The problem of water production is one of the major technical, environmental, and economical issues associated with oil and gas production. It is the general accepted approach to put the well on production below a critical rate without the risk of coning.

The main goal of this study is to prepare a reservoir numerical simulator with emphasis on water coning. Present work mostly involves numerical simulation of water coning and includes proposed correlations in the literature.

The computer program included four distinct modules to calculate: critical or maximum allowable oil rate, water breakthrough time, well performance after water coning take palaces and water coning simulation. Flow equations of water and oil were discretized and numerically solved for two-dimensional coordinates. The implicit scheme was used to calculate unknown pressures of any grid block. For calculation of water saturation, explicit scheme was used.

Real field data of a well in southwest of Iran was put into the program and critical rate, water breakthrough time, well performance after water coning and water coning simulation of reservoir were determined. We found that the results of correlations are very far from the reality. On the other hand, numerical simulation shows good agreement with real production data. In addition, it was observed that the current production rate of this well would result in rapid water coning.

The critical oil rate for water-free production is important in several categories, including limiting the productive life of the oil and gas wells, separation costs, corrosion of tubular, fines migration, and hydrostatic loading.

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