A 3-dimensional, 3-phase reservoir Simulation model was constructed using a black oil reservoir Simulator to understand the complex reservoir fluid dynamics, and its effects on ultimate oil recovery. The paper describes the various phases of the model study, which entails the construction of the reservoir model, matching of the historical well performance and optimising reservoir Operation strategy through prediction of future reservoir performance under various operating scenarios. The flndings of the study were used to formulate a cost-effective reservoir management strategy and further development plan to maximize hydrocarbon recovery.

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