LAUSR

The production life of oil reservoirs starts under significant uncertainty regarding the actual economical return of the recovery process due to the lack of oil field data. Consequently, investors and operators make management decisions based on a limited and uncertain description of the reservoir. In this work, we propose a new formulation for robust optimization of reservoir well controls. It is inspired by the multiple shooting (MS) method which permits a broad range of parallelization opportunities and output constraint handling. This formulation exploits coherent risk measures, a concept traditionally used in finance, to bound the risk on constraint violation. We propose a reduced sequential quadratic programming (rSQP) algorithm to solve the underlying optimization problem. This algorithm exploits the structure of the coherent risk measures, thus a large set of constraints are solved within sub-problems. Moreover, a variable elimination procedure allows solving the optimization problem in a reduced space and an iterative active-set method helps to handle a large set of inequality constraints. Finally, we demonstrate the application of constraints to bound the risk of water production peaks rather than worst-case satisfaction.