The Mallik site represents an onshore permafrost-associated methane hydrate accumulation in the Mackenzie Delta, Northwest Territories, Canada. This study focuses on gas production at the Mallik site from hydrate deposits that are underlain by either a free-water zone (Class 2) or an impermeable boundary (Class 3). The production analysis was conducted with a numerical simulator that can model the nonisothermal CH4 release, phase behavior, and flow under conditions typical of CH4-hydrate deposits by solving the coupled equations of mass and heat balance. Accumulations with a CH4-hydrate saturation of at least 50% were studied. Dissociation was induced mainly by a combination of thermal stimulation and depressurization as hot fluids circulated between injection and production wells. The effects of salinity and of pressure changes at the wells were also accounted for. The production strategy resulted in a zero net water production. The simulation results indicated that the amount of CH4 released from the dissociating hydrate deposits is sensitive to the hydrate saturation, the initial temperature, the specific enthalpy, and the flow rate of the circulating fluids.