Budate buried hill reservoir is a epimetamorphosed fractured basement reservoir with dual porosity. Both matrix porosity and fracture porosity contribute to its oil saturation. The theory of capillary pressure balance in the process of hydrocarbon accumulation is used to establish the functional relationship between oil column height and matrix porosity for calculating oil saturation in matrix porosity. The total oil saturation of buried hill reservoir with dual porosity can be calculated by using the empirical parameters of fracture oil saturation. Formation test data

production test data and initial fluid production are correlated with the logging responses of the corresponding perforated intervals in different fault blocks in the study area. The correlated logging curves are then used to calculate matrix porosity

fracture porosity and total oil saturation of the reservoir. The calculation results are separately crossplotted with resistivity curve parameters to generate chart boards for interpretation of oil

water and oil/water layers in different fault blocks. The interpretation results of oil and water layers in each wells are used to systematically analyze production performance and oil/water contact. Budate buried hill reservoir is divided into four oil/water systems each with a uniform oil/water contact. They are in good conformance with the geological characteristics and reservoir types. These methods can guide planning and program adjustment of buried hill reservoir development.