Ranking horizontal-well sites in tight, naturally fractured reservoirs

Journal Article · Tue Jan 01 04:00:00 EST 1991 · Journal of Petroleum Technology; (USA)

DOI:https://doi.org/10.2118/19059-PA· OSTI ID:5806981

Zammerilli, A M ^[1]

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1. US DOE Morgantown Energy Technology Center, Morgantown, WV (US)

This paper describes a method to examine the relative merits of locations for horizontal wells in a naturally fractured shale gas basin. The methodology examines noncontrollable variables (existing reservoir pressure, pay-zone thickness, and success ratios) as well as controllable variables (gas price and drilling costs) to arrive at the profitability for a horizontal well project in a candidate area. An analysis of the expected monetary value (EMV) and a cash flow model are used to obtain a distribution of cash flow levels that yields a determination of whether a project is likely to succeed. Ranges of profitability for an unstimulated horizontal well are presented graphically. With this approach, the most likely areas for horizontal drilling to be economically and technically successful are identified easily and quickly.

• OSTI ID: 5806981
• Journal Information: Journal of Petroleum Technology; (USA), Journal Name: Journal of Petroleum Technology; (USA) Vol. 43:1; ISSN JPTJA; ISSN 0022-3522
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020300* -- Petroleum-- Drilling & Production
03 NATURAL GAS
030300 -- Natural Gas-- Drilling
Production
& Processing
CALCULATION METHODS
DIRECTIONAL DRILLING
DRILLING
ENGINEERING
FRACTURED RESERVOIRS
INCLINATION
NATURAL GAS WELLS
OIL WELLS
RESERVOIR ENGINEERING
WELL SPACING
WELLS