Characterization of conventional

and unconventional petroleum 6

reservoirs

Introduction
Reservoir characterization aims at describing the reservoir in sufficient detail in order
to optimize well design and placement, completion, fracturing, fluid injection, and oil
production. The ultimate goal of reservoir characterization is to add value to the as-
sets, i.e., oil and gas reserves. The goal is achieved by understanding the uniqueness
of the reservoir and minimizing potential risks in reservoir development. Knowl-
edge acquired from reservoir characterization studies leads to more reliable reservoir
simulation models and prediction of performance. For large and complex reservoirs,
reservoir characterization holds the key to successful reservoir management.
This chapter discusses reservoir characterization efforts and answers the following
queries:
• What are the objectives of reservoir characterization?
• What type of reservoir studies lead to reservoir characterization?
• What is reservoir quality? What role does it play in reservoir development?
• How does reservoir characterization contribute to reservoir management?
• What information is sought based on reservoir characterization studies?
• What workflow can be implemented to conduct reservoir characterization and add value
to reservoir assets?

Objectives
The objectives of reservoir characterization include enhancement of reservoir perfor-
mance and add to ultimate recovery potential. Based on various reservoir character-
ization studies, engineers seek the following information, among others:
• Identification of structure, lithology, rock types, facies change, and other factors that con-
tribute to reservoir heterogeneity
• Distribution of porosity, permeability, fluid saturation, hydrocarbon pore volume, and fluid
contact throughout the reservoir; the data are used to build realistic reservoir models, quan-
tify reservoir quality, identify pay zones, design and drill wells, and optimize reservoir per-
formance. Upscaling of core data to reservoir scale is necessary
• Reservoir complexities such as the presence of faults, fractures, barriers, channels, and
change in rock facies that may affect reservoir performance
• Information leading to the optimization of well design, including the length, trajectory, and
number of laterals for horizontal wells
Reservoir Engineering. http://dx.doi.org/10.1016/B978-0-12-800219-3.00006-1
Copyright © 2016 Elsevier Inc. All rights reserved.
118 Reservoir Engineering

• Mechanical properties of tight reservoir rocks, including Young’s modulus, Poisson’s ratio, bulk
modulus, closure stress, and others that would optimize fracturing. Horizontal wells with multi-
stage fracturing are essential to produce economically from tight and unconventional reservoirs

Reservoir quality
One of the goals of reservoir characterization is the evaluation of reservoir quality.
In simple terms, reservoir quality indicates how much hydrocarbon is stored in the
formation and how easily it will produce. Porosity, permeability, fluid properties and
saturations, geological continuity, formation heterogeneities, number of flow units,
reservoir drive mechanisms, and pressure contribute to reservoir quality. Geological
aspects that influence reservoir quality are the target for reservoir characterization
studies. Poor reservoir quality often leads to engineering challenges, innovative solu-
tions, and higher investments.

Tools, techniques, and measurement scales

Most petroleum reservoirs are inherently heterogeneous and complex. Unconvention-
al reservoirs with ultralow permeability exhibit a high degree of heterogeneity in rock
properties. No single tool is adequate in characterizing a reservoir in high resolution.
Characterization of heterogeneous reservoirs requires the integration of large amounts
of data obtained by various tools and techniques at scales that range from over a ki-
lometer down to a nanometer. Besides scale, the resolution of the tools can be quite
different. Some of the tools used in characterizing the reservoir are listed in Table 6.1.

Workflow
All in all, reservoir characterization is an integral part of workflow related to reservoir
engineering and management (Figure 6.1). A workflow is outlined in the following:
• Develop earth model based on geology, geophysics, and geochemistry; involves mapping of
reservoir quality

Table 6.1  Reservoir characterization tools [1]

Reservoir characterization tool Reservoir scale
Seismic surveys Several meters to kilometers
Transient well tests Several meters to a kilometer or more
Studies of outcrops Less than a meter to hundreds of meters
Well logs Less than a meter to hundreds of meters
Core analysis About a millimeter to a meter or more
X-ray–CT scanner About a millimeter to several centimeters
Micro-CT scanner Few micrometers to about a centimeter
Scanning electron microscopy Several nanometers to less than a millimeter
Helium pycnometer About a nanometer to less than a millimeter
Characterization of conventional and unconventional petroleum reservoirs 119

• Develop a dynamic reservoir model based on rock and fluid properties; integrate log and
core data
• Review regional trends in characterizing the reservoir
• Design new wells; in case of horizontal wells, design the number of laterals, horizontal
length, and the trajectory of horizontal section
• Validate the reservoir models based on past production history
• Simulate the reservoir models to predict performance
• Continue validation of the reservoir models with new production data; update models as
necessary

Figure 6.1  Reservoir management based on reservoir characterization and reservoir

model validation.
120 Reservoir Engineering

However, reservoir characterization for the entire reservoir is resource intensive in

terms of time and effort. When the resources are limited, reservoir characterization
studies may focus on specific wells and localized areas.

Unconventional reservoirs
The workflow for developing unconventional reservoirs such as a shale gas reservoir
may require a focus on mechanical and geochemical properties of rock, identification
of sweet spots, and optimization of multistage fracturing of horizontal wells. Core Lab
[2] proposes a series of steps in characterizing and developing ultralow permeability
shale reservoirs, some of which are as follows (Figure 6.2):
• Geology: Study of depositional environment, facies, lithology, clay content, clay types, pore
structures, and presence of natural fractures on macro- and microscale, among others.
• Geochemistry: Total organic carbon (TOC), vitrinite reflectance, kerogen type and rock
evaluation pyrolysis.
• Petrophysical properties: Porosity, permeability, fluid saturations (oil, gas, and water),
hydrocarbon-filled porosity, and bound water saturation.
• Geomechanical properties: Young’s modulus, Poisson’s ratio, bulk modulus, and closure
stress; embedment characteristics of proppants to keep the fractures conductive are also
included.
• Fracture stimulation design: Rock–fluid compatibility and fracture conductivity of proppant.
• Petrophysical model: Core–log calibration of open hole logs leading to identification of
target zones for stimulation.
• Integrated studies: Integration of core and log data, fracture stimulation techniques, and
production test results.
• Regional trends: Review of available regional data in characterizing and developing the
unconventional reservoirs.

Reservoir characterization scenarios

Reservoir characterization is based on wide-ranging tools and techniques, and of-
ten requires an interdisciplinary approach to integrate all available data. For ex-
ample, characterization of the geologic layers in a conventional oil reservoir may
be based on log, core, and well testing studies as well as production history of the
field. Identifying the characteristics of a thin geologic interval having high perme-
ability streaks and high water saturation may determine whether a well should
be completed in that particular interval. In the event that the well is completed to
produce oil from the interval, reservoir characterization may address what design
considerations regarding well placement and completion would be necessary to
implement.
In another scenario, reservoir characterization, may involve identification of
“sweet spots” in an unconventional shale gas reservoir where a horizontal well can
be drilled followed by multistage fracturing of the tight formation. The sweet spots
are certain localized areas in a pervasive shale formation having favorable petro-
physical, mechanical, and geochemical properties. These spots are more likely to
produce economically.
Characterization of conventional and unconventional petroleum reservoirs 121

Figure 6.2  Characterization and development of unconventional shale reservoirs.

122 Reservoir Engineering

Case Study: Characterization of a Low Permeability Oil Reservoir in

Saskatchewan, Canada [3]
An integrated study involving petrophysical log and core data in a sandstone res-
ervoir was conducted with an objective to enhance the production potential from
the low permeability zones of a reservoir. The reservoir is located in southwestern
Saskatchewan, Canada. The Upper Shaunavon B reservoir consists of two facies
that are characterized by variations in permeability: one with a low permeability
in the range of 0.1–10 mD, the other with a high permeability in the range of
10–1000 mD. However, the latter is relatively thin with limited hydrocarbon vol-
ume. Recovery from the reservoir was estimated to be quite low (less than 4%).
The low permeability facies was considered to be part of the unconventional res-
ervoir for the purpose of economic production. Wells were historically targeted to
produce from the high permeability formation with associated production from
the low permeability bed. A number of horizontal wells have been drilled in the
reservoir and multistage fracturing techniques are utilized to enhance oil recovery.
The reservoir characterization study was based on data obtained from 177
wells, concentrating on the following:
• Identification of flow units
• Reservoir quality
• Connectivity between various layers
• Extent of the oil-saturated reservoir rock
• Pore volumes and production history

The reservoir was characterized by mapping and conducting volumetric analy-

sis. Porosity–thickness (Φh), permeability–thickness (kh), and production bubble
maps were prepared (Figure 6.3). Overlaying the bubble maps the Φh and kh maps
showed a strong correlation between pore volume and produced volume of oil.
Production data were also analyzed and compared from wells completed in both
facies or in one facies. The study identified the presence of six facies in the reser-
voir of which five are of reservoir quality, implying good porosity and permeabil-
ity that are producible economically. Large volumes of oil remain untapped due to
low permeability of rocks and reservoir heterogeneities, which can be recovered
by further implementing horizontal drilling and multistage fracturing techniques.

Case Study: Identification of “sweet spots” in Marcellus Shale [4]

With significant technological advances in the areas of horizontal drilling, com-
pletion and fracturing, the petroleum industry is witnessing rapid development
of low permeability conventional and unconventional reservoirs in the United
States and other countries. Notable among them are shale gas development and
production in commercial quantities. Since shale is of ultratight matrix perme-
ability (in microdarcies or less) and limited porosity (usually in single digits),
Characterization of conventional and unconventional petroleum reservoirs 123

Figure 6.3  Production bubble map; cumulative volumes of oil produced are shown as
bubbles. Larger bubbles represent higher production from wells.
Source: Taken from Ref. [3].

the initial production rate may not be satisfactory or may decline rapidly unless
the wells are located in “sweet spots.” These spots have good reservoir quality
and favorable fracturing characteristics that are amenable to economic recovery.
Rock properties including porosity and permeability, TOC, thermal maturity,
brittleness leading to good fracturing characteristics, along with formation thick-
ness, contribute to the producibility of shale.
Shale gas reservoirs are generally pervasive extending over a very large area.
For example, Marcellus shale in the Appalachian Basin extends several hundred
miles from New York to Virginia, and is estimated to contain about 500 trillion ft.3
of natural gas, sufficient to meet the demand of the United States for nearly two de-
cades. However, not all parts of the reservoir support economic production based
124 Reservoir Engineering

on the technology currently available. The Marcellus shale is composed of upper

and lower shale members with an intervening limestone layer. A study was con-
ducted to identify and map the sweet spots in Marcellus shale.
It is observed that a relatively high porosity of shale combined with high values
of TOC may qualify as the sweet spots in the pervasive formation. The reservoir
characterization study was based on the following:
• Well logs: Porosity and resistivity log data obtained from thousands of wells that pen-
etrated Marcellus formation
• Geochemical data: TOC data obtained from over 90 wells penetrating the Marcellus
formation
• Petrophysical data: Porosity of shale

Reservoir locations with better porosity and relatively high TOC were identified
to be likely candidates for sweet spots. Validation of results is obtained by evaluat-
ing the available data on gas production trends around the sweet spots.
The contour map of TOC in Marcellus shale is obtained by using the Passey
method [5]. The method correlates the TOC with resistivity logs as well as po-
rosity logs that are obtained from sonic, density, and neutron logs. A term ∆ log
R is computed that represents the separation between the deep resistivity curve
and the porosity curve. The larger the separation, the higher would be the TOC
of shale (Figure 6.4). The above data are used to generate the TOC contours for
Marcellus shale.
The calculated TOC contour values were compared against the actual TOC data
obtained from core samples as part of a quality assurance procedure. The study
indicated that a good match is obtained between the two values.

Figure 6.4  Identification of sweet spots in shale having favorable TOC.

Characterization of conventional and unconventional petroleum reservoirs 125

Summing up
Reservoir characterization, as the name suggests, aims at obtaining a detailed descrip-
tion or characteristics of a reservoir. The ultimate goal is to add value to reservoir assets
by identifying the rock heterogeneities, structural attributes, and flow units of a reservoir
that lead to better field development and management. Distribution of porosity, perme-
ability, fluid saturation, hydrocarbon pore volume, fluid contact, structural discontinui-
ties, and facies change are commonly sought parameters in reservoir characterization
studies. For unconventional reservoirs such as shale gas, geochemical composition of
rock as well as geomechanical characteristics are also important. Reservoir character-
ization studies require multidisciplinary efforts including, but not limited to, seismic,
geological, geochemical, petrophysical, and geomechanical studies. The wide-ranging
tools used in reservoir characterization differ in both scale and resolution. Data obtained
from field studies may range from over a kilometer down to a nanometer or less.
Reservoir characterization efforts are part of reservoir development and manage-
ment workflow where static earth and dynamic reservoir simulation models are built
and tested against production history of the reservoir. In order to obtain a satisfactory
match, iterations are performed to update the models with appropriate values. Once a
match is obtained, new wells are designed to optimize production following appropri-
ate economic analysis.
Studies for the characterization of unconventional shale reservoirs include, but are
not limited to:
• Depositional environment, facies, lithology, clay content, clay types, and pore structures
• Presence of natural fractures
• TOC, vitrinite reflectance, kerogen type
• Porosity, permeability, fluid saturations (oil, gas, and water), hydrocarbon-filled porosity,
and bound water saturation
• Young’s modulus, Poisson’s ratio, bulk modulus, and closure stress; embedment character-
istics of proppants
• Rock–fluid compatibility and fracture conductivity of proppant
• Core–log calibration, integration of core and log data, fracture stimulation techniques, and
production test results
• Regional trends in reservoir characteristics and production

Two case studies are presented highlighting the value of reservoir characterization
in enhancing reservoir performance as follows:
• Characterization of facies in a low permeability sandstone formation with a goal to enhance
productivity by drilling horizontal wells
• Identification of “sweet spots” in Marcellus shale based on integrated log and core studies

Questions and assignments

1. What is reservoir characterization and what are its objectives?
2. What information is usually sought in reservoir characterization studies?
3. Why does reservoir characterization require a multidisciplinary approach? What disciplines
are generally involved?
126 Reservoir Engineering

4. List the tools and techniques commonly used in reservoir characterization.

5. How might reservoir characterization aid in the design of a horizontal well in unconven-
tional gas reservoir? Explain.
6. Is there any “best time” in the reservoir life cycle to perform reservoir characterization or
is it a continuous process? Include a field example in your answer.
7. How does reservoir characterization lead to better simulation models?
8. How would you characterize source rock? How might it differ from characterizing reser-
voir rock?
9. Your company is planning to drill five horizontal wells in a newly discovered dolomite
reservoir where several layers are interbedded with shale. List the parameters that could of
prime importance in locating the future wells.
10. You have been assigned a task to enhance the productivity of a few oil wells that are showing
high water cut issues lately. Other wells in the reservoir are producing as expected. What
steps would you take to characterize the formation and propose appropriate solutions?

References
[1] Solano NA, Clarkson CR, Krause FF, Aquino SD, Wiseman A. On the characterization
of unconventional oil reservoirs. Available from: http://csegrecorder.com/articles/view/
on-the-characterization-of-unconventional-oil-reservoirs [accessed 20.02.14].
[2] Tight oil reservoirs of the midland basin: reservoir characterization and production
properties; 2014. Available from: http://www.corelab.com/irs/studies/tight-oil-reservoirs-
midland-basin.
[3] Fic J, Pedersen K. Reservoir characterization of a “tight” oil reservoir, the middle Juras-
sic Upper Shaunavon member in the Whitemud and Eastbrook pools, SW Saskatchewan.
Marine Petrol Geol 2013;44:41–59.
[4] Logs reveal Marcellus sweet spots, TGS. Available from: http://www.tgs.com/uploaded
Files/CorporateWebsite/Modules/Articles_and_Papers/Articles/0311-tgs-marcellus-
petrophysical-analysis.pdf [accessed 23.08.14].
[5] Passey QR, Creaney S, Kulla JB, Moretti FJ, Stroud JD. A practical model for organic
richness from porosity and resistivity logs. AAPG Bulletin 1990;74/12:1777–94.