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Combined stochastic and discrete simulation to optimise the economics of mixed single-horizontal and multilateral well offshore oil developments
Received date: 2020-11-08
Revised date: 2021-08-10
Online published: 2021-10-25
Multilateral wells promise cost savings to oil and fields as they have the potential to reduce overall drilling distances and minimize the number of slots required for the surface facility managing the well. However, drilling a multilateral well does not always increase the flow rate when compared to two single-horizontal wells due to competition in production inside the mother-bore. Here, a holistic approach is proposed to find the optimum balance between single and multilateral wells in an offshore oil development. In so doing, the integrated approach finds the highest Net Present Value (NPV) configuration of the field considering drilling, subsurface, production and financial analysis. The model employs stochastic perturbation and Markov Chain Monte-Carlo methods to solve the global maximising-NPV problem. In addition, a combination of Mixed-Integer Linear Programming (MILP), an improved Dijkstra algorithm and a Levenberg-Marquardt optimiser is proposed to solve the rate allocation problem. With the outcome from this analysis, the model suggests the optimum development including number of multilateral and single horizontal wells that would result in the highest NPV. The results demonstrate the potential for modelling to find the optimal use of petroleum facilities and to assist with planning and decision making.
Mohammed ALMEDALLAH , Suleiman Khalid ALTAHEINI , Stuart CLARK , Stuart WALSH . Combined stochastic and discrete simulation to optimise the economics of mixed single-horizontal and multilateral well offshore oil developments[J]. Petroleum Exploration and Development, 2021 , 48(5) : 1183 -1197 . DOI: 10.1016/S1876-3804(21)60101-5
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