Abstract
With the rapid development of unconventional resources in the USA and its contribution by diminishing energy dependency on foreign supplies, reservoir simulation technology is facing new challenges in providing key information to be utilised for long-term development decisions. Therefore, growth in shale gas reservoir development necessitated new approach to reservoir simulation. In this paper, simulation model formulations dealing with unique physics and flow mechanism within shale gas reservoirs have been discussed and more suitable simulation techniques have been devised with the intention of improving shale gas recovery. Fractures have substantial effect on production from shale gas reservoirs. Complex DFNs were stochastically generated and up-scaled in order to simulate fluid flow through the system. Logarithmic local grid refinement was employed to model hydraulic fractures, while matrix discretisation technique with matrix subgrids was used to capture long transient fracture to matrix gas flow. History matched model was further used for studying enhanced shale gas recovery through CO 2 sequestration simulation.
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