Useful Concepts For Decline-Curve Forecasting, Reserve Estimation, and Analysis
Useful Concepts For Decline-Curve Forecasting, Reserve Estimation, and Analysis
Summary
q(t) + q ińe
NJDińƪ1*ǒpwfńpRǓƫNjt , . . . . . . . . . . . . . . . . . . . . . . . (1)
The purpose of this paper is to give engineers responsible for making
forecasts and determining reserves for numerous operated or nonoper-
ated wells some guidelines and fundamental concepts to allow them to ƪ ƫ
where D i( p wf) + q i ńN puoń 1 * ǒp wfńp RǓ . . . . . . . . . . . . . . (2)
make these forecasts and determinations more quickly and accurately.
Both qi and Npuo are functions of the constant pressure, pwf . For pwf +0,
Introduction
Di + qi maxńN puo,o, . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3)
Decline-curve analysis, based on the Arps1 equations, has always been
considered to be purely empirical with no basis on physical laws gov- where Npuo,o is the ultimate recoverable to q(t)+0 and pwf +0.
erning the flow of oil and gas through the formation. The works of Fet- Note that different levels of constant wellbore pressures, pwf , al-
kovich2–11 and others have attempted to place decline-curve analysis ways result in an exponential decline and Di is the same for all levels
on a sound, fundamental basis using the constant wellbore pressure of backpressure. (This is not the case for derived forms of the hyper-
analytical solution and simple combinations of material-balance equa- bolic equation.) The goal of any prudent operator to maximize pro-
tions and pseudosteady-state rate equations to derive rate/time decline duction and recoverable reserves and to minimize drainage of re-
equations for oil and gas wells. (See additional references listed in Ref. serves to offset wells is to maintain the flowing pressure, pwf , as
14.) The derivations illustrate under what circumstances specific values close to 0 as is economically possible. Therefore, pwf [0 was the ba-
of the hyperbolic decline exponent, b, should result. It is from these der- sis for deriving hyperbolic forms of decline equations which turn
ivations that the variables in Arps equations can be expressed in terms out to be very useful for understanding some important concepts of
of reservoir variables and reservoir engineering concepts. Decline- decline-curve analysis.
curve analysis, or more specifically rate/time analysis, is not simply an
art based on applying a purely empirical equation to be analyzed with Solution-Gas Decline Equations (Derived) (Below Bubble-
statistical approaches. Reliance on a statistical analysis, void of reser- point). As presented and discussed in Ref. 3, the material-balance
voir engineering concepts, often leads to unrealistic and unreliable and rate equations used to derive rate/time equations for solution-
forecasts and reserve estimates. gas-drive oil wells are
Cumulative–Time ƪ
Q p + ƪq ińǒ1 * bǓD iƫ 1 * ǒ1 ) bD itǓ
ǒ b*1ńb Ǔ
ƫ ǒ
Q p + ǒq ińD iǓ 1 * e Ǔ
*D t
i ƪǒ
Q p + ǒq ińD iǓ ln 1 ) D i t Ǔƫ
Rate–Cumulative ƪ
Q p + ƪq ibńǒ1 * bǓD iƫ q (1–b)–qǒ t Ǔ
i
(1–b)
ƫ Q p + ƪq i * qǒ t ǓƫńQ D
i
Q p + ǒq ińD iǓ lnƪq ińqǒ t Ǔƫ
From Rate–Cum. D i + ƪ1ńǒ1–bǓƫǒq ińQ puoǓ D i + q ińQ puo Di is not definable; (Qpuo is infinite).
Di at q(t)+0
Di (oil) D i + ƪǒ2n ) 1Ǔń2ƫǒq ińN puoǓ n + 0.5; D i + ǒq ińN puoǓ Not derivable
Npuo +N (RF) where RF+f(kg /ko )
Di (gas) D i + 2nǒ q ińG Ǔ n + 0.5; D i + ǒ q ińG Ǔ Not derivable
G + Gi ǒRFǓ where RF + ƪ1 * ǒp ńp Ǔƫ
wf R
b(oil) where pwf [0 b + ǒ2n * 1Ǔńǒ2n ) 1Ǔ where n is between 0.5 and 1
b(gas) where pwf [0 b + ǒ2n * 1Ǔń2n where n is between 0.5 and 1
D i + ƪ(2n ) 1)ń2ƫǒq ińN puoǓ . . . . . . . . . . . . . . . . . . . . . . . . (9) Arps equations, qi , q(t), b, and Di , can be made from the derivation
of the single-phase gas equations.
The Arps decline exponent, b, can be expressed by the backpressure Derivation of the gas well decline equations is completely analo-
curve exponent, n, for wells producing at very low flowing pressures gous to that previously used to derive the single-phase liquid expo-
nential decline. The rate decline q(t) with time for a single-phase,
b + (2n * 1)ń(2n ) 1). . . . . . . . . . . . . . . . . . . . . . . . (10) single-layer, gas flow system, as in the single-phase liquid solution,
For n+1, the value that one would assume in the absence of an actu- is based entirely on reservoir pressure depletion of a closed finite
al multipoint test having been run on any well in the field, b would system. For single-phase gas, we use the pseudosteady state or stabi-
be equal to 0.33. A slope n+1 should be considered as being typical lized backpressure equation and material-balance equation, as de-
for most solution-gas-drive reservoirs and also would be equivalent picted graphically in Fig. 1. The derived rate/time equation for a gas
to assuming the Vogel IPR relationship. With n+1, well producing against a constant pressure, pwf , is for all backpres-
sure curve exponents nu0.5 a hyperbolic
D i + 3ń2 (q i ńN puo). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (11)
q(t) + q ińƪ1 ) (2n * 1) ǒ q ińG Ǔ tƫ
2nń(2n*1)
In the absence of a clearly defined decline exponent from field data, , . . . . . . . . . . . (12)
a value of b+0.3 should be assumed for a solution-gas-drive reser- and an exponential for the backpressure curve exponent n+0.5.
voir; i.e., n+1 in Eq. 10. However, indication of an unfavorable rel-
ative permeability, kg /ko , relationship would dictate a decline expo- q(t) + q ińe ǒq ińG Ǔt. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (13)
nent approaching exponential decline, b+0, because of the
anticipated lower recovery factor (see Fig. 2). With the derivations based on pwf +0, qi +qimax, and G+Gi , where
qimax is the stabilized absolute open-flow potential and Gi is the origi-
Gas Well Decline Equations (Derived). Most of the fundamental nal gas-in-place. At backpressures other than pwf +0, qi is a rate from
reservoir engineering concepts and definitions of the terms in the the stabilized backpressure curve at the specified flowing pressure,
Fig. 1—Rate and material-balance equations used to derive rate/time decline equations for gas and oil wells.
pwf . G is the recoverable gas to an abandonment pressure equal to pwf , ponent b for 149 oil fields also tends to support the 0.5 value as a
where G is equal to the original gas-in-place times a recovery factor. physical upper limit of b. He found that 90% of the oil fields studied
had b values less than 0.5.
G + G i (RF), . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (14) As will be discussed later, a layered no-crossflow reservoir sys-
tem, or its equivalent, can result in decline exponents that cover the
where RF [ ƪ1 * ǒp wfńp RǓƫ . . . . . . . . . . . . . . . . . . . . . . . . (15) range of b between 0.5 and 1—values of b greater than 0.5 can be
used to identify layered no-crossflow reservoirs. In Arps distribu-
These same type definitions involving in-place volume and recov- tion study he found no value of b greater than 0.7. It should also be
ery factor were also used for single-phase and multi-phase oil sys- pointed out that attempting to fit all or some of the “transient” pro-
tems—i.e., qi and Npuo . duction rate data of a well with the Arps pseudosteady-state equa-
Note that the basic form of the gas well decline equations, Eqs. tion will result in an “apparent” b value higher than it really is. In
12 and 13, are identical to that of the Arps form (see Table 1). They some cases, it will even be greater than 1.
exactly reproduce or overlay the Arps type curve over its entire
length. Di expressed in more familiar and readily available reservoir Cumulative Production Equations. The cumulative production/
engineering terms is for both the hyperbolic and exponential forms time equation is for nu0.5, the hyperbolic form
D i + 2n ǒ q ińG Ǔ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (16) 1ń(1*2n)
G pńG + 1 * ƪ 1 ) (2n * 1) ǒ q ińG Ǔ tƫ , . . . . . . . . (18)
All the terms in Eq. 16 can be calculated or estimated from initial
and for n+0.5, the exponential form
multipoint, pressure transient analysis results and geological data
G pńG + 1 * e *ǒ qińG Ǔ t, . . . . . . . . . . . . . . . . . . . . . . . . . . (19)
before any rate decline data is even available. Or in the case of a re-
placement well or offset location to be drilled, values from offset
wells can be used. both of which can be readily reduced to the Arps cumulative produc-
With regard to qi , qi is a rate from the stabilized wellhead or the bot- tion-time equations and rate/cumulative production equations
tomhole backpressure curve. If tubular friction is not significant, the shown in Table 1 (see also Ref. 14, Eqs. 6 through 11).
bottomhole and wellhead curves will be essentially the same except for
a hydrostatic head term. qi is not simply a producing rate at early time, Rate/Cumulative Production Equations (Derived). The rate/cu-
it is very specifically a pseudosteady-state rate at the surface. It can be mulative production equations for single-phase liquid and gas can
substantially less than actual early time transient flow rates as would be be directly derived from the backpressure curve and material-bal-
produced from low-permeability wells with large negative skins. ance equations (see Fig. 1). From the backpressure curve equation
The Arps decline exponent, b, can be expressed in terms of the at pRi and pR(t) where
backpressure curve exponent, n, for wells producing at very low
C gi + C g(t) + qńǒp R2Ǔ , . . . . . . . . . . . . . . . . . . . . . . . . . . (20)
n
flowing pressure
b + (2n * 1)ń2n . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (17)
then q(t)ńq i + ƪp R (t)ńp Riƫ . . . . . . . . . . . . . . . . . . . . . . . . . . (21)
2n
which is identical to Eq. 23. A similar approach was used for the nisms from the least efficient, totally undersaturated reservoir with
single-phase liquid and solution-gas-drive decline equations with a b+0, to a much more efficient gravity drainage or waterdrive re-
similar results. covery mechanism with a b+0.5. Different drive mechanisms and
Because both the rate/time and rate/cumulative equations are derived typical recoveries are also depicted in between.
using the same backpressure and material-balance equations, both Also shown on this figure is a corresponding rate/time decline
methods of analyzing production data should get identical results. type curve consisting of a transient period followed by depletion
stems ranging from b+0 to 0.5. Note that as b increases, the percent
Recovery or Drive Mechanisms and b. In many instances, rate/ recovery increases. (These same recovery values are also depicted
time data existing in the depletion period is of such poor quality or on the Cole pressure-% recovery plot.) With the transient or infi-
limited extent that a unique value of b cannot be determined. Re- nite-acting production period fixed, it requires a larger value of b,
liance on a statistical analysis, void of reservoir engineering con- or better recovery efficiency mechanism, to get a larger area under
cepts, to determine the decline exponent often leads to unrealistic or the rate/time curve to achieve higher fraction recoveries. Before the
illogical values of b and unreliable or indefensible forecasts and re- outermost boundary is encountered, the transient period would be
serves estimates. the same regardless of what later drive mechanism is established
From basic reservoir engineering principles, several of the ex- once a depletion process begins.
pected values of b have been derived for different reservoir drive or
recovery mechanisms. These values should be used when produc- Relationship Between Backpressure Curve Exponent n and De-
tion data is poor, insufficient, or totally lacking. They can also be cline-Curve Exponent b. Because gas and oil are sold at the well-
used to support or confirm clearly defined values of b determined head, we must consider the affect that the tubing string has on pro-
from good quality production data. duction for flowing gas and oil wells. It is the exponent, n, of the
Following is a tabulation of the values of b that should be ex- wellhead backpressure curve that affects the decline exponent, b.
pected for homogeneous single-layer or layered crossflow systems Examination of field performance backpressure curves7 indicates
(see Fig. 3). The range of the expected b values for these systems is that low-permeability gas wells yield bottomhole backpressure
from 0 to 0.5. curves with n values more nearly approaching 1.0 while high-
b+undeterminable. Constant-rate or increasing-rate production permeability gas wells yield n values approaching 0.5.
period. Flow rates are all in the transient or infinite-acting period The Forchheimer form of the backpressure equation is
with no supplemental engineering or geological information.
b+0, exponential. Single-phase liquid (highly undersaturated p 2R * p 2wf + Aq ) Bq 2, . . . . . . . . . . . . . . . . . . . . . . . . . . (27)
oil wells). High-pressure gas. Low-pressure gas with wellhead
backpressure curve exponent n[0.5 (tubing limited wells, both gas where A is a laminar flow pressure drop term and B is a turbulent
and oil flowing wells). Depletion or solution-gas-drive with unfa- flow pressure drop term. When kh is large, the Aq term becomes
vorable kg /ko . Poor waterflood performance.Wells with a high back- small and we have
pressure, pwf /pR³1. Gas wells undergoing liquid loading. Gravity
drainage with no free surface (derived value). q [ ǒ1ń ǸBǓ (p 2R * p 2wf ) 0.5. . . . . . . . . . . . . . . . . . . . . . . . (28)
b+0.3.Typical for solution-gas-drive (a derived value).
b+0.4 to 0.5.Typical for gas wells (derived values). b+0.5 for Similarly, when kh is small Aq becomes large with the Bq2 term
pwf [0; b+0.4 for pwf +0.1 pRi . becoming negligible when compared with the laminar pressure drop
b = 0.5. Gravity drainage with a free surface (derived value). Full term. We would then have
waterdrive in oil reservoirs (field data observations).
An unpublished study conducted several years ago on West Texas q [ ǒ1ńAǓ(p 2R * p 2wf ) 1.0 . . . . . . . . . . . . . . . . . . . . . . . . . . (29)
fields being waterflooded found values of b ranging from exponen-
Expressing the flow equation at a surface or wellhead datum and in-
tial, b+0, to b+0.9 or nearly harmonic. The decline exponent, b,
cluding a pressure drop term for the tubing or flow string, we have
was essentially the same for different leases within a given “field”
but different fields had different values of b. p 2c * p 2t + ǒA WHǓq ) (B WH ) T WH) q 2, . . . . . . . . . . . . . (30)
Fig. 2 is an attempt to illustrate the concept that b is a reflection
of recovery efficiency or drive mechanism. The pressure-percent re- where TWH represents a friction pressure drop term for flow through
covery figure, after Cole,12 depicts typical values of percentage re- the tubing and is indistinguishable from the reservoir turbulent pres-
coveries (recovery efficiency) for various reservoir drive mecha- sure drop component (BWH ) at the surface datum. Eq. 30 is more
useful for performance monitoring when expressed as the wellhead CTWH that reproduces the actual results obtained (i.e., a 50% in-
backpressure curve crease in production).
When a well is tubing limited, n³0.5, it should be recognized that
q [ C WH (p 2c * p 2t ) n , . . . . . . . . . . . . . . . . . . . . . . . . . . . (31) a significant deterioration in the bottomhole performance curve will
not be reflected in any change in the wellhead backpressure perfor-
where the range of n is between 0.5 and 1.
mance curve. Conversely, any improvement in the bottomhole per-
It should be recognized that a storm choke, flowline, and other sur-
formance curve, such as a stimulation or restimulation, will not re-
face equipment can be included in Eqs. 30 and 31, even further driv- sult in any increase in surface production; i.e., there will be no
ing the value of n to 0.5 in high-capacity flowing gas and oil wells. change in the wellhead deliverability curve and no increase in pro-
Note that as a limiting condition in Eq. 30 if TWH is large compared duction. Clearly, one will not be able to calculate reservoir variables
with AWH and BWH , a very large bottomhole deliverability well with from rate/time analysis on tubing limited gas or oil wells since most
a relatively small diameter tubing string, Eq. 30 reduces to of the pressure drop in the well is tubing friction pressure drop.
q [ C TWH (p 2c * p 2t ) 0.5 . . . . . . . . . . . . . . . . . . . . . . . . . . . (32)
Backpressure Effects on b. The level of backpressure, pwf , does not
When the exponent (n) of the wellhead backpressure curve ap- affect b for single-phase liquid flow, it’s always exponential—i.e.,
proaches 0.5, the well is considered to be “tubing limited” and will b+0. The effect of backpressure on a gas well is demonstrated for
always exhibit exponential rate/time decline. Once tubing limited a backpressure curve exponent n+1 in Fig. 9 given in Ref. 3. Back-
“always tubing limited”—the backpressure performance curve pressure is expressed as a ratio of pwf / pRi where pwf is the constant
does not shift to the right as reservoir pressure, pR declines. The pressure against which the rate declines with time and can also be
wellhead backpressure curve based on 25)years of performance considered as an abandonment pressure, pwfa . The rate/time type
data presented in Fig. 4 has an exponent n+0.55. The effect of a tub- curve for a backpressure ratio, pwf / pRi +0 has a decline exponent b
ing changeout, 27/8 to 3½ in., is shown both on the backpressure value of 0.5 and would yield a recovery factor [1*pwf / pRi ] of
curve and the semilog production plot. A 50% increase in produc- 100%. At a backpressure ratio of pwf / pRi +0.9, where pwf³ pRi the
rate/time type curve exhibits exponential decline, b+0, and would
tion was achieved by simply increasing the tubing diameter. Yet the
yield a recovery factor [1*pwf / pRi ] of only 10%. Backpressure ra-
well is still “tubing limited”. (Well depth and casing programs often
tios shown on the figure yielding 20% and 50% recoveries will not
dictate a maximum tubing size.) Note that the log-log production
trace any of the Arps type curve stems over its entirety—they cut
plot initialized after the tubing changeout to a larger diameter fits a across several of the b stems. From a practical standpoint, no opera-
decline exponent, b = 0.1, stem of the type curve. The decline expo- tor would produce a well that is on decline at such high backpressure
nent is exactly what would be predicted by using Eq. 17 and simply to abandonment. A more realistic ultimate backpressure ratio limit,
knowing that the backpressure curve exponent is 0.55. pwf / pRi , for volumetric gas wells in particular, would be 0.1. This
This example illustrates that the wellhead deliverability curve would yield a maximum recovery factor of 90% and result in a de-
and exponent n could, in some instances, be totally described by the cline exponent b+0.4. The b value of 0.4 should be considered as
pressure drop through the tubing string. We could use Eq. 32 to es- a good limiting value for gas wells when not clearly defined by actu-
tablish for a given tubing size a maximum position for a wellhead al production data.
curve, its wellhead potential qimax or qi , exponent n[0.5 and it will
exhibit exponential decline, b+0. For any other diameter flow Some Basic Concepts. Fig. 1 depicts in a graphical form the
string, one need only ratio (D2.612new/D2.612present) CTWH to (pR *pwf ), pseudosteady-state rate equation, and the pR *Np , mate-
draw in its new wellhead deliverability curve. Using 3.476 and rial-balance equation, from which the exponential decline equation
2.992 in. ID for the tubing sizes in Fig. 4, we get a curve shift 1.5 was derived. The drawdown backpressure curve is also a depletion
qi T qi 1 qi 2
Liquid : q total + + )
NJ1 ) b ƪ1ńǒ1 * b Ǔƫǒq Ǔ tNj
1ńb T
ǒqi 1ńNpuo1Ǔt ǒqi 2ńNpuo2Ǔt
i TńN puoT
T T
e e
curve in that all flow rates q(t), including qi , will trace down the is of considerable significance in long-term forecasting and reserve
curve as the reservoir pressure, pR , declines as a result of production. estimates. If crossflow exists in a layered reservoir, adjacent layers
The backpressure curve is fixed, Jo is constant, for all stages of pres- can simply be combined into a single equivalent layer using the av-
sure depletion providing there are no skin changes or the drainage erage reservoir properties of the crossflowing layers. It will then
radius, re , does not change. In equation form, the pseudosteady-state perform as an equivalent homogeneous single-layer system. For a
backpressure equation is homogeneous single-layer system, the maximum value of b is 0.5.
kh ( p R(t) * p wf) Decline-curve exponents, b, ranging between 0.5 and 1 are a pre-
q(t) + , . . . . . . . . . . . . . . . . (33) dicted response for layered, no-crossflow reservoirs10 and can
141.2 mB ƪln ǒr eńr wǓ * 34 ) sƫ therefore be used to identify them. We have found that layered,
no-crossflow reservoirs have the greatest potential for increasing
or in its simplest form current production and recoverable reserves.
q(t) + J o ƪp R(t) * p wfƫ 1.0. . . . . . . . . . . . . . . . . . . . . . . . . . . (34)
Low-permeability, stimulated wells’ production performance
can appear similar to layered, no-crossflow reservoir responses on
For a total field or lease backpressure curve, we would have a semilog production curve. However, a log-log type curve plot can
be used to distinguish between the two. Further confirmation of
q T (t) + WJ o avg( p R * p wf), . . . . . . . . . . . . . . . . . . . . . . . . (35) no-crossflow can be made by measuring layer pressures and having
some idea of the well’s permeability level.
where W is the total number of wells and Joavg represents our aver-
For two or more layers producing against a common flowing
age well PI. Or we could sum the individual wells to obtain a total
pressure, pwf , the commingled production rate, qT, is simply the sum
field or lease composite backpressure curve.
of separate producing rates or forecasts from each of the individual