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DEVELOPMENTS IN PETROLEUM
SCIENCE 75

An Introduction to Multiphase,
Multicomponent Reservoir Simulation
This page intentionally left blank
DEVELOPMENTS IN PETROLEUM
SCIENCE 75

An Introduction to
Multiphase,
Multicomponent
Reservoir Simulation

Matthew Balhoff
Director, Center for Subsurface Energy and the Environment;
Professor, Hildebrand Department of Petroleum and Geosystems
Engineering, The University of Texas, Austin, TX, United States;
Bank of America Professorship in Petroleum Engineering
Elsevier
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 Dedication

To my wife, Julie, and Thomas

This page intentionally left blank
Contents
Preface xiii
Acknowledgments xvii
Nomenclature xix

1. Review of reservoir rock and fluid properties

1.1 Introduction 1
1.2 Overview of reservoir engineering principles 1
1.3 Definitions 2
1.3.1 Phases and components in subsurface porous media 2
1.3.2 Porosity, saturation, density, and concentrations 3
1.4 Phase behavior 4
1.5 Rock and Fluid Properties 6
1.5.1 Formation properties 6
1.5.2 Gaseous phase properties 7
1.5.3 Oleic phase properties 9
1.5.4 Aqueous phase properties 12
1.6 Petrophysical properties 14
1.6.1 Darcy’s law 14
1.6.2 Relative permeability 16
1.6.3 Capillary pressure 20
1.6.4 Capillary pressure scanning curves 22
1.7 Reservoir initialization 23
1.8 Pseudocode 28
1.8.1 Relative permeability 29
1.8.2 Capillary pressure 30
1.8.3 Initialization 30
1.8.4 Preprocess 30
1.9 Exercises 32
References 35

2. Phase mass balances and the diffusivity equation

2.1 Introduction 37
2.2 Phase mass balances 37
2.2.1 Mass balance of a phase in Cartesian coordinates 38
2.3 The continuity equation 40
2.4 The diffusivity equation 41
2.4.1 General multiphase flow 41
2.4.2 Single-phase flow 42

vii
viii Contents

2.5 Analytical solutions 48

2.5.1 1D heat equation in a finite medium 48
2.5.2 1D heat equation in a semi-infinite medium 50
2.5.3 Solution in cylindrical coordinates (around a
wellbore) 51
2.6 Exercises 54
References 55

3. Finite difference solutions to PDEs

3.1 Introduction 57
3.2 Taylor series and finite differences 57
3.2.1 First-order forward difference approximation 59
3.2.2 First-order backward difference approximation 60
3.2.3 Second-order, centered difference approximation 61
3.2.4 Approximations to the second derivative 61
3.2.5 Generalization to higher-order approximations 64
3.3 Discretization of the parabolic diffusivity (heat) equation 68
3.4 Boundary and initial conditions 70
3.4.1 Dirichlet boundary condition 71
3.4.2 Neumann boundary condition 71
3.4.3 Robin boundary conditions 72
3.5 Solution methods 72
3.5.1 Explicit solution to the diffusivity equation 72
3.5.2 Implicit solution to the diffusivity equation 76
3.5.3 Mixed methods and CrankeNicolson 77
3.5.4 Linear systems of equations 83
3.6 Stability and convergence 84
3.7 Higher-order approximations 85
3.8 Pseudocode for 1D, single-phase flow 88
3.9 Exercises 89
References 91

4. Multidimensional reservoir domains, the control

volume approach, and heterogeneities
4.1 Introduction 93
4.2 Gridding and block numbering in multidimensions 93
4.2.1 Grid block indexing in 2D and 3D 94
4.2.2 Grid dimensions 95
4.2.3 Irregular geometry and inactive grids 96
4.3 Single-phase flow in multidimensions and the control
volume approach 98
4.3.1 Accumulation 99
4.3.2 Flux terms 100
4.3.3 Sources and sinks (wells) 101
4.3.4 Single-phase flow 101
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 Contents ix

4.4 Wells, boundary conditions, and initial conditions 102

4.4.1 Constant rate wells 102
4.4.2 Neumann boundary conditions 102
4.4.3 Dirichlet conditions 103
4.4.4 Corner blocks 104
4.4.5 Initial conditions 107
4.5 Reservoir heterogeneities 107
4.5.1 Fluid properties 109
4.5.2 Geometric properties 109
4.5.3 Accumulation terms 113
4.6 Matrix arrays 113
4.6.1 Accumulation and compressibility 113
4.6.2 Transmissibility 114
4.6.3 Source terms 114
4.6.4 Gravity 115
4.7 Pseudocode for single-phase flow in multidimensions 120
4.7.1 Preprocessing 120
4.7.2 Interblock transmissibility 120
4.7.3 Well Arrays 121
4.7.4 Grid Arrays 121
4.7.5 Main code 121
4.7.6 Postprocessing 122
4.8 Exercises 124
References 126

5. Radial flow, wells, and well models

5.1 Introduction 127
5.2 Radial flow equations and analytical solutions 127
5.3 Numerical solutions to the radial diffusivity equation 129
5.3.1 Gridding 129
5.3.2 Discretization 130
5.4 Wells and well models in Cartesian grids 135
5.4.1 Well constraints 135
5.4.2 Steady-state radial flow around a well 136
5.4.3 Mass balance on the well-residing grid block 137
5.4.4 Extension to horizontal wells and anisotropy 139
5.5 Inclusion of the well model into the matrix equations 142
5.6 Practical considerations 147
5.7 Pseudocode for single-phase flow with constant BHP wells 147
5.8 Exercises 148
References 150
x Contents

6. Nonlinearities in single-phase flow through subsurface

porous media
6.1 Introduction 151
6.2 Examples of nonlinearities in single-phase flow problems 151
6.2.1 Gas flow 152
6.2.2 Non-Newtonian flow 153
6.2.3 Forchheimer flow 155
6.3 Numerical methods for nonlinear problems 156
6.3.1 Explicit update of fluid and reservoir properties 157
6.3.2 Picard iteration 157
6.3.3 Newton’s method 161
6.4 Pseudocode for Newton’s method 169
6.5 Exercises 171
References 172

7. Component transport in porous media

7.1 Introduction 175
7.2 Transport mechanisms 175
7.2.1 Advection 175
7.2.2 Hydrodynamic dispersion 176
7.2.3 Reactive transport and other source terms 182
7.3 Component mass balance equations 183
7.3.1 Single-phase flow 184
7.3.2 Overall compositional equations 184
7.4 Analytical solutions 186
7.4.1 1D Cartesian ADE in a semi-infinite domain 186
7.4.2 Semianalytical solution to two-phase flow 189
7.5 Exercises 198
References 199

8. Numerical solution to single-phase component

transport
8.1 Introduction 201
8.2 Finite difference solution to the ADE in 1D for a single
component 201
8.3 Discretization of advective terms 204
8.3.1 Cell-centered 204
8.3.2 Upwinding 205
8.3.3 Matrices 205
8.4 Wells and boundary conditions 206
8.4.1 Wells 206
8.4.2 No flux boundary condition 207
 Contents xi

8.4.3 Constant concentration (Dirichlet) 211

8.5 Solution methods 212
8.5.1 Implicit pressure, explicit concentration (IMPEC) 212
8.5.2 Implicit pressure, implicit concentration 214
8.5.3 Fully implicit 218
8.6 Stability 219
8.7 Numerical dispersion 221
8.8 Channeling and viscous fingering 224
8.9 Multicomponents, multidimensions, and additional forms 225
8.10 Pseudocode for component transport 226
8.11 Exercises 229
References 230

9. Numerical solution to the black oil model

9.1 Introduction 231
9.2 The black oil model 231
9.3 Finite difference equations for multiphase flow 233
9.4 Solution methods 237
9.4.1 Implicit pressure, explicit saturation 237
9.4.2 Simultaneous solution method 243
9.4.3 Fully implicit method 247
9.5 Interblock transmissibilities and upwinding 249
9.6 Stability 256
9.7 Wells and well models 256
9.7.1 Constant rate injector wells 258
9.7.2 Constant rate producer wells 259
9.7.3 Constant BHP injector wells 261
9.7.4 Constant BHP producer wells 261
9.7.5 Time-dependent well constraints 261
9.8 Pseudocode for multiphase flow 272
9.8.1 Preprocessing 272
9.8.2 Block properties 273
9.8.3 Interblock properties 273
9.8.4 Well productivity index 273
9.8.5 Well arrays 273
9.8.6 Grid arrays 274
9.8.7 Main code 274
9.8.8 Postprocessing 274
9.9 Exercises 279
References 282

10. Numerical solution to multiphase, multicomponent

transport
10.1 Introduction 283
10.2 Compositional equations for multiphase flow 284
10.3 Finite difference equations 286
xii Contents

10.4 Solution method 287

10.4.1 Flash calculations 287
10.4.2 Equations of state 291
10.4.3 Phase saturation 298
10.4.4 Two-phase compressibility 299
10.4.5 Phase viscosity 301
10.4.6 Relative permeability and transmissibility 304
10.4.7 Wells and source terms 306
10.4.8 Pressure and composition solution 308
10.5 Oleiceaqueous bipartitioning components 311
10.6 Pseudocode for multiphase, multicomponent transport 313
10.7 Exercises 315
References 317

Index 319
Preface

The flow of fluids in subsurface porous media is important in many applica-

tions including the production of hydrocarbons, carbon storage, hydrogen
storage, aquifer remediation, and production of geothermal energy. Accurate
modeling of these processes is of critical importance for predictions and
decision-making. For example, in hydrocarbon production, models can be used
to make business decisions, such as: (1) Should a field be bought or sold? (2)
Where, when, how many, and what type of wells should be drilled? (3) What
should be the constraint (well rate or bottomhole pressure) of the wells? (4) If,
when, and what type of secondary (and tertiary) recovery should be pursued?
(5) When should a well be shut-in or converted to an injector and what fluids
should be injected?
Modeling of subsurface phenomena is challenging for many reasons. The
subsurface reservoir is thousands of feet below the surface and can be massive
(thousands of acres in area, or in the case in the Ghawar oil field, over a
million acres). Our understanding of a reservoir’s size, lithology, permeability,
porosity, fluid properties, etc., is an estimate. Reservoirs are generally very
heterogeneous in their permeability, porosity, saturation, lithology, etc., and
can change significantly over small or large length scales. Predictions may be
required for years or decades into the future, or even millennia in the case of
carbon storage.
Subsurface models vary in complexity and can be as simple as analytical or
reduced-order models such as tank balances and the capacitance resistance
model (Sayarpour et al., 2009). Such models are simplifications but often
provide very valuable information and can even be predictive. The funda-
mental equations that describe flow and transport in subsurface media are
multidimensional, multicomponent, multiphase, nonlinear, coupled partial
differential equations (PDEs) with spatially heterogeneous and time-dependent
properties. These equations, without major simplification and assumptions, are
not amenable to analytical solution. Numerical reservoir simulators are the
most advanced tools we have to solve these PDEs and predict flow and
transport in subsurface porous media. These simulators are the closest thing
we have to a crystal ball.
There are many types of reservoir simulators, with varying complexity and
features, but generally they involve discretizing the reservoir into N grids,
blocks, or elements. One can think of a reservoir simulator as a giant Rubik’s

xiii
xiv Preface

Cube, with each block in the cube being a grid in the model. The simulator can
have thousands, millions, or even billions of grids and each grid has unique,
constant (or simple function) properties, such as permeability, porosity, satu-
ration, composition, pressure, etc. Balance (mass, energy, momentum) equa-
tions that are imposed are on each block which are dependent on adjacent
block properties. As a result, the complicated PDEs reduce to a system of N
algebraic equations and N unknowns.
Many commercial (e.g., CMG, ECLIPSE, INTERSECT, Nexus), academic,
or open source (BOAST, MRST, UTCHEM, UTCOMP, IPARS, TOUGH) and
proprietary, in-house simulators have been developed by teams of experts over
decades. These simulators vary in their applicability but are based on the same
basic fundamentals. These simulators are often relatively easy for the beginner to
use, which can be as much of a problem as it is a feature. Failure to understand the
principles and basic equations of numerical simulation (what is under the hood)
can lead one to not recognize the model’s limitations and lead to costly or even
unsafe decisions. The mathematics are complicated and can be daunting for even
PhD scientists and engineers. Many outstanding books have been written on the
subject; Aziz and Settari (1979), Ertekin et al. (2001), Chen (2007), Lie (2019),
and Abou-Kassem et al. (2020) are just a few of my favorites. Many of these
books are best suited for advanced graduate students or professionals with some
experience in simulation.
I have taught the fundamentals of reservoir simulation for 15 years to over a
thousand undergraduates and first-year graduate students. Breaking down the
complexities of simulation to students new to the subject is challenging, to put it
mildly. In this book, I have attempted to organize my notes, teaching style, and
“lessons learned” in a concise text for the beginner. Many advanced and modern
topics are intentionally not included, but the interested reader should read the
dozens of advanced books and thousands of publications that cover them.
This book includes two important features. The first is the inclusion of
dozens of small (e.g., 4e9 block) example problems that are solved by hand
and calculator, largely without the use of a computer. To quote Albert Einstein,
“example isn’t another way to teach; it is the only way to teach.” I have found
these examples essential for the beginner to understand the basics of reservoir
simulation. In addition to example problems, each chapter includes additional
exercises for the reader to attempt.
The second feature of the book is the emphasis on writing computer code
with the end-goal of the reader developing their own multiphase, multidi-
mensional, and multicomponent reservoir simulator. The final product will be
a simulator that will produce identical (or nearly identical) results as the
aforementioned commercial, academic, and in-house simulators. The user’s
code can be and should be validated against these simulators, analytical so-
lutions, or the small example problems provided in the text. The book is
organized in such a way that the code starts relatively simple (1D, single
phase, homogeneous) and complexities (multidimensions, heterogeneities,
 Preface xv

multiphase, etc.) are added along the way. Pseudocode is provided in each
chapter, with some explanation and discussion, to help the user develop their
own code. The most computationally efficient, vectorized, or elegant pseu-
docodes are not always provided. In fact, this is often intentional, as some-
times the less elegant codes are better for understanding the logic and
mathematics. The developer of the simulator is encouraged to optimize their
code once they have a working code that they understand.
The simulator developer is encouraged to be patient and avoid frustration
as best as possible. I have written hundreds of subroutines and codes for my
reservoir simulation courses over the years and can say with confidence that
every one of them had errors and bugs in the initial version. These errors have
taken anywhere from minutes to days (or even weeks) to debug. However,
every single time I have fixed an error, I have come away with a better un-
derstanding of reservoir simulation and reservoir engineering in general. When
the developer obtains results that are nonphysical or disagree with analytical
solutions, example problems, or commercial simulators, they should ask what
physically or mathematically could cause such a discrepancy. In my experi-
ence, 99% of the coding errors are in the formation of the few matrices and
vectors that are used to solve the problem. The error(s) can almost always be
identified by comparison to the matrices/vectors created by hand in the ex-
amples with a small number of grids.
Your final reservoir simulator (albeit accurate and flexible) will probably
not be as computationally efficient, scalable, user-friendly, or have nearly as
many features as a commercial simulator. However, you will develop an
excellent understanding of the details and limitations of these simulators. And,
just maybe, you will join a team or have a career developing the next-
generation commercial, in-house, or academic simulator.

References
Abou-Kassem, Hussein, J., Rafiqul Islam, M., Farouq-Ali, S.M., 2020. Petroleum Reservoir
Simulation: The Engineering Approach. Elsevier.
Aziz, K., Settari, A., 1979. Petroleum Reservoir Simulation. 1979. Applied Science Publ. Ltd.,
London, UK.
Chen, Z., 2007. Reservoir simulation: mathematical techniques in oil recovery. Society for In-
dustrial and Applied Mathematics.
Ertekin, T., Abou-Kassem, J.H., King, G.R., 2001. Basic Applied Reservoir Simulation, 7. Society
of Petroleum Engineers, Richardson.
Lie, K.-A., 2019. An introduction to reservoir simulation using MATLAB/GNU Octave: User
guide for the MATLAB Reservoir Simulation Toolbox (MRST). Cambridge University Press.
Sayarpour, M., Zuluaga, E., Shah Kabir, C., Lake, L.W., 2009. The use of capacitanceeresistance
models for rapid estimation of water flood performance and optimization. Journal of Petro-
leum Science and Engineering 69 (3e4), 227e238.
This page intentionally left blank
Acknowledgments

First and foremost, I would like to thank the many current and former, grad-
uate and undergraduate, students who helped in the development of this book.
Although impossible to list them all, I would like to specifically recognize
Nkem Egboga, Yashar Mehmani, Hamza Salim Al Rawahi, Travis Salomaki,
Moises Velasco, Jianping Xu, and Sarah Razmara. I would like to thank Mary
Wheeler for introducing me to the subject matter of reservoir simulation and
the many colleagues for which I have had discussions including Larry Lake,
Kamy Sepehrnoori, Gary Pope, Russ Johns, David DiCarlo, and Cheng Chen. I
also acknowledge Cooper Link, Joanna Castillo, and Jostine Ho for helping
with the many illustrations. I would like to thank my father, who taught me to
be an engineer and helped me numerically solve the Diffusivity equation for
the first time, my mother, who taught me to persistent and dedicated, and my
sisters. Finally, this book would not be possible without the endless support
and love of my wife, Julie.

xvii
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Nomenclature

a cross-sectional area, ft2; empirical coefficient for mechanical

dispersion
A accumulation term ( Vif/Dt), ft3/day; parameter for cubic EOS
A k’ parameter for fugacity coefficient of component k in cubic EOS
b empirical exponent for mechanical dispersion
B parameter for cubic EOS
Ba formation volume factor for phase a, RB/STB or ft3/scf
B k’ parameter for fugacity coefficient of component k in cubic EOS
ca compressibility of phase a, psi
1
cf formation compressibility, psi
1
cp pore compressibility, psi
1
cr rock matrix compressibility, psi
1
cB bulk compressibility, psi
1
ct total compressibility, psi
1
C constant for effective shear rate in porous media
for non-Newtonian flow
Ck concentration of component k, lbm/ft3
Cj,i coefficient for block i in IMPES method (j¼1,2,3)
dp grain diameter, ft
D depth, ft; hydrodynamic dispersion coefficient, ft2/day
D1 capillary diffusion coefficient, ft2/day
Dm molecular diffusion coefficient, ft2/day
Dm,eff effective diffusion coefficient in porous medium, ft2/day
DL longitudinal mechanical dispersion coefficient, ft2/day
Dr restricted diffusion coefficient (Dm,eff/Dm), ft2/day
DT transverse mechanical dispersion coefficient, ft2/day
f weighting factor for capillary pressure scanning curve
fa fractional flow of phase a
fk,a fugacity of component k of phase a, psia
F residual of grid balance equation, ft3/day; formation resistivity factor
g gravitational constant (32 ft/s2)
G Gravity vector, ft3/day
h reservoir thickness, ft
i grid block index
j grid block index, x-direction
Ja productivity index of phase a, ft3/psi-day
J total productivity index, ft3/psi-day

xix
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