Pressure Distribution: The pressure at every point
in the reservoir and at every point in time is assumed to be
equal to the average reservoir pressure. however, the system
average pressure is allowed to change with time.

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3.Homogeneous Reservoir: Each property is assumed to have
the same value across the reservoir at any given time.

4. Constant Composition: The fluid-chemical composition is

assumed to remain constant throughout production, except as
reflected in the changes with pressure of the fluid properties
(e.g. Bo, Rs , z-factor, and viscosity).

5. Uniform Withdrawals: The volumes of fluids produced

from and injected into the reservoir are assumed to be
distributed uniformly throughout the system.

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 Practical recommendations for MBE

MBE lost importance following the increasing use of numerical

simulation in recent years, but only MB calculations allow for:
- Validation of the Oil In Place calculation (OIIP)
- Estimation of the volumes of water influx, We, & gas-cap
volume, m (if any)
- Identification of the dominant Production Mechanisms

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MBE are a complement to numerical simulation:

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 Necessary conditions for MBE Application

There are no sufficient conditions to apply the MBE but there

are two necessary conditions,
1. Existence of data (pressure, production and PVT) adequate in
terms of amount and quality
2. To be able to define an average pressure decline for the
reservoir.
A reservoir with high hydraulic diffusivity (high k/Фµc)
presents more uniform values of pressure. Low diffusivity
implies greater differences of pressure between wells.
• Different pressures in several regions do not prevent MBE .
But including isolated blocks with different pressure “regimes”
should not be done.

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 Data Validation and Calculation of Averages

1. Production Data:
• Create graphics of productions and gas-oil and water-oil ratios
to detect anomalies.
• GOR and WOR tend to increase with time in each well, except
if coning occurs.
• Coning can be detected with some basic evaluations:

A- If the GOR or Water Cut depends on oil rate

B- If GOR or Water Cut decrease after a temporary shut in of

the well

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• GOR tend to increase with time except when the wells more
affected by gas are shut.
• GOR cannot be larger than solution gas ratio (Rs) if reservoir
pressure is above bubble point pressure.
• GOR cannot also be much lower than Rs.
• GOR reports can be wrong in cases of wells with artificial gas-
lift.

2. Pressure data
Steps for the calculation of Average Pressures in the reservoir:
- Calculate average reservoir pressures in the drainage area of
each well
- Convert these pressures to Datum depth
- Calculate average reservoir pressures at Datum
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- Reservoir pressures do not need to be uniform in all the
reservoir but all the wells must drain the same block (ensure
pressure communication)

-To evaluate the degree of communication between wells: Build

graphics with well average pressures versus time.

-The lack of balance does not prevent the application of MBE, but
it is important to ensure than all wells belong to the same block

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Case (a) = good balance,
Case (b) lack of balance.

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 Aquifer Modelling in MBAL

For existing reservoirs where the PVT and historical

production is known, MBAL provides extensive matching
facilities and the ability to model the size and strength of drive
mechanisms.
Both steady state and transient responses can be modelled in
MBAL, using the industry standard and Petroleum Experts
Modified models.
The sizing of the aquifer (based upon its pressure support
response) provides a way of calibrating known physics against
production data, which once calibrated can be used to forecast.

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If We estimate is correct, the relationship between the two
variables is a straight line,

• If We is under-estimated => Line goes up and

• If We is over-estimated => Line goes down.
• If the geometry is incorrect (radial or linear aquifer for example)
the line could have the shape shown in the below figure.

Calculations of water influx = Method proposed by Hurst and Van

Everdingen.
• There is an approximate solution, for the case of the unsteady
state regime, proposed by Fetkovitch.
• Fetkovitch calculations are simple and easy to apply while the
calculations of Van Everdingen and Hurst are tedious.

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 OIIP estimation in MBAL
After preparing required data, we apply number of steps in
MBAL software to make history matching and estimate OIIP.
The main steps:
 Set up the type of model and reservoir fluid
 Input the validated reservoir fluid properties
 input the main tank parameters
 Input the rel. perm. & rock compaction data
 Select reasonable water influx model
 Input the production history of the reservoir.
 Set up history matching & using analytical and graphical
methods to estimate OIIP.

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