🛢️ STOUT 1831-5BH

KODA RESOURCES OPERATING, LLC · Divide County, ND · File #40582 · Generated 2026-02-13 12:33

API: 3302301534
Target Formation: Middle Bakken
Permit Explained: Partially

📋 Permit Cycle Assessment

The well file contains contemporaneous technical and regulatory documentation that directly justifies core permit conditions. Commission Order No. 33007 setback stipulations (150°/500' geometry) are anchored to well completion engineering (wet shoe design with frac-out capability) documented in the Drilling Plan and Completion Report. Anti-collision avoidance modeling (KLX report, 2023-11-09) demonstrates separation compliance with offset Stout 1831-4BH. Open hole log waiver was pre-approved by NDIC (2024-03-19) based on offsetting well data sufficiency. Confidential status was granted post-spud (2025-08-06). However, the file does not contain an explicit permit approval letter anchored to the new permit date; the APPLICATION FOR PERMIT document is undated and lacks final regulator sign-off. The well completion report (dated 2025-08-05) and production test results (2025-07-17) post-date typical permit approval but are consistent with development sequence. No pre-permit correspondence explaining the specific trigger for permitting (e.g., unit development timeline, acreage assessment, operator request) is present.

🔍 Permit Cycle Signals (5)

Commission Order No. 33007 setback stipulation conditioning approval on 150° setback from north/south boundaries and 500' setback from east/west boundaries within 1920-acre spacing unit.

Direct

📄 APPLICATION FOR PERMIT FOR NEW WELL - HORIZONTAL, STIPULATIONS section
📅 2025-01-01 (Inferred confidence)

Core well geometry constraint tied to regulatory order; directly conditions permit issuance and drilling operations.

South setback justified by production liner cemented in lateral with wet shoe and ability to frac out shoe; technical specification supporting setback waiver rationale.

Supporting

📄 APPLICATION FOR PERMIT FOR NEW WELL - HORIZONTAL, Bakken Setback Summary Statement
📅 2025-01-01 (Inferred confidence)

Engineering justification for non-standard setback treatment; explains deviation from routine conditions.

Anti-collision avoidance modeling submitted for pad addressing offset well geometries; Separation Factor minimum 2.006 at total depth (TD) relative to Stout 1831-4BH, exceeds safety threshold.

Supporting

📄 KLX Anticollision Report, Summary and Separation Factor Plot
📅 2023-11-09 (Exact confidence)

Directional drilling risk mitigation directly conditioning well placement; demonstrates compliance with collision avoidance requirements.

Waiver request for open hole logs approved 2024-03-19 under NDIC Rule 43-02-03-31, based on offsetting Amber 1301-4BH within one mile with sufficient formation top data; GR-CBL to be run from TD to surface.

Direct

📄 WELL SUNDRY FORM FILE NUMBER 40582, FORM ID 175187, open hole log waiver request
📅 2024-03-19 (Exact confidence)

Regulatory waiver conditioning logging program; explicitly approved by regulator prior to drilling commencement.

Confidential status request effective 2025-07-14 (initial production date) approved 2025-08-06; 150-day confidential period ending 2026-01-14.

Direct

📄 WELL SUNDRY FORM FILE NUMBER 40582, FORM ID 262484, Confidential Status Request
📅 2025-08-06 (Exact confidence)

Regulatory approval restricting production data disclosure for specified period; conditions operator reporting obligations.

📖 Historical Context (4)

Surface Use Agreement with surface owner (Marian Rasmussen Estate, Gerald Rasmussen Estate, Alvin & Jane Schenstad) executed effective 2023-05-01 covering injury and damage indemnity.
📄 AFFIDAVIT OF SURFACE USE AGREEMENT · 📅 2023-05-01
Ongoing surface use covenant creates continuing obligation for operator through producing life; affects reclamation and liability management beyond permit term.

Waiver request to Commission Order No. 34848 requirement to notify adjacent spacing unit operator of directional plans; KODA acknowledged as operator of adjacent unit (Sections 6, 7 & 18, T160N, R102W).
📄 Letter dated 2023-11-14 to Todd Holweger, NDIC Permit Manager · 📅 2023-11-14
Establishes KODA's contiguous operational control reducing inter-operator conflict risk but does not relieve KODA of internal coordination responsibilities for wellbore geometry crossing unit boundaries.

Working interest affidavit: KODA holds 86.35% working interest in 1920-acre spacing unit (Sections 19, 30 & 31, T160N, R102W).
📄 AFFIDAVIT OF WORKING INTEREST dated 2023-11-14 · 📅 2023-11-14
Operator majority control is structural to operational authority and unitization; affects future development options and cost allocation in spacing unit.

Spud date 2025-03-03; well progressed through completion (2025-07-03), production test (2025-07-17), tubing set (2025-08-12), and confidential status approval (2025-08-06), indicating continuous operational progression without documented delays or regulatory holds.
📄 Spud Sundry Form ID 234143 (2025-03-03), Well Completion Report dated 2025-08-05, Tubing Sundry Form ID 264447 (2025-08-12) · 📅 2025-03-03 to 2025-08-12
Execution timeline demonstrates regulatory acceptance of well design and completion methods; sustained operations indicate no post-permit compliance issues.

🔧 Operator Pattern

KODA Resources demonstrates organized pre-drill regulatory compliance and contiguous acreage control. Operator executed surface use agreement 18 months before spud; filed detailed directional planning, anti-collision, and engineering reports; proactively requested Order 34848 waiver based on internal unit control; and secured confidential status approval within 3 weeks of initial production. No waivers were denied, and all technical submissions (surveys, logs, drilling plan, completion report) were approved or received without noted deficiency.
Surface Use Agreement (2023-05-05), KLX Directional and Anticollision reports (2023-11-09), Drilling Plan and Completion Report (2025-08-05), timely sundry filings for waiver requests and operations notifications, and absence of rework or resubmission language in regulator comments.

Confidence: Medium
The file contains substantial technical justification for well geometry, engineering design, and regulatory waivers. However, no dated permit approval letter or explicit regulator decision document anchoring the permit grant is present in the extracted materials. The APPLICATION FOR PERMIT form lacks approval date, sign-off, or conditions summary. The permit was referenced as issued but the specific approval trigger (new unit, operator request, lease deadline) is not documented. Historical context is robust and operational execution is well-documented post-spud, but the permit-cycle explanation would benefit from the formal approval letter or NDIC decision order showing what specific conditions or submissions justified issuance.