1.1 Statement of Problem

Reservoir development and well placement have been one of the existing challenges in the

petroleum industry over the years. This is because different engineering, geological and

economic variables affecting reservoir performance are practically involved. 

More importantly, the decision on how to increase oil recovery and maximize the economic

profitability of field development projects is the pivot point. Therefore, an extensive evaluation

of certain decision variables such as reservoir properties, production scheduling parameters, type

of well, location to drill new wells and an effective technique to obtain the best economic

strategies are required. Also, consideration should be given to the spatial distribution of

geological and rock properties such as porosity and permeability in order to locate potential

hydrocarbon zones for drilling activities. This involves critical evaluation of development

strategies to produce the greatest amount of hydrocarbons within the physical and expected

economic limits.  

Several techniques have been adopted to achieve efficient reservoir development process which

significantly affects the productivity and economic benefits of an oil reservoir. However, the aim

of this work is to evaluate the impact of well placement on cumulative oil recovery during the

development of a green field.  

In this study, reservoir simulation and spatial based modeling approaches will be used as key

evaluating elements for the development of the greenfield oil reservoir to improve its


1.2 Objectives

The objectives of this study are to:

• Use geostatistical methods to distribute the petrophysical properties in building a 3D

static model of the reservoir;

• Find the optimum number, type, and placement of wells required to develop the


1.3 Methodology

     The methods to be used include;

• Build a 3D static model of the green field by 

o Digitization of structural and isopach maps of the A-1 reservoir

o Estimation and distribution of Porosity, Permeability, and Thickness at all

locations in the reservoir

o Estimation of Original Oil in Place (STOOIP)

• Construction of a 3D dynamic reservoir model

• Use of the 3D dynamic model to find the optimum number, type, and placement of wells

to develop the reservoir. 

1.4 Facilities and Resources

The facilities and resources used for this project include;

• AUST library and internet facilities 

• Technical and academic expertise of supervisor

• Structure and Isopach maps of A-1 reservoir

• Isopermeability map of A-1 reservoir

• Isoporosity map of A-1 reservoir

• Computer software programs such as: GIS, SGeMS, Sensor Simulator 

1.5 Organization of Report

This report is organized into five chapters. Chapter one is the introductory chapter giving general

information about the entire project. Chapter two gives in-depth information of the study area

and reviews relevant literature related to this work. Chapter three places emphasis on data

processing and analysis. Chapter four covers the results and discussion. The last chapter which is

chapter five concludes the project and provides the necessary recommendations.



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