Abstract:When considering integrative influence of multi-category and multi-factor on performance indexes and cost prediction,we often are short of quantitatively modeling prediction tool.Since reservoir engineering methods mostly belong to mechanism model and the model with single condition' statistic rule,which is not suitable for quantitative prediction in such conditions.The paper analyzed the feasibility of the technique using functional simulation method to carry out development performance simulation prediction and presented creation of software system to solve concrete application issues.As a practically operational and considering multi-parameter-(including production,cost and work efforts)-constrained controlling and fitting method for predicting development performance,the method can reduce the influences of various complex factors in a process of practical development and be popularized to many associated work fields for application,which provides technical and model basis for deep application of modern optimum technique in oilfield development and further development of optimum controlling analysis.