Abstract: A well group numerical simulation to naturally fractured buried hill reservoir was carried out for studying the influence of well pattern and space on water producing during development process. Through the sensitivity analyses of geologic and technology parameters as fracture permeability, occasion water injection and water plugging etc., the main water cut escalating property is concluded. According to the comprehensive result of single well and well group model, the function form of the relationship between water cut and recovery percent of reserves is found. The relational expressions between the coefficients and reservoir parameters are given using the method of multivariate regression. These expressions include geologic and technology parameters and separate the fracture and matrix. Thus its calculation result will be mo re accurate and reliable.