Reservoir management using system dynamics method

Reservoir management is an important way to improve the development efficiency of an oil field. Reservoir management is also considered as system engineering. This paper introduces a method of system dyna-mics in system engineering of reservoir management. Regarding reservoir management as a system, system analysis and system structure research were carried out. The reservoir management system was divided into four subsystems, as reservoir resources, production, technology, and management organization. This paper focused on the interaction mechanism of the reservoir resources and production subsystems. A system dynamics simulation model of production resource system was established. Actual data collected from the SL oil field were input into the simulation model to study the relationship between recovery, investment of exploration and development, new found proven geological reserves, production, and a balanced ratio of reserve-production. Recommendations on how to improve reservoir management, determine reasonable oil production and reserves were brought forward. Reasonable crude oil production target is a key factor, the proportion of investment and development should be optimized, and oil recovery must be focused on.