Fast History Matching and Optimization Using a Novel Physics-Based Data-Driven Model: An Application to a Diatomite Reservoir

Full-physics models in history matching (HM) and optimization can be computationally expensive because these problems usually require hundreds of simulations or more. In a previous study, a physics-based data-driven network model was implemented with a commercial simulator that served as a surrogate without the need to build a 3D geological model. In this paper, the network model is reconstructed to account for complex reservoir conditions of mature fields and successfully apply it to a diatomite reservoir in the San Joaquin Valley, California, for rapid HM and optimization. The reservoir is simplified into a network of 1D connections between well perforations. These connections are discretized into gridblocks, and the grid properties are calibrated to historical production data. Elevation change, saturation distribution, capillary pressure, and relative permeability are accounted for to best represent the mature field conditions. To simulate this physics-based network model through a commercial simulator, an equivalent Cartesian model is designed where rows correspond to the previously mentioned connections. Thereafter, the HM can be performed with the ensemble smoother with multiple data assimilation (ESMDA) algorithm under a sequential iterative process. A representative model after HM is then used for well control optimization. The network model methodology has been successfully applied to the waterflood optimization for a 56-well sector model of a diatomite reservoir in the San Joaquin Valley. HM results show that the network model matches with field level production history and gives reasonable matches for most of the wells, including pressure and volumetric data. The calibrated posterior ensemble of HM yields a satisfactory production prediction that is verified by the remaining historical data. For well control optimization, the P50 model is selected to maximize the net present value (NPV) in 5 years under provided well/field constraints. This confirms that the calibrated network model is accurate enough for production forecasts and optimization. The use of a commercial simulator in the network model provided flexibility to account for complex physics, such as elevation difference between wells, saturation nonequilibrium, and strong capillary pressure. Unlike the traditional big-loop workflow that relies on a detailed characterization of geological models, the proposed network model only requires production data and can be built and updated rapidly. The model also runs much faster (tens of seconds) than a full-physics model because of the use of much fewer gridblocks. To our knowledge, this is the first time this physics-based data-driven network model is applied with a commercial simulator on a field waterflood case. Unlike approaches developed with analytic solutions, the use of a commercial simulator makes it feasible to be further extended for complex processes (e.g., thermal or compositional flow). It serves as a useful surrogate model for both fast and reliable decision-making in reservoir management.