digilib@itb.ac.id +62 812 2508 8800

Frequency of horizontal well drilling is increasing significantly in last two decades. It indicates that the horizontal well technology is proved to be able to improve oil recovery compared to conventional vertical well. However, prior to decide drilling a horizontal well, we need to evaluate the economics of the well. The evaluation can be done by predicting production of the well during the well's production time. For horizontal wells in reservoir with bottomwater drive, there will be a possibility to form a watercrest when the production rate excess the critical rate. After waterbreakthrough, the water will be produced and therefore the production of oil is reduced. Water cut increases continously until the well reaches it's economic limit. By calculating water cut in instantaneous time during the production life, we can calculate the production and cumulative production of oil. After predicting production data, we can evaluate it's economics and decide, whether the horizontal well will be drilled or not.In this study, we used Fast Horizontal Well Coning evaluation method which have been corrected by applying volumetric efficiency factor to predict horizontal well production and compared to a prediction result from black oil simulator software. Prediction using FHWC method gives a result so close to simulator result that we can use the FHWC method in preliminary performance prediction of horizontal wells.