Why it’s important for Oil companies to do reservoir modelling and simulation?

By

RENATUS MAHUYU

Msc Oil and Gas Engineering

China UNIVERSITY OF GEOSCIENCES-WUHAN CHINA.

raymahuyu@yahoo.com

Phone number /WhatsApp: +8613006172786

Skype ID:raymahuyu

 Different questions I have been asked by different people about how do oil companies find gas or oil underground?

How do they know if its economical or not?

How much is it there?

For how long will it be produced?

How sure does Oil company have to continue drill in the field?

How do the oil companies reduce risk from guessing where to drill?

How to Forecast oil/gas price?

From the above questions asked, I have decided to write in brief an article to explain some little steps which are taken by different oil companies to do reservoir management and production planning, from exploration stage to production stages.

This article also will give an overview on the basic steps from how oil and gas is discovered during exploration stage to production stages. basically, the aim of the article is to show how modelling and simulation has become an essential tool for most oil company to use as a decision maker, production planning tool as well as monitoring a reservoir during pre-and post-production stages.