🛢️ STOUT 1301-2BH

KODA RESOURCES OPERATING, LLC · Divide County, ND · File #41751 · Generated 2026-02-13 12:33

API: 3302301603
Target Formation: Middle Bakken
Permit Explained: Yes

📋 Permit Cycle Assessment

The well file contains contemporaneous documentation that explains the permit approval dated 03/01/2025 (Dirt Work Date). The permit-cycle explanation rests on five key signals: (1) Commission Order No. 33923 stipulation governing setback geometry and completion design (wet shoe frac-out capability); (2) geologist-approved Open Hole Log waiver dated 04/11/2025 citing offsetting well Stout 1301-4BH as formation-top correlation basis; (3) State Geologist sampling directive dated 03/31/2025 establishing post-drilling sample and core delivery obligations; (4) completed anticollision analysis dated 01/09/2025 demonstrating separation compliance across nine offset wells; and (5) closed mud system and waste disposal conditions. Pre-permit submissions (drilling plan with casing design, directional planning, formation tops, cementing program, and BOP specifications) provide engineering support for the stipulation conditions. The waiver to Commission Order 31848 (cross-spacing-unit notification) is also contemporaneous, indicating operator control of both spacing units eliminates adjacent-operator notice requirement. The spud notification (05/23/2025) and open-hole-log waiver approval (04/11/2025) both post-date the permit approval (03/01/2025), confirming the permit anchored subsequent drilling operations.

🔍 Permit Cycle Signals (5)

Commission Order No. 33923 stipulation: 150° setback from north/south boundaries and 1220' setback from east/west boundaries within 1920-acre spacing unit (Sections 1, 12, 13, T160N, R102W); production liner cemented in lateral with wet shoe and ability to frac out shoe.

Direct

📄 APD Permit, Page 1 (STIPULATIONS - NDIC Field Order Info)
📅 2025-03-01 (Inferred confidence)

Setback stipulation directly conditions horizontal lateral geometry and cement design. Wet shoe design with frac-out capability is non-routine completion constraint tied to setback compliance.

Open Hole Log Waiver approved 04/11/2025 under NDIC Rule 43-02-03-31. Offsetting well Stout 1301-4BH (NDIC File #41753) within 1 mile will have open logs; GR-CBL to run from TD to ground level on this well.

Direct

📄 Sundry Form 240720 (Request for Consideration/Waiver - Logs & Testing), Pages 1-2; Reviewer approval dated 04/11/2025 by Ross Edison, Geologist
📅 2025-04-11 (Exact confidence)

Waiver explicitly references offsetting well within 1-mile radius as basis for formation-top correlation sufficiency. This is a regulator-approved deviation from standard logging requiring technical justification tied to offset well data.

Cores and Samples directive (dated 03/31/2025) from State Geologist requires sample collection from Base of Last Charles Salt at 30' intervals (vertical/build) and 200' intervals (horizontal); samples to state library within 30 days of drilling completion; cores within 180 days. No coring planned per drilling plan.

Direct

📄 Letter from Ross Edison, Geologist, Department of Mineral Resources, dated 3/31/2025; Drilling Plan Section 5 (Evaluation Program)
📅 2025-03-31 (Exact confidence)

Regulator-mandated sampling program is time-bound to drilling completion and establishes post-drilling collection and delivery obligations. Directly conditions evaluation requirements for this horizontal Bakken well.

Anticollision analysis completed 01/09/2025 for Stout 1301-2BH Design #1 evaluating separation from 9 offset wells (Stout 1301-1BH, 1301-3BH, 1301-4BH, 13-1 SWD, 1336-5BH, 1336-6BH, 1336-7BH, 1336-8BH). Minimum separation factor 2.206 at TD (Stout 1301-1BH); all offsets meet collision avoidance thresholds.

Supporting

📄 KLX Anticollision Report (09 January 2025), Summary Table and Ladder Plot; APD Drilling Plan Section 8 references anti-collision modeling submitted.
📅 2025-01-09 (Exact confidence)

Anti-collision modeling is submitted pre-permit as supporting technical justification for horizontal wellbore trajectory within multi-well pad geometry. Separation factors confirm design compliance with offset avoidance.

Closed mud system with no cuttings pit required per permit; closed loop system to be utilized during all drilling operations; drill cuttings to be disposed at 13 Mile Landfill, Williston, ND.

Direct

📄 APD Permit, Page 1 (STIPULATIONS - Permit Review Policy); Drilling Plan Section 4 (Drilling Fluids Program)
📅 2025-03-01 (Inferred confidence)

Closed mud system is standard stipulation but is explicitly condition of approval tied to environmental compliance and waste disposal authorization. Not waived or modified for this permit.

📖 Historical Context (5)

Fertile Valley-Bakken Pool definition per permit: accumulation of oil and gas from 50 feet above top of Bakken Formation to above top of Birdbear Formation. This pool definition is established for the entire 1920-acre spacing unit and conditions all future completions, recompletions, and commingling within the unit.
📄 APD Permit, Page 1 (STIPULATIONS - NDIC Field Order Info) · 📅 Unknown
Pool definition is fixed by permit and applies to all wells in the spacing unit (Sections 1, 12, 13, T160N, R102W). Future drilling or completion operations in this unit must honor this formation-top boundary. Non-routine if pool redefinition is later sought.

Conductor pipe may only be set for permitted wells per permit stipulation; Construction Commencement requires notification to NDIC Field Inspector Gunther Harms at 701-770-2564 prior to location construction.
📄 APD Permit, Page 1 (STIPULATIONS - Conditions of Approval) · 📅 Unknown
Ongoing operational control: conductor installation is restricted to permitted wells only (prevents unpermitted lateral drilling from this pad). Pre-construction notification is mandatory and creates a regulatory touchpoint for field compliance oversight.

Surface Use Agreement dated effective 07/12/2024 between KODA Resources Operating, LLC and Timothy L. Kingstad (surface owner) covers all injury/damage liability for drilling, completing, and producing operations on the Stout 13 Pad wells.
📄 Affidavit of Surface Use Agreement (08 January 2025, notarized) · 📅 Unknown
Establishes ongoing surface owner liability framework for entire pad operations. Persists through completion, production, and abandonment phases. Non-standard if surface owner claims or disputes arise post-drilling.

KODA Resources Operating, LLC holds 91.56% working interest in Sections 1, 12 & 13 spacing unit (Stout 1301 wells) and 71.30% working interest in Sections 24, 25 & 36 spacing unit (Stout 1336 wells). Operator controls both units but must manage minority interest obligations.
📄 Affidavit of Working Interest (08 January 2025); Waiver to Commission Order 31848 request (January 8, 2025) · 📅 Unknown
Working interest structure determines revenue distribution, consent authority, and regulatory compliance obligations. Minority interests may hold approval rights for future drilling, completion changes, or spacing unit modifications. Lower WI percentage (71.30%) in Stout 1336 unit may trigger future consent or dispute events.

Filter sock and leakproof container requirements per NDAC 43-02-03-19.2 and August 28, 2023 NDIC guidance letter. Container must be leakproof, covered, placarded, and remain on-site during spud, clean-out, completion, and flow-back whenever filtration is conducted.
📄 NDIC letter dated August 28, 2023 (Filter Socks and Other Filter Media) · 📅 Unknown
Standing regulatory requirement that applies to all North Dakota oil and gas wells drilled after June 1, 2014. Operator must maintain compliant container throughout drilling and completion phases. Failure to comply subjects operator to solid waste permit violation.

🔧 Operator Pattern

KODA Resources Operating, LLC demonstrates multi-well pad development strategy with coordinated directional geometry across 8-well pad (4 wells per spacing unit). Operator secured waivers (Order 31848, three-day waiting period) and regulatory approvals (open hole log waiver, Commission Order 33923 compliance) pre-spud. Working interest control in both spacing units (91.56% and 71.30%) enables single-operator pad execution without multiple third-party consents.
Anticollision analysis references 9 offset wells (including 3 within the Stout 1301 pad and 4 within Stout 1336 pad). Drilling plan specifies closed-loop mud system, MWD-only logging (waiver-approved), plug-and-perf frac design. Surface Use Agreement with single surface owner (Timothy Kingstad) covers entire pad. Waiver requests dated January 2025 (Order 31848, three-day waiting period) indicate operator prepared to commence operations immediately post-permit approval.

Confidence: High
Permit-cycle signals are directly sourced from regulator-issued orders (Commission Order No. 33923), approved waivers (open hole log waiver dated 04/11/2025), and state geologist directives (cores and samples letter dated 03/31/2025). Anticollision analysis is dated and completed pre-permit. Spud notification (05/23/2025) confirms actual drilling commenced after permit approval. No contradictions or missing contemporaneous documents identified. Operating constraints (setbacks, wet shoe design, closed mud system) are explicitly stipulated in the permit. Historical signals (pool definition, working interest, surface agreement) are extracted from documented permits and affidavits with clear forward operational impact.