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There is a natural limit to when LGR is capable to support Peaceman approximation which .

This can be illustrated on the case of isotropic permeability and square grid.

Formula 

LaTeX Math Block Reference
anchorre_simple
 assumes that external boundary of drainage area is greater than well radius which introduces a natural limitation to applicability of the Peaceman approximation for pressure calculations in near-well reservoir zone with 
LaTeX Math Inline
body D_{\perp} < 2.5 \, r_w
. 

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