In this paper, two-phase flow dynamics in a micro channel with various wall conditions are both experimentally and theoretically investigated. Annulus, wavy and slug flow patterns are observed and location of liquid phase on different wall condition is visualized. The impact of flow structure on two-phase pressure drop is explained. Two-phase pressure drop is compared to a two-fluid model with relative permeability correlation. Optimization of correlation is conducted for each experimental case and theoretical solution for the flows in a circular channel is developed for annulus flow pattern showing a good match with experimental data in homogeneous channel case.

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