Volume 1: Proceedings of Applied Energy Symposium: MIT A+B, United States, 2019

Optimization framework for integration of shale gas supply chain network and dynamic model of hydraulic fracturing Yuchan Ahn, Prashanth Siddhamshetty, Kaiyu Cao, Joseph Kwon,

Abstract

Several approaches have been developed to illustrate shale gas supply chain network (SGSCN) in economically viable manner, but the connection between fracture geometry, gas production, and wastewater recovery has not received much attention. When fractures are created in unconventional reservoirs, the final fracture geometry significantly affects shale gas production rate and it indirectly determines the amount of recovered wastewater. To achieve a sophisticated understanding of this complex interaction, we focus on the development of a new framework to integrate dynamic modeling of hydraulic fracturing (HF), a reservoir simulator call CMG, and SGSCN. Based on this developed framework, we will determine the optimal configuration of SGSCN that maximizes the profit over a long-term planning horizon formulating a mixed-integer linear programming problem. The proposed method has been applied to two case studies to demonstrate its superiority over other existing approaches.

Keywords shale gas, hydraulic fracturing, dynamic modeling, supply chain network, Marcellus shale play

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