Leading Integrated Reservoir Studies:

Practical Advice

John H Martin

John H Martin Associates LtdRESERVOIR DEVELOPMENT CONSULTANTS

Presentation for SPE London Meeting panel discussion on ‘Virtual Teams’

click to advance presentation

‘Virtual Team’

Geographically dispersedWork apart more than in same locationPrimarily interact electronically; meet face to face occasionally

Free agentsFrom various ‘expert’groupsPart-time; ad-hocConflicting loyaltiesInter-personal process absentArms-length commitment

Integrated Reservoir Integrated Reservoir StudyStudy

fullfull--field reservoir simulationfield reservoir simulationupdating STOIIPupdating STOIIPplanning a horizontal wellplanning a horizontal wellpreparing for an equity preparing for an equity selecting core plugs for SCALselecting core plugs for SCAL

Requires significant effort Addresses a problem associated with a petroleum reservoirUp to several months/yearsInvolves personnel from 2+ technical disciplines

All these are PROJECTS

Organised set of planned activities designed to achieve a set of prescribed objectives• Some element of uniqueness• Goal-oriented• Consist of connected & interrelated activities• Specific start & end points• (usually) cost &/or time constraints………..

well log response

…….and often cut across functional and/or organisational lines

RCAL and SCAL

depositional environment

(intrawell)flowmeters

geological model (interwell)

perforation data

transient pressure tests

PermeabilityModel

Flatter management structures for project- based organisations

____ Control

- - - - Communication

CoordinationProject E

Project C

Project B

Project A

Project D

____ Control

- - - - Communication

Coordination

Project C

Project A

Project D

1.ESTABLISH

OBJECTIVES

2.PLAN

3.SCHEDULE

4.CONTROL

5.CAPTURE LESSONS

Tailoring PM techniques to assist the project leader

Focus on project definition & planningMethods to handle differences between reservoir studies & ‘traditional’ projectsTechniques for integrating the work of geoscientists & engineers

Virtual

Fundamental Attributes

Purpose• statement of business need to

be achieved

Objectives• quantitative and qualitative

measures by which completion will be judged

WHY are we doing this project?

Objectives of Integrated Objectives of Integrated Reservoir StudiesReservoir Studies

Need to be specific and detailedDefine ALL objectivesConsider value of additional objectivesPrioritiseEnsure that objectives are appropriate

Time Quality

Cost

Scope: also a key element of the project model

Work anticipated to fall within the remit of the project….Or which will fall outside its remit Project

SCOPE

Reservoir Management StudyReservoir Management Study

Objectives• Reconcile geological model & MB STOOIP• Assess extent to which all areas/layers are

being waterflooded effectively• Identify infill drilling locations• Define long-term depletion strategy

Scope• Emphasise accurate

reservoir description and use of reservoir monitoring results

• Resolve all possible questions with classical hand calculations

• Use more sophisticated techniques if necessary

Identify Activities

Project manager may make first pass• if more experienced than team members • or when time short

Does not build team spiritDanger of some activities being overlooked

ESTABLISHOBJECTIVES

PLAN

Brainstorming: by 'planning' teamUse wall, board or flip chart with 'post-it' stickers Generate as many 'ideas' as possibleDo not worry about what order the 'chunks' come inInclude whole project initially

Don't expect to 'get it right' first time Encourages strategic thinking by team

EVALUATE CORES

ZONE RESERVOIR

CALIBRATE WIRELINE LOGS

EVALUATE POROPERM

MAKE ISOCHORE MAPS

ANALYSE MIN & PET

DEPTH MATCH AGAINST LOGS

SAMPLE CORES

CORRELATEWELLS

DETAILS FOR LATER USEPoint-count thin sections

Analyse by XRDPrepare thin sections

Hints on identifying activitiesChose meaningful description

• Each activity should have name which contains active verb and object

Include activities which might not involve much effort, but incorporate waiting timeNot helpful to get bogged down in excessive detailAlso avoid excessive generalisation

EVALUATE CORES

ZONE RESERVOIR

CALIBRATE WIRELINE LOGS

EVALUATE POROPERM

MAKE ISOCHORE MAPS

ANALYSE MIN & PET

DEPTH MATCH AGAINST LOGS

SAMPLE CORES

CORRELATEWELLS

DETAILS FOR LATER USEPoint-count thin sections

Analyse by XRDPrepare thin sections

displayed in precedence diagram(s)shows procedural relationships• which need to precede• which can be done concurrently

activities/relationships identified; ambiguity avoidedan effective means of communication

Plan: ‘a graphical representation of work to be carried out - a network

Location & ordering of activities indicates precedence only

no “looping”

Important Events

Merge

BurstActivity 1Activity 2

Activity 3

Activity C

Helpful in determining Milestones

‘Nesting’Networks

Activity A

Activity B

Constructing precedence diagrams

1.ESTABLISH

OBJECTIVES

2.PLAN

SCHEDULE

Define resource availabilityIdentify critical pathReview, revise and agree project schedule

Critical Activity vs. Critical Path Activity

Critical Activity‘activity whose successful completion is essential to overall success of project’

- formulating geological model- permeabilities- relative permeabilities

Critical Path Activity‘activity whose late completion will delay completion date of project’

Start

Result path

Activities

Milestones

End

Milestone PlanMeasuring points within projectAlso decision points

Prepare a Project Definition Document

A statement of understanding• to commence project planning • to avoid overlap or omission

Important part of documentation • projects may run for longer than postings• basic reading for any newcomers

Purpose, scope, objectives, constraintsActivity descriptions, precedence diagrams, schedule, milestones

Essential for aVirtual Team

Monitor progress against plan

Precedence diagramGantt chartRelatively straightforward, but who should be responsible?

1.ESTABLISH

OBJECTIVES

2.PLAN

3.SCHEDULE

CONTROL

Why we work on some activities

Interesting?

boss is very interested?

know how to do – experience?

on top of ‘in basket’?

data are readily available?

‘in the mood’ important (critical activity)?

critical path activity?

Budget total

forecastPlanned spend

The ‘S’-curve

actual spend

Low value assigned to WIP

high value assigned to WIP

Achievement £K

Cost

£K

Monitoring against cost

Traditional methods not suitedTimesheetingmay not be sufficient

Simple cost vs. achievement method works well

1.ESTABLISH

OBJECTIVES

2.PLAN

3.SCHEDULE

4.CONTROL

CAPTURELESSONS

Technical reporting• collection of viewgraphs rarely

enough!

Project templates

Time

Loss of knowledge during Field Development

Integrated Integrated Reservoir Reservoir StudiesStudies

‘‘TraditionalTraditional’’ ProjectsProjects

vs.vs.

Objectives less clear at start of study?

May be critical in designing the study correctly

Approach:Carry out mini-project with objective ‘formulate detailed objectives of study’Include activities in network diagram – ‘refine objectives’ or ‘define additional objectives’

Suggestions: identify key uncertainties explicitly in precedence diagrams• yes/no• approach #1 or approach #2• ‘define approach’

plan and schedule critical alternatives

Greater uncertainty as to approaches to be taken?

data integrationhistory matchingdevelopment options + geological uncertainty

Uncertain activity durations

Approach: where uncertainty will have significant impact on overall schedule, make three estimates and assess effect

Approach: identify events that could yield new datainclude relevant activities in network diagram as reminder to stay alert

Greater potential for ‘recycling’ back to an earlier activity

new data from fieldinformation from other fields in basinimprovements in technology

Approach:train personnel in PM techniquesgive ‘lead’ in planning to committed personuse part-time Project Planner• initial planning• periodic updates

Magnitude of expenditure much lessNeed for full-time Project Management staff difficult to justify

Approach:

avoid need for ‘shortcuts’ at end of project

create basis for quality checks through detailed planning & documentation

conduct external audits at milestones

No formal quality control programmes

Geological StrategiesGeological Strategies

Agree specific guidelinesMake results accessibleReservoir description as simple as possible but no simplerDefine 'degrees of freedom' in geological modelDon't underestimate uncertaintyMake use of subsurface analogues

Give geologist specific guidelines Ensure that assumptions are reasonable History matching should be collaborativeRevisit geological model prior to acting on recommendations

Strategies for reservoir engineers

‘Designer’ formats: useful integration methods

important relationships are subtle

standard displays are too ‘busy’

• e.g. CPIs; welltest interpretations, core descriptions

what needs to be integrated varies

people ‘see’ results differently

Design formats for entire team

Virtual

Team-building

Are ‘team-building’ events really worthwhile?

Best ‘team-building’ is working together on an important, well-defined problem!Appropriate planning at outset will benefit all stages of teamwork

Virtual

Merely forming a team doesn't ensure success - in integration or otherwise!

Virtual

A generic project model

Modifications of basic PM approaches for integrated reservoir studies

Basic PM courses are just a starting point?• R&D PM approach• ‘Rolling Wave’ planning

Using ‘PM’ software is not enough• fixed dates, Gantt chart displays, rather than

focussing initially on precedencesMore effort to ‘capture the lessons’