CAES (Compressed air energy storage) is credited with its potential ability for large-scale energy storage. Generally, it is more convenient using deep aquifers than employing underground caverns for energy storage, because of extensive presence of aquifers. During the first stage in a typical process of CAESA (compressed air energy storage in aquifers), a large amount of compressed air is injected into the target aquifer to develop an initial space (a gas bubble) for energy storage. In this study, numerical simulations were conducted,to investigate the influence of aquifer's permeability, geological structure and operation parameters on the formation of gas bubble and the sustainability for the later cycling operation. The SCT (system cycle times) was designed as a parameter to evaluate the reservoir performance and the effect of operation parameters. Simulation results for pressure and gas saturation results of basic model confirm the feasibility of compressed air energy storage in aquifers. The results of different permeability cases show that, for a certain scale of CAESA system, there is an optimum permeability range for a candidate aquifer. An aquifer within this permeability range will not only satisfy the injectivity requirement but also have the best energy efficiency. Structural impact analysis indicates that the anticline structure has the best performance to hold the bubble under the same daily cycling schedule with the same initial injected air mass. In addition, our results indicate that the SCT shows a logarithmic growth as the injected air mass increase. During the formation of gas bubble, compressed air should be injected into aquifers with moderate rate and the injection can be done in several stages with different injection rate to avoid onset pressure. (C) 2016 Elsevier Ltd. All rights reserved.