We consider deflation-based pre-conditioning of the pressure equation for large-scale reservoir models with strong spatial variations in the permeabilities. The use of deflation techniques involves the search for good deflation vectors, which usually are problem-dependent. We propose the use of proper orthogonal decomposition (POD) to generate physics-based problem-specific deflation vectors. The use of POD to construct pre-conditioners has been attempted before but in those applications, a snap-shot-based reducedorder basis was used as pre-conditioner directly whereas we propose the use of basis vectors as deflation vectors. We investigate the effectiveness of the method with numerical experiments using the conjugate gradient iterative method in combination with Incomplete Cholesky preconditioning (ICCG) and PODbased deflation (DICCG). We consider incompressible and compressible single-phase flow in a layered model with large variations in the permeability coefficients, and the SPE10 benchmark model. We obtain an important reduction for the number of iterations with our proposed DICCG method in comparison with the ICCG method. In some test problems, we achieve convergence within one DICCG iteration. However, our method requires a number of preparatory reservoir simulations proportional to the number of wells and the solution of an eigenvalue problem to compute the deflation vectors. This overhead will be justified in case of a large number of subsequent simulations with different control settings as typically required in numerical optimization or sensitivity studies.
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