San Joaquin Valley SPE Section General Section Meeting

Field Surveillance and AI based Steam Allocation Optimization Workflow for Mature Brownfield Steam Floods
Thursday, February 21, 2019 @ 11:30 AM
Petroleum Club 12th Floor – 5060 California Avenue, Bakersfield


Speaker:  Dr. Jim Erdle, VP CMG

Reservations:  RSVP by February 15th to avoid walk-in payments

Pay Online:  Online Payment Link  Or Email Tom Hampton at thampton@sentinelpeakresources.com



The proposed steam flood optimization workflow incorporates field surveillance data and numerical simulation, driven by machine learning and AI enabled Algorithms, to predict future steam flood reservoir performance and maximize NPV for the reservoir. The process intelligently determines an optimal current field level and well level injection rates, how long to inject at that rate, how fast to reduce rates on mature wells so that it can be reallocated to newly developed regions of the field. A case study has been performed on a subsection of a Middle Eastern reservoir containing eight vertical injectors and four sets of horizontal producers with laterals landed in multiple reservoir zones. Following just the steam reallocation optimization process, NPV for the section improved by 42.4% with corresponding decrease in cumulative SOR by 24%.  However, if workover and alternate wellbore design is considered in the optimization process, the NPV for the section has the potential to be improved by 94.7% with a corresponding decrease in cumulative SOR by 32%. This workflow can be extended and applied to a full field steam injection project.



Dr. Erdle is CMG’s Vice President for software sales and support for the USA and Latin American.  He has 44 years of industry experience, primarily in reservoir and production engineering-related positions within the services and software segments of the E&P industry, since graduating from Penn State with BS and PhD degrees in Petroleum Engineering in ’71 and ’74.  Early in his career Jim was involved with some of the industry’s leading advances in well testing design, monitoring and interpretation technology, including Closed Chamber and Surface Pressure Readout (SPRO) Drill Stem Testing, production enhancement via NODAL analysis, stimulation treatment design & monitoring techniques, and production surveillance software (The Production Analyst, which was the predecessor to OFM).

Jim joined CMG in May of 1997 and by October of that year had opened CMG’s USA office in Houston. Since then he has been responsible for expanding CMG business in the USA, in the GCC countries of the Middle East (2003-2008), and since being promoted to Vice President in June of 2008, in South/Latin America. Jim has been directly involved in improvements to CMG’s technology, including the workflows available within CMG’s products used to build, run and analyze dynamic reservoir simulation models of Unconventional (Shale/Tight) Gas and Liquids-rich reservoirs.


Jim has co-authored several recent SPE papers on the subject of modelling unconventional wells (SPE #’s 125530, 125532, 175122, 180209, 180974), and is the author of Chapter 8 (Application of Numerical Models) in SPEE Monograph # 4 “Estimating Ultimate Recovery of Developed Wells in Low-Permeability Reservoirs” (2016).    jim.erdle@cmgl.ca



An Introduction to California Oil Industry Legislation and Regulations

 By Dr. John P. Yu

Where: Room 355, Science Building II, CSUB, Bakersfield 93311.

Dear SJV SPE Members,

The SPE is pleased to announce an Introduction to California Oil Industry Legislation and Regulations course in Bakersfield on the 3rd-4th June 2019 at California State University Bakersfield.

This two-day course is an introduction to California oil & gas legislation and regulations, which will cover: general statutes and regulations associated with new drills, injection wells, abandoned wells, idle wells; well stimulation applications (SB4) and inspection requirements; and the underground injection control (UIC) and aquifer exemption application processes.   The course also describes relationship between the EPA, Water Board, Kern County and DOGGR during the permitting and project review processes.  

The cost of the course will be $990 for SPE members and $1,200 for non SPE members. (SPE annual membership is $110).  Registration is required by 30th April, but registration is encouraged sooner as this is expected to be a popular course.

Class time will be 8 am to 5pm. Lunch will be provided. Registration starts at 7:45 am

For additional information, please contact Gwyn Mali (gwynmali@yahoo.co.uk).


SJV SPE Continuing Education



Dr. John Yu is a part-time lecturer at CSUB. He has previously worked for DOGGR and the California State Lands Commission for 20 years.  During his time at DOGGR, he was an Associate Oil & Gas engineer for permit approval, UIC and aquifer exemption review, and served as a trainer in several technical applications. Prior to working with regulators, he worked with as a petroleum engineer for 15 years and taught at West Virginia University for an additional 6 years.


The course will be held in Room 355 of Science Building II at CSUB.  For access, please use the Camino Media entrance behind Edwards Cinema and park at car parks H or I (fee required).  The class is on the third floor of the Science II building which is about 300-400 yards into the campus. 

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