An Innovative Reservoir Simulator Can Help Evaluate Hot Water Production for Economic Development of Australian Geothermal Reservoirs

Abstract

Prediction of hot water production from fractured geothermal reservoirs remains a major challenge for economic evaluation and therefore, development of these resources, particularly where fractured systems are not well interconnected (such as Australian Enhanced Geothermal Systems). This paper presents an innovative methodology for estimation of hot water production by incorporating three models, namely reservoir characterization model, effective permeability tensor model and production model. This comprehensive methodology is used for estimating hot water production from a typical Australian geothermal reservoir. The integrated model can be used to determine whether a given geothermal reservoir needs hydraulic fracture stimulation. Moreover it can be used for design and optimization of parameters of production system such as water injection rate and well spacing. Results of this work show that fracture density and matrix permeability play a significant role in economic development of geothermal reservoirs in general and Australian Enhanced Geothermal System in particular.