Pincher Creek gas field, located in south-western region of Alberta, was discovered in 1947 by Canadian Gulf Oil. Pincher Creek gas field is a low-permeability, naturally- fractured, carbonate reservoir. Production from this field started in Jan. 1957. A total of 27 wells have been drilled in this field. However, only six wells are still producing from this reservoir. Many wells in this field have experienced shortened producing life because of water-related problems.

Initial gas-in-place and remaining reserves are reported as 46.8 and 1.5 BCM, respectively, in Alberta Energy and Utilities Board (AEUB) 1994 publication of reserves. Cumulative gas production to the end of Dec. 1996 has been 14.5 BCM. Thus, Pincher Creek gas field seems to have a very low recovery factor. Forty years of production data have been analyzed using conventional material balance, decline curve analysis, and communicating reservoir model to verify initial gas-in- place and reserve estimates for the Pincher Creek gas field. These analyses have led to definitive and consistent initial gas- in-place and reserve estimates for this field.

Efforts have also been made to understand water production mechanisms in this field. Analysis shows that water production behavior in this field is neither related to permeability distribution from core analysis nor to the distance from the bottom of perforation to gas-water contact. Diagnostic plots of the Cartesian derivative of water-gas ratio versus time have shown promise in identifying water production mechanisms for the wells in this field.

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