Open AccessEconomic Assessment of Multiple Reservoirs in Oil Field Development
Author(s) -
I. Lerche
Publication year - 2000
Publication title -
energy exploration and exploitation
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.435
H-Index - 30
eISSN - 2048-4054
pISSN - 0144-5987
DOI - 10.1260/0144598001492445
Subject(s) - new horizons , drill , horizon , uncorrelated , field (mathematics) , petroleum engineering , oil field , bayesian probability , computer science , geology , economics , econometrics , mathematics , engineering , artificial intelligence , statistics , mechanical engineering , geometry , pure mathematics , spacecraft , aerospace engineering
Many individual oil fields have multiple producing horizons. A question of some interest in developing an oil field is when does it make sense to drill for further horizons, based on the knowledge one has already obtained from the known horizons. Such an assessment must incorporate the economic chances of successfully finding another horizon and also the likely gains and costs involved. This paper shows how that question can be answered using Bayesian up-dating methods for improving success probabilities based on the information of known producing horizons, and incorporating both uncorrelated and correlated reservoir information to improve the chances of success. A case history is provided to illustrate how this objective procedure operates in practice.
Accelerating Research
Robert Robinson Avenue,
Oxford Science Park, Oxford
OX4 4GP, United Kingdom
Address
John Eccles HouseRobert Robinson Avenue,
Oxford Science Park, Oxford
OX4 4GP, United Kingdom