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Dean Oliver : Sampling the Posterior Distribution for Reservoir Properties Conditional to Production Data

A major problem of Petroleum engineering si the prediction of future oil and water production from a reservoir whose properties are inferred from measurements along well paths, and from observations of pressure, production, and fluid saturations at well locations. If the properties of the porous material were known at all locations, and all boundary conditions were specified, the production rates of fluids would be computed from the numerical solution of a set of partial differential equations governing mass conservation and flow. Rock properties are known to be heterogeneous on many scales, however, and the measurements are always insufficient to determine the properties throughout the reservoir. In the petroleum and groundwater fields, rock properties (permeability and porosity) are modeled as spatial random fields, whose auto-covariance and cross-covariances are known from ovservations of outcrops and cores. Uncertainty in future production is characterized by the empirical distribution from the suite of realizations of rock properties. The problem is assessing uncertainty in reservoir production or groundwater remediation predictions is that while valid prodecures for sampling the posterior pdf are available, the computational cost of generating the necessary number of samples from such procedures is prohibitive. An increase in computer speed is unlikely to solve this problem as the trend has been to build more complex numerical models of the reservoir as computer capability increases. Most recent effort has gone in to approximate methods of sampling. In this talk, I will describe our experience with the use of Markov Chain Monte Carlo methods and with approximate sampling methods.

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