Abstract: A special thin layer of bottom water reservoir has developed in Hutubi River Layer in Luliang Oilfield of Xinjiang.
This kind of reservoir has thin thickness，small sand body amplitude and large bottom-water energy. Drilled with horizontal
well，this kind of reservoir has possessed some characteristics such as short water free production period and water-cut with
faster ascending velocity and big decline production. Aiming at solving these problems，we established the horizontal wellbore
model which takes the pressure loss into consideration with the numerical simulation method，and obtained the pressure
distribution of horizontal wells and the influence of horizontal section production due to the pressure loss. On this basis，we
analyzed the features of water cresting characteristic of the horizontal well bottom water coning，and judged the location of
water breakthrough in horizontal section. Finally，the paper suggests that the reasonable liquid production can be achieved by
plugging the location of water breakthrough and using pump which has smaller diameter. Such method will control bottom
water coning and decrease the pressure loss and reduce the water cut increasing rate.

Key words: Luliang Oilfield, bottom-water reservoir, pressure loss, numerical simulation, horizontal well