Optimizing Well Performance Through Strategic Well Candidate Selection

In the oil and gas industry, the strategic selection of well candidates for interventions such as restimulation or wellbore cleanout is crucial for maximizing production efficiency and minimizing operational costs. This process involves a thorough analysis of various factors that determine a well's suitability for further investment. In this post, we’ll delve into the key criteria for well candidate selection and how they can be effectively applied to optimize well performance.

Key Criteria for Selecting Well Candidates

Historical Production Data Analysis

  • Decline Curve Analysis (DCA): By analyzing the production decline curves, operators can identify wells that exhibit a significant drop in output over time. Decline curve analysis helps predict future production performance and estimate the remaining recoverable reserves. Wells that show a sharp decline but have a sufficient volume of recoverable hydrocarbons may be good candidates for restimulation or enhanced recovery operations.

  • Production History: Historical data on production rates, fluid composition, and pressure trends provide critical insights into the well's past performance. This information can be used to forecast the potential success of intervention techniques. For example, a well that has shown stable production followed by a recent decline may respond well to a targeted intervention designed to address specific issues like wellbore obstructions or reservoir pressure depletion.

Reservoir Characteristics

  • Permeability and Porosity: These are essential reservoir properties that determine the ease with which fluids can flow through the rock. Wells situated in reservoirs with high permeability and porosity are often better candidates for restimulation because they are more likely to respond favorably to increased pressure and fluid injection.

  • Pressure and Temperature Conditions: Understanding the pressure and temperature conditions of the reservoir is crucial for selecting the appropriate intervention strategy. Wells with lower pressure may require stimulation techniques that enhance fluid mobility, such as hydraulic fracturing or acidizing. Conversely, wells in high-temperature reservoirs might benefit from thermal recovery methods.

  • Reservoir Heterogeneity: The presence of varying rock types and fluid properties within a reservoir can impact the effectiveness of interventions. A detailed geological model that captures this heterogeneity is necessary to predict how different sections of the reservoir will respond to stimulation. 

Wellbore Integrity and Condition

  • Structural Soundness: The physical condition of the wellbore is a critical factor in candidate selection. Wells that have experienced significant corrosion, scaling, or mechanical damage may be less suitable for certain types of interventions. For example, a well with severe corrosion may not withstand the pressures associated with hydraulic fracturing.

  • Obstructions and Debris: The presence of obstructions like asphaltenes, scale, or debris within the wellbore can restrict fluid flow and reduce productivity. Wells that suffer from these issues might be ideal candidates for cleanout operations using coiled tubing, chemical treatments, or mechanical tools designed to remove blockages and restore flow. 

  • Casing and Cement Integrity: Ensuring the integrity of the well's casing and cement is vital for preventing fluid migration between zones and ensuring the success of wellbore interventions. Wells with compromised casing or cement may require remediation before any further stimulation efforts can be applied.

Economic Viability

  • Cost-Benefit Analysis: A detailed economic analysis is essential to determine whether the potential increase in production justifies the cost of intervention. This analysis should consider factors such as the cost of the intervention, the expected increase in production, and the current and projected prices of oil and gas.

  • Return on Investment (ROI): Wells that promise a higher ROI based on the intervention cost and the expected incremental production are typically prioritized. Operators should also consider the payback period, or the time required to recover the initial investment, as shorter payback periods reduce financial risk.

  • Operational Costs and Risks: Besides the direct costs of intervention, operators must consider the potential risks and additional operational costs, such as increased energy consumption or equipment wear and tear. Wells that pose higher operational risks may require more robust and costly intervention strategies, which could impact their economic viability. 

Solutions for Candidate Selection

Modern technological platforms, like the EXCITE™ technology platform, play a pivotal role in streamlining the candidate selection process. These platforms integrate geological, completion, and production data to create a comprehensive model of the well and reservoir conditions. By using advanced data analytics techniques, these tools can predict the outcomes of various intervention strategies, helping operators make informed decisions about which wells to target.

Case Study: Data-Driven Well Selection Using the EXCITE™ Platform

The EXCITE™ platform was successfully employed to identify a well with significant potential for enhanced recovery. By analyzing the well's production history, reservoir characteristics, and wellbore condition, the platform recommended a targeted restimulation treatment. The intervention resulted in a marked improvement in production rates, demonstrating the value of strategic well candidate selection supported by cutting-edge technology. 

Well candidate selection is a complex but critical process in the oil and gas industry. By considering factors such as historical production data, reservoir characteristics, wellbore integrity, and economic viability, operators can make informed decisions that optimize well performance and maximize returns on investment. Leveraging advanced technological tools further enhances the accuracy and efficiency of this process, ensuring that only the most promising wells are selected for intervention.

Previous
Previous

Fracture Driven Interference (FDI): Challenges and Solutions in Focused Restimulation

Next
Next

How Focused ReStim Saved a Permian Basin Operator $2.5 Million