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Copyright 2001, Society of Petroleum Engineers Inc. This paper was prepared for presentation at the 2001 SPE Annual Technical Conference and Exhibition held in New Orleans, Louisiana, 30 September–3 October 2001. This paper was selected for presentation by an SPE Program Committee following review of information contained in an abstract submitted by the author(s). Contents of the paper, as presented, have not been reviewed by the Society of Petroleum Engineers and are subject to correction by the author(s). The material, as presented, does not necessarily reflect any position of the Society of Petroleum Engineers, its officers, or members. Papers presented at SPE meetings are subject to publication review by Editorial Committees of the Society of Petroleum Engineers. Electronic reproduction, distribution, or storage of any part of this paper for commercial purposes without the written consent of the Society of Petroleum Engineers is prohibited. Permission to reproduce in print is restricted to an abstract of not more than 300 words; illustrations may not be copied. The abstract must contain conspicuous acknowledgment of where and by whom the paper was presented. Write Librarian, SPE, P.O. Box 833836, Richardson, TX 75083-3836, U.S.A., fax 01-972-952-9435. Abstract Reservoir compaction and associated bedding plane slip and overburden shear has induced damage to hundreds of wells in oil and gas fields throughout the world. Critical casing damage mechanisms observed in a variety of structural settings include: 1) overburden shear damage on localized horizontal planes; 2) shearing at the top of production and injection intervals; and 3) compression and buckling damage within the production interval primarily around perforations. Analytical solutions are readily available to estimate compaction, subsidence, and casing damage risks. These should be applied as initial screening tools at an early stage in reservoir development planning. They can also be applied to estimate relative risks for various well locations and trajectories. Geomechanical models of increasing complexity, including two-dimensional and three dimensional finite element type techniques have been used with good success to assess formation deformation and casing damage risks in several reservoirs, and are described herein. Three dimensional geomechanical models at the wellbore scale are required to evaluate shearing deformation on specific well designs, and are used to assess damage mitigation effectiveness for varying completion strategies. An economic decision tree model is applied to compare the costs and benefits of alternative well designs, while taking into account inherent uncertainties in model input data, well damage location, and the effectiveness of various mitigation strategies. In some instances the appropriate action is not to change completion design and simply accept damage risk. Introduction Significant subsidence and casing damage have occurred at several fields throughout the world, including the North Sea, in the Gulf of Mexico, in California, Canada, South America, and Southeast Asia 1-10 . Problems can be particularly acute in deep offshore operations, where individual well costs often exceed 10million dollars and specific wells often target individual sand formations or fault blocks. Hence the loss of even one or two wells may significantly impact recoverable reserves for the field. Compaction related casing damage can include compression and buckling, localized shearing deformation, tension damage, and even distortion damage to internal completion assemblies such as pre-packed screens. The appropriate mitigation strategy will depend on the most likely location of casing damage, the expected type of damage, and the damage magnitude. This requires combining geomechanical analysis of deformations in the reservoir, overburden, and the casing-cement-formation assembly with quantitative decision analysis that compare the costs of various mitigation strategies to the economic benefit of reducing damage risk, given the inherent uncertainty and variability in reservoir deformation, damage type and location, and mitigation effectiveness. This paper describes casing damage observations worldwide and geomechanical analysis techniques applied to evaluate casing damage mitigation strategies. We further describe a quantitative decision analysis process to estimate the economic value of various completion designs to mitigate casing damage. Compaction and Subsidence Overview The weight of sediments above an oil and gas bearing geologic formation is supported partially by the rock matrix and partially by the pressurized fluid or gas within the rock pore space. When fluid pressure is reduced, more of the load is transferred to the rock matrix and the pressure-depleted formation compacts slightly. Subsurface compaction, if it is significant or if the formation is relatively shallow, can produce measurable surface subsidence. Formation compaction can induce compression and buckling damage within the producing interval. More importantly, significant formation compaction also induces small-scale slip on bedding SPE 71695 Geomechanical Analysis and Decision Analysis for Mitigating Compaction Related Casing Damage Michael S. Bruno, SPE, Terralog Technologies USA, Inc.
Transcript
Page 1: SPE 71695 Geomechanical Analysis and Decision Analysis for … · 2018-10-31 · effectiveness for varying completion strategies. An economic decision tree model is applied to compare

Copyright 2001, Society of Petroleum Engineers Inc.

This paper was prepared for presentation at the 2001 SPE Annual Technical Conference andExhibition held in New Orleans, Louisiana, 30 September–3 October 2001.

This paper was selected for presentation by an SPE Program Committee following review ofinformation contained in an abstract submitted by the author(s). Contents of the paper, aspresented, have not been reviewed by the Society of Petroleum Engineers and are subject tocorrection by the author(s). The material, as presented, does not necessarily reflect anyposition of the Society of Petroleum Engineers, its officers, or members. Papers presented atSPE meetings are subject to publication review by Editorial Committees of the Society ofPetroleum Engineers. Electronic reproduction, distribution, or storage of any part of this paperfor commercial purposes without the written consent of the Society of Petroleum Engineers isprohibited. Permission to reproduce in print is restricted to an abstract of not more than 300words; illustrations may not be copied. The abstract must contain conspicuousacknowledgment of where and by whom the paper was presented. Write Librarian, SPE, P.O.Box 833836, Richardson, TX 75083-3836, U.S.A., fax 01-972-952-9435.

AbstractReservoir compaction and associated bedding plane slip andoverburden shear has induced damage to hundreds of wells inoil and gas fields throughout the world. Critical casingdamage mechanisms observed in a variety of structuralsettings include: 1) overburden shear damage on localizedhorizontal planes; 2) shearing at the top of production andinjection intervals; and 3) compression and buckling damagewithin the production interval primarily around perforations.

Analytical solutions are readily available to estimatecompaction, subsidence, and casing damage risks. Theseshould be applied as initial screening tools at an early stage inreservoir development planning. They can also be applied toestimate relative risks for various well locations andtrajectories.

Geomechanical models of increasing complexity,including two-dimensional and three dimensional finiteelement type techniques have been used with good success toassess formation deformation and casing damage risks inseveral reservoirs, and are described herein. Threedimensional geomechanical models at the wellbore scale arerequired to evaluate shearing deformation on specific welldesigns, and are used to assess damage mitigationeffectiveness for varying completion strategies.

An economic decision tree model is applied to compare thecosts and benefits of alternative well designs, while taking intoaccount inherent uncertainties in model input data, welldamage location, and the effectiveness of various mitigationstrategies. In some instances the appropriate action is not tochange completion design and simply accept damage risk.

IntroductionSignificant subsidence and casing damage have occurred atseveral fields throughout the world, including the North Sea,in the Gulf of Mexico, in California, Canada, South America,and Southeast Asia1-10. Problems can be particularly acute indeep offshore operations, where individual well costs oftenexceed 10million dollars and specific wells often targetindividual sand formations or fault blocks. Hence the loss ofeven one or two wells may significantly impact recoverablereserves for the field.

Compaction related casing damage can includecompression and buckling, localized shearing deformation,tension damage, and even distortion damage to internalcompletion assemblies such as pre-packed screens. Theappropriate mitigation strategy will depend on the most likelylocation of casing damage, the expected type of damage, andthe damage magnitude. This requires combininggeomechanical analysis of deformations in the reservoir,overburden, and the casing-cement-formation assembly withquantitative decision analysis that compare the costs ofvarious mitigation strategies to the economic benefit ofreducing damage risk, given the inherent uncertainty andvariability in reservoir deformation, damage type and location,and mitigation effectiveness.

This paper describes casing damage observationsworldwide and geomechanical analysis techniques applied toevaluate casing damage mitigation strategies. We furtherdescribe a quantitative decision analysis process to estimatethe economic value of various completion designs to mitigatecasing damage.

Compaction and Subsidence OverviewThe weight of sediments above an oil and gas bearinggeologic formation is supported partially by the rock matrixand partially by the pressurized fluid or gas within the rockpore space. When fluid pressure is reduced, more of the loadis transferred to the rock matrix and the pressure-depletedformation compacts slightly. Subsurface compaction, if it issignificant or if the formation is relatively shallow, canproduce measurable surface subsidence. Formationcompaction can induce compression and buckling damagewithin the producing interval. More importantly, significantformation compaction also induces small-scale slip on bedding

SPE 71695

Geomechanical Analysis and Decision Analysis for Mitigating Compaction RelatedCasing DamageMichael S. Bruno, SPE, Terralog Technologies USA, Inc.

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2 M.S. BRUNO SPE 71695

planes and faults within the reservoir and overburden material,causing severe shear damage to wells.

Formation Compaction. The effective stress on a porousmaterial is equal to external stress applied to the materialminus the internal pore pressure. For geologic formations,the vertical external stress is the weight of overburden materialwhile the lateral stress will depend on the tectonic setting.External stresses generally remain constant while the internalpore pressure declines during fluid withdrawal or increaseswith fluid injection. A change in effective stress leads tovolume compression, which is equal to the change in porepressure times the compressibility property for the material. Areservoir formation subject to pore pressure change willcompress uniformly or uniaxially depending on loadingpattern and geometry. A general change in bulk volume, V,is related to the bulk compressibility, Cb, and pore pressurechange, ∆P, through the expression:

∆V / V = Cb∆P (1).

For most oil and gas formations, however, the lateraldimensions of the formation are large relative to the formationthickness. Furthermore, while the surface above the formationis completely free to displace downwards, lateral deformationis constrained by adjacent material. Therefore, most of thecompression associated with pressure decline in relativelythin, flat lying, geologic formations occurs in the verticaldirection. The magnitude of this vertical compaction orpressure-induced change in formation thickness, ∆H, can beestimated by the following equation:

∆H / H = Cm ∆P (2),

where H is the original formation thickness, Cm is the uniaxialcompaction coefficient for the material, and ∆P is the changein pore pressure. For elastic and isotropic materials, andassuming grain compressibility is small relative to bulkcompressibility, the uniaxial compaction coefficient is relatedto the bulk compressibility through the expression:

Cm = (1+ν)Cb/3(1-ν) = 1/ρVc2 (3),

where ν is the Poisson’s Ratio for the material, ρ is the bulkdensity, and Vc is the compressional wave velocity for theformation material.

Equations (1) through (3) may be used to approximateformation compaction for a given pressure decline andcompressibility. These equations assume uniform formationthickness, uniform pressure decline, and elastic isotropicmaterial behavior. In most geologic settings formationthickness varies and material behavior is pressure dependentand non-isotropic, so that more sophisticated geomechanicalmodels are required for accurate analysis. However, theseequations do provide useful order of magnitude estimates forreservoir compaction.

Surface Subsidence. If subsurface formation compactionis significant it will induce both vertical surface displacements

(subsidence) and horizontal surface displacements. Theamount of surface subsidence is primarily related to themagnitude of the formation compaction, its lateral extent, andthe formation depth. Deeply buried formation compaction oflimited areal extent will induce almost no surface subsidence,while laterally extensive or relatively shallow formations caninduce surface subsidence nearly equal to the subsurfacecompaction. The lateral extent of surface subsidence is alsorelated to the depth of the subsurface compaction zone.

Analytical equations are available to estimate surfacesubsidence when the subsurface compaction zone is ofuniform shape. Generally, these are based on nucleus-of-strain equations from continuum mechanics described by Senand Geertsma9,14 For example, given a roughly disk shapedoil and gas bearing formation with compaction coefficient Cmand Poison’s Ratio, ν, average radius, R, average thickness, H,and depth of burial, D, the maximum vertical subsidence, S,can be estimated with the following equation1:

S = 2Cm(1-ν)[H – (R2+(D+H)2)0.5 + (R2+D2)0.5]∆P (4).

Equation (4) above is valid when the subsurfacecompaction zone is uniform and when the overburden materialdeforms elastically and homogeneously. The elasticoverburden deformation assumption is usually valid. Forexample, consider a formation compacting a total of 10m evenat a relatively shallow depth of 1000m. The overburdenmaterial will deform a maximum of 10m in the verticaldirection over its 1000m thickness, and generally much less,so that strains will be less than 1% and elastic materialbehavior assumptions are reasonably accurate. Furthermore,for a given amount of subsurface compaction, resultingsurface subsidence is relatively insensitive to overburdenmaterial properties, so that analytical nucleus of strainequations actually provide very good subsidenceapproximations to even the most sophisticated geomechanicalmodels which account for inelastic and heterogeneousoverburden behavior (within about 20%). Moresophisticated models are usually only required to account forthe formation compaction itself, or to accurately evaluatedeformations and stresses within the overburden (to assesscasing damage risk, for example).

Next we consider the pattern of deformation within andabove compacting formations and the resulting implicationsfor casing damage. Figure 1 presents a geomechanicalsimulation for a flat lying geologic formation, with lateralextent approximately equal to burial depth, subject to uniformpressure decline, and with overlying bedding planessusceptible to slip due to varying material properties. Theformation itself compacts nearly uniformly, leading to risksfor compression and buckling damage. Overburden layersexhibit shear slip, leading to risks for localized shear damageto wells, and the surface above the formation subsides over alateral extent beyond the edge of the subsurface compactingformation. In the following sections we discuss the resultingwell casing damage mechanisms.

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 3

Sym AxisSubsidence bowl

Compaction intervalOverburden bedding plane slip

Figure 1. Sample formation compaction, overburden shear, andsurface subsidence patterns induced by pressure depletion.

Casing Damage MechanicsTerralog Technologies has analyzed compaction and

casing damage observations worldwide as the principalinvestigator for a 3-yr Joint Industry Project focussed oncompaction induced casing damage (Drilling EngineeringAssociation Project DEA99), as a contractor on severalDepartment of Energy sponsored research projects, andthrough more than a dozen private company sponsoredprojects. These investigations have provided importantinsights on basic well casing damage mechanisms. There arethree critical forms of well damage that have been observed inalmost all settings. These are:

1. Localized horizontal shear at weak lithology interfaceswithin the overburden;

2. Localized horizontal shear at the top of production andinjection intervals; and,

3. Casing compression and buckling damage within theproducing interval, primarily located near perforations.

Overburden Shear Damage. Localized shear deformation atweak layers within the overburden appears to have occurred inalmost every field investigated. Specific examples of this typeof damage have been noted by Poland and Davis12 at theWilmington Field in California, by Bruno2 and by Fredrich etal7,8 at the Belridge and Lost Hills Fields in California, and byYudovich, Schwall, and others13,15 at the Ekofisk field in theNorth Sea.

One key feature of this type of damage is that shearingdeformations tend to be localized over a relatively short lengthof casing, on the order of only several feet. This is clearlydemonstrated in various caliper images, such as the examplepresented in Figures 2 from a field in Southeast Asia.Although there is often uncertainty on the quantitative natureof caliper measurements, the basic observations are accurateand have been confirmed in recovered casing sections. To

illustrate the localized nature of these overburdendeformations, we can refer to a photo of an actual section ofrecovered casing damaged at the Wilmington field shown inFigure 3 (from Frame, 1952)6. The photo demonstrates thatabout 10 inches of shear displacement occurred over a lengthof less than 5 feet, a pattern consistent with calipermeasurements at the Ekofisk and Valhall fields in the NorthSea, and with gyro and inclinometer surveys at the Belridgefield in California and the Cold Lake field in Alberta.

2 ft

Orientation:0 deg. 90 deg.

16 arm calipertraces

Figure 2. Sample casing deformation pattern noted in caliperlogs for damaged gas well (9.62” casing) in Southeast Asia.

Figure 3. Localized deformation in well damaged withinoverburden at Wilmington Field. About 10” lateral offset on 10¾”casing from 1707ft to 1712ft depth. (From Frame, 1952).

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4 M.S. BRUNO SPE 71695

The location of overburden damage is often related toweak layers, rather than to areas of high induced shear stress.This is perhaps a subtle point. Certainly the compaction-induced shear stresses are the driving force for damage, butthe location of failure is dictated more strongly by the locationof weak interfaces rather than by the location of high shearstress. This conclusion is supported by several observations.First, induced shear stresses in the overburden tend to bedistributed over relatively large depth intervals (see forexample, Bruno, 1990)1. By contrast, the observedoverburden damage is sometimes (although not always) verylocalized with depth. Second, overburden damage does notoccur exclusively towards the flanks of the developingsubsidence bowl where compaction induced shear stresses arehighest. Although well damaged in the overburden didconcentrate around the reservoir flanks at Ekofisk (see Figure4), and to some extent at Wilmington, experiences at Valhall,Arun, Belridge, Lost Hills, and Cold Lake suggest thatoverburden shearing damage is often more widely distributed.

6262000

6263000

6264000

6265000

6266000

6267000

6268000

6269000

6270000

6271000

510000 511000 512000 513000 514000 515000 516000

E-W Coordinates

N-S

Co

ord

inat

es

Overburden

Reservoir

Figure 4. Distribution of wells damaged in overburden and withinthe reservoir at Ekofisk. Overburden damage was initiallyconcentrated along flanks of the field where shear stresses arehighest.

Observations of well damage at Belridge in particulardemonstrate that with extensive development and compaction,localized shear damage at weak overburden layers can be verywidely distributed over all portions of the field4,7,11.

Such observations raise important implications formitigation strategies. Potential weak interfaces should beidentified for new developments with high compaction riskthrough detailed formation evaluation techniques. Althoughshear damage mitigation strategies such as under-reamingshould be concentrated in flank areas, with continueddevelopment it is not always safe to assume that this will besufficient for continuing development strategies. Finally, ashas been noted at Belridge and Cold Lake, once slip hasoccurred on weak overburden layers, then additional slip canbe induced by either production or injection operations(reverse slip).

Shearing at Top of Producing Interval. A second commonand critical damage mechanism noted at many fields involveslocalized shear damage near the top of the producing interval.This was noted in particular at the Belridge and Cold Lakefields, and perhaps to a lesser extent at Ekofisk, Valhall, andthe Arun field in Indonesia. The driving mechanism appearsto be a combination of vertical movement of the underlyingformation and differential lateral contraction (or expansionduring injection) of the producing formation relative to thecapping shale. That is, the producing formations aretypically more permeable and soft (due to higher porosity)than the capping shale. The contrast in pressure change andstiffness leads to differential lateral expansion and interfaceslip.

This shear deformation induced by contrasts in lateraldisplacement is a fundamentally different shear mechanismthan slip induced by distributed overburden shear stressesrelated to reservoir compaction. It is also often associatedwith injection operations. The impact on well casings,however, is quite similar to shear higher within theoverburden. Nearly horizontal shearing is developed over avery localized zone. The magnitude of shear (several inches)and localization are clearly documented in caliper andinclinometer surveys conducted at Cold Lake (see for exampleGronseth, 1990) 10.

An increased concentration of well damage at the top ofthe producing and injection interval is also clearly seen at theBelridge field after the initiation of extensive waterflooding(shown in Figures 5 and 6). Water injection did help toreduce compaction, surface subsidence, and the total numberof well failures. But it also led to an increased percentage ofdamage at the top of the production and injection formation incomparison to damage higher within the overburden.

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 5

0 20 40 60 80 100

# of Failures

-1000- -900

-700- -600

-400- -300

-100- 0

200- 300

500- 600

800- 900

1100- 1200

1400- 1500

1700- 1800

Dep

th b

elo

w T

op

of

Dia

tom

ite

(ft)

Figure 5. Vertical distribution of well damage at Belridge fieldbefore 1990.

0 10 20 30 40 50 60

# of Failures

-1000- -900

-700- -600

-400- -300

-100- 0

200- 300

500- 600

800- 900

1100- 1200

1400- 1500

1700- 1800

Dep

th b

elo

w T

op

of

Dia

tom

ite

(ft)

Figure 6. Vertical distribution of well damage at Belridge fieldafter extensive waterflooding beginning around 1990

Such formation shear mechanisms are most dominant forrelatively shallower reservoirs. In these situations theoverburden load at the top of the producing interval, whichprovides the normal force resisting shear deformation, is oflower magnitude than for very deep reservoirs.

For deviated wells, damage caused by this lateral shear atthe top of the producing interval can be exacerbated byvertical compaction of the producing formation, which canadd additional local casing compression or bending. This hasbeen noted at the Cold Lake field, in which wells deviated atan angle of 30 degrees or more from vertical experienced

nearly twice the rate of failure at the top of theproduction/injection zone than vertical wells.

Compression and Buckling Damage. The third criticalcasing damage mechanism noted in almost all the fieldsexamined is axial compression and buckling within theproducing interval. This has been observed to occur mostfrequently near perforated intervals, and is related to formationcompaction induced by pressure decline. Axial buckling ismost severe in vertical wells. Observations of this type havebeen noted most clearly at Ekofisk, Belrdige, Lost Hills, andValhall, and in several Gulf of Mexico formations.

The reason axial buckling is observed most often nearperforated intervals is twofold: first, these are the zonesexperiencing the most severe pressure drawdown andcompaction; and second, these are the areas in which solidsproduction can lead to loss of lateral support. In fact, it isnearly impossible to induce axial buckling on a casing stringwhenever there is good cement coverage and formationsupport (see analysis in Bruno, 1992)1.

Mitigation Strategies. The appropriate mitigation strategyfor a given well trajectory will depend on the most likelylocation of casing damage, the expected type of damage, andthe damage magnitude. Buckling damage is most effectivelymitigated by ensuring a good cement bond around the casingand by reducing solids production. Compression damage canbe mitigated by increasing the thickness to diameter ratio ofselected casing. The most effective mitigation strategy toreduce localized shear damage, however, is to accommodatelateral deformation through hole size, casing diameter, andcementing practices; strengthening the casing is almostuseless.

Another technique to mitigate casing damage is to avoidhigh shear stress areas near the top of the producing formationand within the overburden, and to adjust the deviation anglesof wells to minimize axial compression or transverse shear.This generally requires geomechanical modeling of thereservoir and overburden to identify stress magnitudes andpatterns induced by pressure depletion.

Many (although not all) mitigation strategies required toavoid or reduce well damage increase well drilling andcompletion costs. The question then becomes: is theadditional cost for such changes justified by the benefits ofdamage mitigation, given the inevitable uncertainties?Drilling costs are often controlled and borne by drillingdepartments and engineers, while subsequent well damage andlost production costs are sometimes only recognized and borneby production departments and engineers several years later.Hence a strong argument, supported by quantitative analysis,is generally required to justify expending additional upfrontdrilling funds to avoid future production losses or redrill costs.

Answering this question often requires combininggeomechanical analysis of the formation and casing assemblywith quantitative decision analysis. One can then compare thecosts of various mitigation strategies to the economic benefitof reducing damage risk, given the inherent uncertainty and

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6 M.S. BRUNO SPE 71695

variability in reservoir deformation, damage type and location,and mitigation effectiveness.

Geomechanical Analysis TechniquesSeveral geomechanical analysis techniques of varyingcomplexity are available to analyze reservoir deformations andassociated casing damage risks. These include elasticanalytical equations with simple geometric approximations,more detailed elastic solutions allowing discretization of thereservoir in three dimensions and deformation analysis onarbitrarily oriented well trajectories, and two dimensional orthree dimensional finite element type models incorporatingcomplex constitutive behavior for formation materials, casingconfigurations and cementing strategies. The appropriateapproach will depend on the analysis goals (for example anestimate of subsidence or an estimate of casing damage), themitigation options to be considered (for example changingcompletion design, well trajectory, or reservoir developmentstrategy) and the availability of data. We will discuss in turnseveral techniques requiring increasing effort and input data.

Simple Analytical Solutions. Simple analytical solutionsshould always be applied during the initial screening phase toassess the relative significance of subsidence or casingdamage risks for a given field. For example, equations (1)through (3) provide a quick order of magnitude assessment ofcompaction and subsidence magnitude and require onlyapproximate estimates of reservoir geometry and formationproperties.

Casing compression and buckling damage risks can thenbe estimated by considering compressive strains induced onwells penetrating the compacting formation at variousdeviation angles. The worse case scenario assumes that all ofthe formation compaction is transferred to the well casing; thatis, that there is no slip or shearing occurring at the casing-cement or cement-formation interfaces. Then the axial strainon the casing will be equal to the effective vertical formationcompaction (taking into account net sand and shale volumes)transformed into the well deviation direction. For example, ifa well is deviated at an angle, θ, from vertical through aformation which is compacting in a vertical direction by anamount equal to the uniaxial compaction coefficient Cm timesa pressure drawdown, ∆P, the resulting axial compressivestrain, εc , can be approximated by:

εc = 0.5(1+cos2θ)Cm∆P (5).

Yielding strains for casing steel range from about 0.3% to0.7%, depending on grade. Compressive deformation on theorder of 1% or less, however, is relatively mild and will notimpair the casing integrity or functionality.

The critical buckling strain (defined as the onset ofinstability) for a casing string with fixed ends and unsupportedover a length, L, may be expressed as:

εcritical-unsupported = 4π2I/(AcL2) (6),

where I is the moment of inertia for the casing cross section (=R3t) and Ac is the cross section area (=2πRt). If the sectionof casing is supported, then the critical buckling strain willdepend on the relative ratio of the formation stiffness modulusand the casing Young’s modulus. A conservativeapproximation to the critical buckling strain can be expressedas (Bruno, 1990):

εcritical-supported > (2/Ac) (2EfI/Ec)0.5 (7),

where Ef is the formation material Young’s Modulus. Forexample, the critical buckling strain for 9 5/8 inch, 53 lb/ft,casing unsupported over a 10ft length would be on the order of0.9% while the critical buckling strain for the same casingsupported by formation material with Young’s Modulus on theorder of 1.0E5 psi would be about 7.5% (i.e. well above thelevel for localized compression damage).Vertical formation compaction acting on a deviated wellbore

will also induce shearing deformations and kinking of thecasing string where it enters and exits the formation sand. Theshear strain on the casing, γc , can be approximated by:

γc = 0.5(sin2θ)Cm∆P (8).

If a producing sand compacts while the overlying andunderlying formations do not, then the formation compactionwill produce kinking of the casing at the formation entry andexit points. The kink angle is related to the change information thickness ∆T, the original thickness, T, and thedeviation angle, θ, according to the following approximation:

Kink Angle = tan-1 {Ttanθ/(T-∆t)} - θ (9).

In a similar manner we can estimate potential risks forbedding plane slip at the top of the production interval andwithin the overburden material. For a first approximation weconsider analytical solutions for stresses induced in an elastichalf-space due to nuclei of compression distributed over theformation volume9,15. The assumptions are that theoverburden material behaves in a linear elastic, isotropic, andhomogeneous manner. For example, the total induced shearstresses caused by a varying pressure within an arbitrarilyshaped reservoir can be obtained by integrating thecontribution of all the compaction points over the reservoirvolume, V, as follows:

dVzy

V

zy

Vz

zy

VzyxP

ECzyx

V

byz ∫

∂∂

∂+

∂∂∂

+∂∂

∂∆

−= 2

2

22

31

20

000 2),,()1(12

),,(νπ

τ

dVzx

V

zx

Vz

zx

VzyxP

ECzyx

V

bxz ∫

∂∂

∂+

∂∂∂

+∂∂

∂∆

−= 2

2

22

31

20

000 2),,()1(12

),,(νπ

τ

(10).

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 7

In the expression above τxz and τyz are the horizontal shearstresses at position (x0,y0,z0). Eo is the Young’s Modulus forthe overburden material and ν is the Poisson’s ratio for thereservoir and overburden. V1 and V2 are distance functionsgiven by:

20

20

20

1)()()(

1

zzyyxxV

−+−+−= (11),

20

20

20

2)()()(

1

zzyyxxV

++−+−= (12).

The change in pressure, ∆P(x,y,z), is measured from somereference state (usually the normal reservoir pressure) fromwhich induced stresses are to be determined. Equations (11)and (12) above may be integrated analytically if the pressuredistribution is a simple function, or numerically if pressuresare obtained from a simulation model. Induced shear stressesare most severe when the pressure decline is uniform and endsabruptly at the reservoir boundary, such as with fault boundedreservoirs. Shear stress magnitudes increase with larger radiusto depth ratio. However, once a reservoir is deeper than aboutthe distance of its radius, shear stress magnitude are relativelyunaffected by depth, and are controlled primarily by the ratioof reservoir thickness to reservoir radius.

To estimate maximum formation shear stress we mightassume that pressure decline is constant throughout thevolume of the reservoir, and evaluate stresses where they arelargest: at the top and flank edge of the producing formation.These estimates for maximum horizontal shear stress at the topof the producing formation may be compared to the normaleffective stress and friction coefficient for the material toinvestigate bedding plane slip risks. For example, we canassume that slip may occur according to a Coulomb typefriction criterion of the form:

τ > So + µσv (13),

where τ is the horizontal shear stress, So is the materialcohesion, µ is the friction coefficient, and σv is the effectivevertical stress on the horizontal plane.

Equations (4) through (13), or similar approximations, maybe applied with worst-case assumptions regarding reservoirgeometry, pressure depletion, and material properties todetermine if compaction and casing damage risk are potentialproblems. The next step in the process would be todetermine where damage risk is most likely to occur. This canbe done by extending the analytical solutions to more complexreservoir geometries and well trajectories.

Three-dimensional elastic models. The analytical equationsdiscussed above provide order of magnitude estimates forcompaction, subsidence, and shear stresses at single pointsabove simply shaped reservoirs. More detailed solutions are

required to account for actual reservoir geometry and toprovide information regarding distributed stresses ordisplacements in the subsurface.

We can develop a relatively simple three dimensionalmodel by discretizing a producing horizon into grid elementsand treating each cell as either a nucleus of strain or adisplacement discontinuity in an elastic half-space. Reservoirelement deformations are assumed to be related to the changein fluid pressure times the average element thickness times thecompaction coefficient. Analytical functions, of the typegiven in equation (9) are then used to determinedisplacements, strains, or stresses at any point in the half spaceby superimposing the influences from all reservoir elements. Ifnecessary, a step-wise linearization procedure can be appliedto evaluate non-linear and time dependent overburdenproperty behavior.

The method can then be applied to estimate, for example,induced displacements along proposed well trajectories,induced stresses on known fault planes, or induced shearstrains on a given horizon. It is particularly useful to use thesame grid assembly for geomechanical analysis as used inreservoir simulation, so that flow simulation pressure resultscan be applied directly to drive the geomechanical model(one-way flow-geomechanical coupling).

This approach is illustrated in a sample geomechanicalanalysis to evaluate subsidence and shear damage risks for anoffshore gas reservoir. Figure 7 presents the gas formationisopach used to discretize the reservoir into an assembly ofgrid blocks. Vertical displacements at the seafloor, shown inFigure 8, and horizontal shear strains at a depth of about1650m below the mudline, shown in Figure 9, are bothestimated using influence functions for dipping tensiledisplacement discontinuities in an elastic half-space. Theresulting surface subsidence contours were used to help assessplatform placement and design criteria, while the subsurfaceshear deformation patterns were used to select low-risk welltrajectories.

Formation thickness (m)

619000 620000 621000 622000 623000 624000 625000

Easting

3511000

3512000

3513000

3514000

Nor

thin

g

0 20 40 60 80 100 120 140 160 180 200 220 240

Figure 7. Discretization of an offshore gas field for 3Ddisplacement discontinuity modeling.

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8 M.S. BRUNO SPE 71695

Subsidence (m)

612000 614000 616000 618000 620000 622000 624000 626000 628000 630000 632000

3508000

3510000

3512000

3514000

3516000

3518000

-4-3.5-3-2.5-2-1.5-1-0.50

Figure 8. Resulting surface subsidence pattern for uniformdepletion seenario.

Shear Strain

619000 620000 621000 622000 623000 624000 625000

3511000

3512000

3513000

3514000

0 0.001 0.002 0.003 0.004 0.005 0.006 0.007 0.008

Figure 9. Resulting shear strain pattern at 1650m depth foruniform depletion scenario.

Such solutions are quantitative in nature. They canaccount for inelastic formation compaction throughappropriate compressibility vs. pressure relations, but theyrequire that overburden deformations remain elastic andhomogeneous. Hence they can simulate overburdendeformations up to the point of failure (such as to incipientfaulting or bedding plane slip, but not beyond that point. Theyare sufficiently accurate to identify areas of relative high riskvs. low risk, for example to help select well trajectories, butthey are not accurate enough (especially in the producing

horizon) to provide quantitative displacement and stressmagnitudes for analyzing appropriate casing design andcompletion designs for a specific well location. That level ofaccuracy requires finite element type techniques to account forheterogeneous material layers with inelastic constitutivebehavior, as summarized in the following sections. It alsorequires material property data, typically from core analysis,for input data.

Two-dimensional numerical modeling. The analyticalinfluence function techniques discussed above are simple toapply and very computationally efficient because they onlyrequire discretization of the reservoir. For greater accuracy,however, both the reservoir and the overburden material mustbe discretized and modeled in either two dimensions or threedimensions.

The next incremental level of modeling complexity is toassume the reservoir response is sufficiently symmetric anduniform about one axis so that a reasonable approximation canbe achieved with a single slice through through the field. Thismight be the case, for example, if one structural axis iselongated and well development is extensive throughout thefield. Alternatively, one might evaluate multiple slices atvarious locations or even at orthogonal directions across astructure and evaluate a range of responses to bracket thesolution.

A two-dimensional geomechanical model, therefore, canbe used to accurately account for structural effects in onedirection, to account for vertical layering and heterogeneity,and to account for inelastic material behavior. Theappropriate orientation for the 2D model is often guided byinsights gained from a 3D analytic solution (such as thatshown in Figures 7, 8, and 9). Two dimensional models ofthis type have been used with good success to accuratelymatch field observations for surface subsidence and toqualitatively investigate casing damage risks for varyinginjection and production strategies (see for example Bruno andBovberg, 1992; Hansen et al, 1995; Hilbert et al, 1996)1,2,3.

We illustrate this process with a field example fromCalifornia. Figure 10 presents a two-dimensional crosssection mesh across an oilfield in California, using theFLAC2D geomechanical model. The model extends 6000 feetin the horizontal direction and 5000 feet in the verticaldirection, and comprises 4235 elements. The structuralgeology is accurately captured by incorporating geologicmarker data from several wells across the section. Theoverburden is represented by 30 layers with 5 differentmaterial properties, the reservoir formation is represented by10 layers with 3 different material properties, and theunderburden is represented by 10 layers with a single materialproperty. The overburden and reservoir response aresimulated with inelastic, strain-softening, material modelsmatched to measured triaxial test data on cores. Potentialbedding plane slip surfaces were placed at the top of theproducing horizon and at shallower depth within theoverburden, consistent with observed casing damage in otherparts of the field.

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 9

Figure 10. Two-dimensional cross section model to investigatecompaction and well damage in a California oilfield.

Figure 11. Horizontal displacements vs. depth induced onseveral well trajectories by reservoir compaction.

Figure 11 presents the horizontal displacements alongseveral well trajectories induced by uniform depletion of theproducing horizon. The simulation indicates relatively minordeformation and kinking of well casings on one edge andwithin the center of the field, but more severe shear damagerisk on towards the other edge of the field. Additionalsimulations were performed under varying depletion scenariosand for a range of material properties to assess subsidence andcasing damage risks.

Three-dimensional reservoir modelingThe final level of complexity is to fully discretize the reservoirand overburden in three dimensions. Such a model can thenaccount for 3D structural effects and for production andinjection patterns that vary across a field, thereby introducingnon-uniform and non-symmetric displacement patterns. Verylarge scale three-dimensional models (on the order of severalhundred thousand grid blocks) have been developed to analyzesubsidence and casing damage risks for varying productionscenarios at several fields in the US (see Fredrich et al, 1996;2001)7,8. For example, Figure 12 presents the mesh ofapproximately 260,000 elements generated by Terralog fromgeologic marker data and applied by Sandia NationalLaboratories to analyze subsidence and casing damage at theLost Hills Field 8.

Figure 12. Large-scale three-dimensional finite element model toinvestigate compaction and casing damage at the Lost Hills field8

In the model shown above, one-way fluid-flow andgeomechancial coupling was achieved by matching the grid inthe reservoir formation to a 3-D fluid flow simulation grid.While it is possible to combine fluid-flow equations andgeomechanical equations into a single simulator, thecombination often compromises accuracy in one area oranother. This is a severe drawback to almost all fully coupledgeomechanics-fluid flow simulators. The advantages gainedby achieving true geomechanical coupling (which has asecond order affect on flow) are usually outweighed by thedisadvantages of not having an accurate reservoir simulationincorporating first-order effects on flow such as relativepermeability, temperature and pressure related phasetransitions, and appropriate near wellbore models for skin andproductivity.

0’

-5000’

0’ 6000’

-6000

-5000

-4000

-3000

-2000

-1000

0

-1.5 -1 -0.5 0 0.5 1 1.5

Horizontal Displacement (ft)

Depthfromsurface(ft)

Well A Well B Well C Well D Formation Top

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10 M.S. BRUNO SPE 71695

Three-dimensional wellbore modeling. So far we haverestricted our discussion to reservoir-scale models. These arenecessary to evaluate the displacements (including compactionand shear deformations) at various locations within and abovea producing formation induced by varying production andinjection scenarios. One additional key goal, however, is toalso assess the effectiveness of different completion designs toavoid or mitigate casing damage at a given location. Thisrequires detailed modeling at the near-wellbore scale. It is numerically impractical to combine very large-scalereservoir model elements (on the order of 10s of feet) withvery-small scale casing elements (on the order of 10ths ofinches) within a single model. Furthermore, it is unnecessary,as the existence of a relatively small diameter casing stringthrough a geologic formation of large lateral extent does notinfluence the reservoir deformations. Therefore, it is best todiscretize the near wellbore region separately to very finescale, and simply impose the deformation patterns determinedfrom the large-scale model onto this assembly to evaluatenear-wellbore casing-cement-formation interaction.

This cannot be simply done in two-dimensions (forexample in an axisymmetric simulation), unless verticalcompression damage to a vertical well is the onlyconsideration. Three-dimensional models are required tosimulate vertical compression on deviated wells and lateralshear displacements transverse to a circular well section.Furthermore, when finite compression and shear deformationsare imposed on a casing assembly, the resulting strains arevery large and the material behavior is significantly inelastic,so that sophisticated material models are necessary to simulatelarge displacements and failure of inner completions (if thereis one), the casing, the cement, and nearby formation material.

Terralog has analyzed several completion designs tomitigate compression and shear damage for several clients inthe US and Europe. For example, Figure 13 presents adeformed model mesh for a deviated well, subject tocombined compression and shear. As illustrated in the detailview of Figure 14, the wellbore assembly comprises acentralized inner completion (wire wrapped screen), gravelpack, production casing, surrounding cement, and about 12feet of surrounding formation material. Inelastic materialproperties for the formation, cement, and gravel pack aredetermined from laboratory test data.

The commercial software FLAC3D (Itasca ConsultingGroup) was used for this geomechanical model because it hasa wide range of geologic material models that can be easilymodified to incorporate observed inelastic behavior, such asshear failure, compaction failure, and strain softening. Themodel mesh shown comprises about 80,000 elements, and themotivation is to assess damage risk to the inner completioncaused by compression and shear deformations, for varyingcentralizer and gravel pack screen assemblies.

Figure 13. Deformed mesh on three-dimensional near wellboremodel to investigate combined compression and shear damage tocasings and inner completions.

Figure 14. Exploded view of embedded completion assembly

Screen

Base Pipe

Coupling

Centralizer

Gravel PackOuter Casing

Cement

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 11

As illustrated dramatically in Figure 3, production casingscan often experience significant localized shear deformationwithout breaching. If this same displacement magnitude istransferred directly to a relatively small diameter andrelatively stiff inner completion, however, significant screendamage and coupling breach may occur. Direct load transfercan sometimes be mitigated by adjusting the spacing anddesign of centralizers and by adjusting the density of fracpacksand in certain areas. Several other mitigation strategies(such as adjusting well trajectory, modifying cement thicknessand ductility, or spacing screen connections) can be evaluatedwith detailed three-dimensional well models of this type.

Decision Analysis TechniquesAfter geomechanical analytical techniques or numericalmodels have been applied to assess compaction and sheardeformation risks, and to assess the potential benefits ofvarying well designs and completion strategies, the final stepis to determine if the added benefits outweigh any additionalcost. This cost-benefit analysis must take into accountvarious types of uncertainty, such as uncertainty in materialbehavior throughout the field, uncertainty in pressure responsethroughout the field, uncertainty in damage location, anduncertainty in the effectiveness of various mitigationstrategies.

For example, we are often forced to model the mechanicalbehavior of entire geologic horizons or multiple verticalintervals based on very limited (or non-existent) core data.The same is true for modeling permeability and porosityvariations across a field. Therefore, an appropriate procedureis to perform parametric simulations for a range of potentialmechanical and flow properties and to establish probabilitiesfor expected response. Such techniques are used withincreasing frequency in the oil and gas industry to estimateproduction and recoverable reserves, and they can also beapplied to estimate casing damage risks and potentialeffectiveness of various mitigation strategies.

To illustrate this process, consider a simple example toestimate compression damage risks for a sample reservoirusing the analytical expressions provided in equation 4.Table 1 presents a set of assumed reservoir and materialproperty variations. The most likely parameter estimates,designated in the P50 column, are used to provide baselinesrisk estimates. We vary each parameter by estimating anapproximate low value (P10) and an approximate high value(P90). That is, we select a low-end value for which there is a10% probability that actual parameter is lass than the P10value, and we select a high-end estimate for which there isonly a 10% probability that actual parameter is greater thanthe P90 value.

Table 1. Sample Input Table for Sensitivity Analysis

Table 2 presents a summary of calculated axial strainestimates for the range of assumed input parameters specifiedin Table 1. The baseline axial strain, for which all inputparameters take on their P50 value, is on the order of 0.5%.The low-end estimate is about 0.2% when the sandcompaction coefficient is minimum and the high-end estimateis about 1.1% when the sand compaction coefficient isgreatest. Axial strain sensitivity to various input parametersis illustrated graphically in Figure 15.

Table 2. Sensitivity of axial strain estimates to variableinput parameter

Figure 15. Axial strain estimate sensitivity to variable input data

Input Parameters P10 P50 P90

Formation Depth (ft below mudline) 1.40E+04 1.60E+04 1.80E+04

Areal Extent (acres) 2.00E+03 4.00E+03 6.00E+03

Gross Formation Thk. (ft) 3.00E+02 4.00E+02 6.00E+02

Net Sand/Gross ratio 6.50E-01 7.50E-01 9.00E-01

Sand Compaction (1/psi) 1.10E-06 3.30E-06 6.60E-06

Shale Compaction (1/psi) 1.00E-07 3.30E-07 1.00E-06

Poisson's Ratio 1.50E-01 2.50E-01 3.50E-01

Pressure Drawdown (psi) 2.00E+03 2.50E+03 3.00E+03

Well Inclination (deg from vertical) 1.00E+01 2.00E+01 4.50E+01

Overburden Young's Modulus (psi) 5.00E+05 1.00E+06 1.50E+06

Baseline Axial Strain 5.65E-03 Axial Strain Sensitivity P10 P50 P90 Net Sand/Gross ratio 4.99E-03 5.65E-03 6.63E-03 Sand Compaction (1/psi) 2.00E-03 5.65E-03 1.11E-02 Shale Compaction (1/psi) 5.52E-03 5.65E-03 5.83E-03 Pressure Drawdown (psi) 4.52E-03 5.65E-03 6.77E-03 Well Inclination (deg from vertical) 6.20E-03 5.65E-03 3.20E-03 Maximum P90 Axial Strain 1.11E-02

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Net Sand/Gross ratio

Sand Compaction (1/psi)

Shale Compaction (1/psi)

Pressure Drawdown (psi)

Well Inclination (deg fromvertical)

Percent Maximum Axial Strain

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12 M.S. BRUNO SPE 71695

Analytical or more sophisticated geomechanical modelscan therefore be applied to estimate appropriate ranges forexpected reservoir deformations and to estimate appropriateranges for mitigation benefits of specific well designs. Adecision analysis tree can be assembled to take into accountvarious completion scenarios and costs, well damage risks,and the risk cost associated with loss events.

We illustrate such a process with a simplified example.A simple economic model, using an EXCEL spreadsheet, ispresented in Table 3. Input parameters include a baselinecompletion cost and two alternative higher cost completionscenarios. The initial well damage risk associated withstandard completions is defined to be 10%, consistent withparametric reservoir simulations. A risk reduction factor isassigned to each of the alternative completion strategies,consistent with parametric well casing deformationsimulations. In this example completion alternative 2 isestimated to reduce damge risk 50% while completionalternative 3 is estimated to reduce damag risk 75%. Risk costis defined as the probability of a loss event times the cost ofthat loss event. All of the input parameters can be varied,allowing one to determine the relative sensitivity of economicbenefit conclusions to any one or several input parameters.

The model compares the cost of doing nothing new, whichis simply the risk cost of potential well damage for the

standard completion, with the cost of alternative completionstrategies, which is the added cost of the new completion plusthe reduced risk cost of potential damage. The cost of wellfailure is comprised of the loss of production until the well canbe replaced, the replacement cost of the well, and the addedabandonment costs.

In this simple example we assume that the inflation rate forwell completion, oil price, and abandonment costs are notsignificantly different from the monetary inflation rate, so thatit is sufficient to express all values and compare future costs intoday’s dollars. This could be easily modified, but will notchange results by more than a few percent. We further assumethat a damaged well will be identified and replaced within 60days, that the average production of a well is 300 barrels perday, and that the average price is on the order of 20 dollars perbarrel. Each of these parameters can be changed within themodel. The results for this specific scenario suggest that theadded benefits of alternative completion strategies to mitigatedamage do not outweigh the added costs, given the range ofuncertainty in risk and benefits. For this example theoperator may choose not to modify well designs, but at thesame time may discount expected recoverable reserves orreturn on investment by the total risk cost for all wells whenassessing overall field development economics.

Table 3. Simplified economic decision tree example to assess alternative mitigation strategies

Model Input ParametersCompletion #1 Cost 1800000 dollars Initial damage risk 0.10Completion #2 Cost 1950000 dollars Risk reduction 0.50Completion #3 Cost 2200000 dollars Risk reduction 0.75Avg Daily Production 300 bbls/dayPrice per barrel 20 dollarsReplacement Time 60 daysAbandonment Cost 200,000 dollars

Damage Cost Risk Cost

Replacement Well 1800000 $180,000Well Damage Risk 0.1 Lost Production 360000 $36,000

Abandonment Cost 200,000 $20,000Completion #1 Added Cost 0 $0

Total Risk Cost $236,000

Replacement Well 1950000 $97,500Well Damage Risk 0.05 Lost Production 360000 $18,000

Abandonment Cost 200,000 $10,000Completion #2 Added Cost 150000 $150,000

Total Risk Cost $275,500

Replacement Well 2200000 $55,000Well Damage Risk 0.025 Lost Production 360000 $9,000

Abandonment Cost 200,000 $5,000Completion #2 Added Cost 400000 $400,000

Total Risk Cost $469,000

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SPE 71695 GEOMECHANICAL ANALYSIS AND DECISION ANALYSIS FOR MITIGATING COMPACTION RELATED CASING DAMAGE 13

Summary and ConclusionsIn this paper we have summarized reservoir compaction andcasing damage mechanics and field observations, and we havedescribed geomechanical modeling techniques of varyingcomplexity to assess deformations at the reservoir scale andcasing damage at the wellbore scale. We have also discusseddecision analysis techniques to compare the costs and benefitsof alternative completion strategies to mitigate casing damagerisks, given the inherent uncertainty in modeling input data,damage location, and mitigation effectiveness. The varioustechniques have been illustrated with real field examples fromaround the world. Our investigations to date support thefollowing conclusions and observations:

1. Critical casing damage mechanisms observed in a varietyof structural settings worldwide include 1) overburdenshear damage on localized horizontal planes; 2) shearingat the top of production and injection intervals; 3)compression and buckling damage within the productioninterval primarily around perforations.

2. Analytical solutions are readily available to estimatecompaction, subsidence, and casing damage risks. Theseshould be applied as initial screening tools at an earlystage in reservoir development planning. They can alsobe applied to estimate relative risks for various welllocations and trajectories.

3. Geomechanical models of increasing complexity,including two-dimensional and three dimensional finiteelement type techniques have been used with goodsuccess to assess formation deformation and casingdamage risks in several reservoirs.

4. Three dimensional geomechanical models at the wellborescale are required to evaluate shearing deformation onspecific well designs, and can be used to assess damagemitigation effectiveness for varying completion strategies.

5. An economic decision tree model can be applied tocompare the costs and benefits of alternative well designs,while taking into account inherent uncertainties in modelinput data, well damage location, and the effectiveness ofvarious mitigation strategies.

AcknowlegementsSome of the work described in this paper relating to casingdamage observations and modeling was supported byChevron, Amoco, Phillips Petroleum, Mobil, Unocal, Texaco,and BP through a Drilling Engineering Association JointIndustry Project (DEA 99). Additional support was providedby Lawrence Berkeley National Laboratory under thedirection of Dr. Larry Myer and by Sandia NationalLaboratory under the direction of Dr. Joanne Fredrich. Theauthor also acknowledges valuable modeling efforts andsupport by Mr. John Barrera, Dr. Luis Dorfmann, and Mr.Khang Lao, all of Terralog Technologies USA, Inc.

References1. Bruno, M.S. (1992), “Subsidence-Induced Well Failure”, SPE

Drilling Engineering, June, 1992, pp. 148-152.2. Bruno, M.S. and Bovberg, C.A.: Reservoir Compaction and

Surface Subsidence Above the Lost Hills Field, California,Proc. 33rd U.S. Symp. Rock Mech., June 3-5, 1992, pp. 263-272.

3. Cernocky, E.P. and F.C. Scholibo (1995), “Approach to CasingDesign for Service in Compacting Reservoirs”, SPE 30522,presented at the SPE Annual Technical Conference & Exhibitionin Dallas, USA, 22-25 Oct., 1995.

4. Dale, B.A. et al. (1996), “A Case History of ReservoirSubsidence and Wellbore Damage Management in the SouthBelridge Diatomite Field”, paper SPE 35658 presented at the1996 SPE Western Regional Mtg., Anchorage, 22-24 May.

5. Dusseault, M.B., Bruno, M.S., and Barrera, J.: “Casing Shear:Causes, Cases, Cures”, SPE 48864 presented at SPE Int. Conf.and Exhibit, Beijing, China, 2-6 November, 1998.

6. Frame, R.G. (1952), “Earthquake Damage, Its Cause andPrevention in the Wilmington Oil Field”, California Oil Fields,Thirty-eighth Annual Report, Dept. of Natural Resources,Division of Oil and Gas, California.

7. Fredrich, J.T., Arguello, J.G., Thorne, B.J., Deitrick, G.L., deRoufignac, E.P., Myer, L.R. and Bruno, M.S., (1996): Three-dimensional geomechanical simulation of reservoir compactionand implications for well failures in the Belridge Diatomite, SPE36698, Proceedings of the 1996 SPE Ann. Mtg, Denver,Colorado, October 6-9, pp. 195-209.

8. Fredrich, J.T., Holland, J.F., Fossum, A.F., and Bruno, M.S.:“One-way Coupled Reservoir-Geomechanical Modeling of theLost Hills Oil Field, California”, in Proc. 38th US RockMechanics Symposium, Washington D.C., July 7-10, 2001.

9. Geertsma, J.: “A numerical Technique for Predicting SubsidenceAbove Compacting Reservoirs, Based on the Nucleus of StrainConcept”, Verhandelingen Kon. Ned. Geol. Mijnbouwk., Vol28, 1973, pp. 63-78.

10. Gronseth, J.M.: “Geomechanics Monitoring of Cyclic SteamStimulation Operations in the Clearwater Formation”, Rock atGreat Depth, Maury & Foumaintraux (eds), Balkema,Rotterdam, pp. 1393-1398.

11. Hilbert, L.B., Fredrich, J.T., Bruno, M.S., Deitrick, G.L., and deRouffignac, E. P., (1996): Two-dimensional nonlinear finiteelement analysis of well damage due to reservoir compaction,well-to-well interactions, and localization on weak layers, Proc.of the 2nd North Am. Rock Mech. Symp., Quebec, Canada, 19-21, June, 1996, pp. 1863-1870.

12. McCauley, T.V. , “Planning Workovers in Wells with Fault-damaged Casing, South Pass Block 27 Field,” J. Pet. Tech.,(July, 1974).

13. Poland, J.F. and Davis, G.H.: “Land Subsidence Due toWithdrawal of Fluids”, in Reviews in Engineering Geology, VolII, D.J. Varnes and G. Kiersch ed., Geological Society ofAmerica, 1969.

14. Schwall, G.H. and C.A. Denney, “Subsidence Induced CasingDeformation Mechanisms in the Ekofisk Field”, Eurock 94 --SPE/ISRM Rock Mechanics in Petroleum Engineering,Balkema, Rotterdam, 1994, pp. 507-515.

15. Sen, B.: “Note on Stresses Produced by Nuclei of Thermo-elastic Strain in a Semi-infinite Elastic Solid”, Quart. Appl.Math., Vol. VII, No. 4, 1951, pp. 365-369.

16. Yudovich, A.. Chin, L.Y. and Morgan, D.R.: “CasingDeformation in Ekofisk,” J. Pet. Tech. (July, 1989)


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