Abstract: The technique of horizontal well is an effective means to exploit the residual oil within the thick oil layer of positive rhythm with high-content water cut in self- contained pool in Shengli oilfield.Because the production is influenced by interlayer,enrichment thickness ofresidual oil and producing parameter of horizontal well,base on residual oil distribution features,the numerical simulation technique is utilized to analyze the limit of development technique of horizontal well. The study shows that the technique achieves an excellent production effect in the thick oil layer in self-contained pool.