68% Water Cut Reduction in six Heavy Oil Wells
$2,400,000 in cost savings was achieved within one year of installing AICVs. The application of AICVs lead to a dramatic reduction of water cut and also increased oil production.
A major oilfield in the Middle East has been on production for several years and has significant water control issues. The sandstone reservoir is a mature water-flood play and newly drilled wells typically start their production life with over 60% water cut and within the 6-8 months the water cut increases to 80-90%.
The operator had a heavy oil reservoir with production wells producing high water cut. The typical wells installed were a lower completion string consisting of stand alone screens with swell packers. This completion proved in-effective to manage the aggressive water ingress. The aggressive water could only be managed by choking the well at surface which meant the operator was stuck leaving significant oil in the reservoir.
$2,400,000 cost savings was achieved within the first year due to the AICVs enabling the operator to lower their average water cut reduction by 68%. In addition to these cost savings the operator was able to increase oil production by over 18% within the first year.
These OPEX savings were due to the water handling costs alone and the figures do not include the added value of increased oil production which the AICVs provided or the ability to recover the oil effectively from the reservoir.
Dozens of additional wells were procured for deployment after these positive economic results were experienced by the deployment of the AICVs in their wells.