SUMMARY A study is made of the dependence of the effective permeability of sand-shale reservoirs on the geometry of the shale inclusions. Numerical simulations are described in which factors such as the orientation and the degree of anisotropy of the shales, their volume fraction and the permeability contrast ratio between the shale and the sandstone were varied. Two different reservoir models were used in the simulations: one in which the shales were in the form of random, overlapping spheroidal inclusions, and one in which the shales were generated by a geostatistical technique. The computed effective permeability data are compared with a variety of analytical models in an attempt to discover ‘rules of thumb’for the estimation of the effective permeability of sand-shale reservoirs for use in a range of practical situations. The main technical way in which this study advances on previous work is in its use of a computationally efficient, random walk algorithm for calculating the effective permeability, which has enabled larger volumes to be simulated and, hence, a thorough investigation of finite-size effects to be made. Another advantage of the work reported here is the general nature of the sand-shale geometries used in the numerical simulations and the extensive comparisons with analytical models.