We will conduct continuum simulations based on lattice Boltzmann method (LBM) of the nanoemulsion PCM and particle sedimentation in drilling fluid. The continuum simulations will enable us to gain overall understanding of hydrodynamic interactions of water/oil interface, particles, and capillary bridging phenomena, and suggest the optimal geometrical characteristics and material properties for the PCM and barite particles. As any physical situation that involves multiple fluid components such as water and oil, and solid particles (in OBDF) and paraffin particles in water (in PCM nanoemulsion) may be difficult to investigate experimentally in a fully controlled manner, insight can be gained by supplementing experiments with an appropriate computational model. CCNY team will develop a Fluid-Fluid-Particle (FFP) LBM. It incorporates fully coupled interaction between drops, immersed solid particles, and the ambient atmosphere.