Theoretically, ultimate water-cut (WCult) defines stabilized well's oil and water production rates for uncontained oil pay underlain with water. However, in a real multiwell reservoir, the well's drainage area is contained by a no-flow boundary (NFB) that would control water coning, so the WCult concept should be qualified and related to the well-spacing size. Also, the presently used WCult formula derives from several simplifying assumptions, so its validity needs to be verified. The study shows that in multiwell bottom-water reservoirs, the production water-cut would never stabilize (after initial rapid increase) but would continue increasing at slow rate dependent on the production rate and well-spacing size. At each production rate, there is a minimum well-spacing size above which water-cut becomes practically constant at the value defined here as pseudoWCult. A new formula—developed in this study—correlates the minimum well-spacing with reservoir properties. Further, formula for pseudoWCult is derived by considering radial flow distortion effects in the oil and water zones. It is found that for well-spacing larger than the minimum well-spacing, the two effects-when combined-do not change the water-cut value. Thus, in practical applications, for sufficiently large well-spacing, the pseudoWCult values can be computed from the presently used WCult formula. The pseudoWCult concept has potential practical use in well-spacing design for ultimate recovery determined by the water cut economic limit, WCec. When the water-cut economic margin (WCec–WCult) is large, well-spacing has little effect on the ultimate recovery, so large well-spacing could be designed. However, when the water-cut economic margin is small, reservoir development decision should consider increase of final recovery by reducing well-spacing below the minimum well-spacing.

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