An analytical equation for calculating horizontal well pressure in a simulation model is derived. This equation is very essential for history-matching and predicting the performance of horizontal wells.

The derived equation is needed to compute the effective radius which relates the wellbore pressure to the wellblock pressure. The equation is general and is valid for vertical and horizontal wells, for any well location and for any anisotropy. This equation may substitute Peaceman's equations which need modifications in anisotropic grids of high aspect-ratio (typical of horizontal wells). Simplified forms of the equation applicable to special cases are also reported.

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