Production optimization such as optimal gas lift allocation to maximize oil production can be a non-smooth and non-convex optimization problem. In this paper, we describe the derivative free Discrete Gradient Method (DGM), with local, global and multi-start search options for non-convex and non-smooth gas lift production optimization. Results of numerical experiments with published petroleum industry test problems show that the four variants of DGM are capable algorithms. Although the DGM is best suited for non-smooth and non-convex optimization problems, it can also be used to locate reasonable solutions for smooth convex gas lift optimization problems.

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