A technique for the sequential generation of perpendicular-bisectional (PEBI) grids adapted to flow information is presented and applied. The procedure includes a fine-scale flow solution, the generation of an initial streamline-isopotential grid, grid optimization, and upscaling. The grid optimization is accomplished through application of a hybrid procedure with gradient and Lapla-cian smoothing steps, while the upscaling is based on a global-local procedure that makes use of the global solution used in the grid-determination step. The overall procedure is successfully applied to a complex channelized reservoir model involving changing well conditions. The gridding and upscaling procedures presented here may also be suitable for use with other types of structured or unstructured grid systems.
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