METHOD OF HYDROCARBON RESERVOIR SIMULATION USING STREAMLINE CONFORMAL GRIDS

A system and method of simulating fluid flow in a hydrocarbon reservoir is disclosed. The method includes obtaining a coarse grid model of the hydrocarbon reservoir and a trajectory of a wellbore that penetrates the hydrocarbon reservoir, and determining an initial grid geometry surrounding the trajectory. The method further includes constructing a reservoir simulation grid, conformal to the initial grid geometry in a first region in a vicinity of the wellbore and conformal with the coarse grid model in a second region more distant from the wellbore than the first region, and performing a hydrocarbon reservoir simulation, modeling a flow of fluid in the hydrocarbon reservoir based, at least in part, on the reservoir simulation grid.