Publications

As its reservoir pressure gradually declines, oil production from a gas cap drive reservoir will also decrease, whereas gas production will start to increase, indicated by rising GOR. A gas cap drive reservoir is a typical reservoir in South Sumatra Extension (SSE) Block, where Medco E&P Indonesia has been operating for more than 20 years.Associated gas from a gas cap drive reservoir usually requires the addition of relatively expensive compression facilities in order to boost pressure to meet delivery requirements. This paper analyzes the compression installation strategy & planning needed to maximize overall profitability by considering gas production forecast, capital and operating costs, reliability, and gas price variation at certain time intervals. Methods used in this paper include specific optimization algorithm procedure and Monte Carlo analysis to take into account various uncertainties. The results of this paper can be used to optimize associated gas production and to considerably improve profitability through certain operation methods and strategies.