A new generalized well-management scheme has been formulated to maximize oil production under multiple facility constraints. The scheme integrates reservoir performance, wellbore hydraulics, surface facility constraints, and lift-gas allocation to maximize oil production. It predicts well performance on the basis of up-to-date hydraulics and reservoir conditions. The scheme has been implemented in a black oil simulator by using separable programming and simplex algorithm. This production optimization scheme has been applied to two full-field models. The oil production of these two full-field models is limited by water, gas, and liquid handling limits at both field and flow-station levels. The gas production is limited by injectivity and gas handling limits. For a 12-year production forecast, the new scheme increased oil production by 3 to 9%.