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Applying Reservoir Simulation and Artificial Intelligence Algorithms to Optimize Fracture Characterization and CO2 Enhanced Oil Recovery in Unconventional Reservoirs: A Case Study in the Wolfcamp Formation

Reservoir simulation for unconventional reservoirs requires proper history matching (HM) to quantify the uncertainties of fracture properties and proper modeling methods to address complex fracture geometry. An integrated method, namely embedded discrete fracture model–artificial intelligence–automatic HM (EDFM–AI–AHM), was used to automatically generate HM solutions for a multistage hydraulic fracturing well in the Wolfcamp Formation. Thirteen scenarios with different combinations of matrix and fracture parameters as variables or fixed inputs were designed to generate 1300 reservoir simulations via EDFM–AI–AHM, from which 358 HM solutions were retained to reproduce production history and quantify the uncertainties of matrix and hydraulic fracture properties. The best HM solution was used for production forecasting and carbon dioxide (CO2)-enhanced oil recovery (EOR) strategy optimization. The results of the production forecast for primary recovery indicated that the drainage area for oil production was difficult to extend further into the low-permeability reservoir matrix. However, CO2 EOR simulations showed that increasing the gas injection rate during the injection cycle promoted incremental oil production from the reservoir matrix, regardless of minimum miscibility pressure. A gas injection rate of 25 million standard cubic feet per day (MMscfd) resulted in a 14% incremental oil production improvement compared to the baseline scenario with no EOR. This paper demonstrates the utility of coupling reservoir simulation with artificial intelligence algorithms to generate ensembles of simulation cases that provide insights into the relationships between fracture network properties and production.