Find. (a) Depth of gas injection; (b) required gas injection rate.
Check: the original exam supplied blank log-log and grid-paper sheets (source pages 7–10) for the candidate to plot proprietary gradient-curve charts (e.g. This solution instead computes the casing gas column analytically (real-gas static-column equation, $Z\approx0.85$ assumed for this $\gamma_g=0.65$ gas at the pressures/temperatures involved — not given in the source) and the tubing flowing gradient with a homogeneous (no-slip) black-oil mixture model, which is the standard closed-form substitute for a gradient-curve chart at this level of design.
(a) Depth of gas injection
Approach. First fix the required flowing bottomhole pressure from the IPR. Then find the depth at which the OPERATING casing gas-column pressure, less the valve differential, just balances the tubing pressure obtained by unloading formation fluid (GLR = 100 SCF/STB only, no lift gas yet) up from $P_{wf}$ at 8000 ft — that intersection is the point of injection.
Required $P_{wf}$. $P_{wf}=\bar P_r-q_o/J=3000-1000/1=\boxed{P_{wf}=2000\ \text{psi}}$ at 8000 ft.
Casing (operating) static gas column. $P_{csg}(D)=P_{op}\exp\!\left[\dfrac{0.01875\,\gamma_g D}{\bar T(D)\,Z}\right]$, with $\bar T(D)$ the average absolute temperature over 0–$D$ (linear geothermal gradient, 100°F at surface to 200°F at 8000 ft) and $Z\approx0.85$.
Tubing pressure below the injection point. Marching the homogeneous no-slip mixture pressure (GLR = 100 SCF/STB, dead-oil SG $=141.5/(131.5+35)=0.850$) upward from $P_{wf}=2000$ psi at 8000 ft to a trial depth $D$ gives $P_{tbg,below}(D)$.
Balance condition. The valve opens where $P_{csg}(D)-\Delta P_{valve}=P_{tbg,below}(D)$. Solving numerically (bisection) for $D$: $\boxed{D_{inj}=5742\ \text{ft}}$, at which $P_{csg}=1378$ psi and $P_{tbg,below}=P_{inj}=1278$ psi (check: $1378-100=1278$ ✓).
Kick-off check. At the same depth the kick-off line reads $P_{csg,ko}(5742\ \text{ft})=1435$ psi, which clears $P_{inj}+\Delta P_{valve}=1378$ psi by a 57 psi margin — the 1250 psi kick-off pressure is therefore sufficient to unload fluid all the way down to the operating valve before switching to the 1200 psi operating pressure.
(b) Required gas injection rate
Approach. Above the injection point the tubing carries formation gas plus injected lift gas. Find the total GLR whose homogeneous no-slip mixture gradient carries $P_{inj}=1278$ psi at 5742 ft up to $P_{wh}=160$ psi at the surface, then subtract the 100 SCF/STB already supplied by the formation.
Solve for total GLR. Marching the mixture pressure upward from $(D_{inj},P_{inj})=(5742\ \text{ft},1278\ \text{psi})$ to the surface and requiring the top pressure equal $P_{wh}=160$ psi (bisection on GLR) gives $\boxed{\text{GLR}_{total}=213\ \text{SCF/STB}}$.
Injected GLR and rate. $\text{GLR}_{inj}=\text{GLR}_{total}-\text{GLR}_{formation}=213-100=113$ SCF/STB. At the desired $q_o=1000$ STB/day: $\boxed{Q_{gas}=113\times1000/1000=113\ \text{MSCF/day}}$.
Fig. 3 — Pressure-depth traverse: casing kick-off/operating gas columns, the static load-fluid line used to design the unloading sequence, and the tubing flowing pressure below (GLR=100) and above (GLR=213) the point of injection.