<p>Reservoir X has high-conductivity fractures developed in the gas-water reservoir. During development, severe edge and bottom water invasion occurs, and after water appears in gas wells, water production rapidly increases and even quickly floods the wells. Pilot experiments such as gas injection to block water in the reservoir have shown no significant effects. The discussion indicates that reservoir drainage has become the main research direction for the next phase of production. Since the reservoir shows no obvious patterns when studied using equivalent models, an embedded discrete fracture model was used to characterize and represent the highconductivity fracture network in the eastern area of the reservoir based on the water production characteristics. Sensitivity analysis of the high-conductivity fracture network in the eastern area was conducted, and reasonable drainage indicators for the eastern area were optimized. The results show that the embedded discrete fracture model can effectively characterize the high-conductivity fracture network; The fracture length, aperture, and permeability of high-conductivity fractures significantly impact development effects. The greater the fracture length and aperture, the more severe the edge and bottom water invasion, and the more local residual gas remains; The optimal production-to-injection ratio in the eastern area of the reservoir is between 15 and 20 m³/10⁴ m³. The conclusions suggest that the research results can provide certain reference value for field production.</p>