An Investigation of the Economic Benefit of Inflow Control Devices on Horizontal Well Completions Using a Reservoir-Wellbore Coupled Model

Abstract

Abstract A finite-difference, lumped-parameter based, reservoir-wellbore coupled model was developed to characterize the economic benefit of inflow control devices on horizontal well completions. Baker Oil Tools' inflow control device (ICD), the Equalizer™, has been tested and analyzed as a standalone entity. Several correlations have been developed to quantify the pressure drop characteristics of this ICD. To show the positive effects an ICD has on an asset, one must quantify, not only the flow performance of the ICD, but the time dependent depletion scenarios of the reservoir in question. In this paper, the benefits of a unique inflow control device will be shown by analyzing reservoir depletion scenarios with and without inflow control. Without inflow control, a horizontal completion is at risk of early water breakthrough. With early water breakthrough, the water cut tends to escalate due to its lower viscosity compared to that of oil. As the water cut escalates, oil production drops significantly, often leading to shutdown of the well and reserves being left in the ground. This paper will show the benefits of using an ICD by describing the model development of a hypothetical, yet typical, field and the subsequent analysis that drives the completion design of the horizontal well. The model includes the reservoir, water oil contact, near-wellbore characteristics, wellbore, sand control screen, ICDs, basepipe, and production tubing, capital expenditure input, and real time calculations of net present value of the reservoir. The use of inflow control devices increases the capital expenditure, but the increased cost is more than compensated for by the increased production efficiency. The technology presented can be extrapolated and applied to the analysis of well completions consisting of different types of hardware. Future developments of this type of analysis will be described. This work provides three additions to the technical knowledge base of the petroleum industry; 1) use of a lumped-parameter finite-difference based model to couple the wellbore completion to the reservoir, 2) proof of the positive effects of inflow control devices on producing hydrocarbons, and 3) further information on using the "economics of reservoir depletion" to drive horizontal completion designs.