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The permit approval is explained by contemporaneous regulatory documentation. Approval is explicitly conditioned on: (1) setback requirements tied to lateral section geometry and wet shoe completion design (Commission Order 34633); (2) federal minerals coordination with BLM (NDIC notification 1/12/2
Updated 2026-03-22 · was Jan 20, 2026 · +3 pages · Full diff →

🛢️ QUARNE 2-11-14-23 3HF

Phoenix Operating LLC · Williams County, ND · File #42638 · Generated 2026-05-26 02:39

API
3310506780
Target Formation
Bakken Formation
Permit Explained
Yes

📋 Permit Cycle Assessment

The permit approval is explained by contemporaneous regulatory documentation. Approval is explicitly conditioned on: (1) setback requirements tied to lateral section geometry and wet shoe completion design (Commission Order 34633); (2) federal minerals coordination with BLM (NDIC notification 1/12/2026); and (3) adjacent spacing unit notification and directional drilling disclosure per NDIC Order 31848 (affidavit 12/31/2025). All conditions address non-routine aspects of the multi-well horizontal pad geometry and cross-boundary wellbore trajectory, which differentiate this approval from routine single-well applications. Construction notification requirement is standard conditional approval language.

🔍 Permit Cycle Signals (5)

Commission Order No. 34633 - Setback conditions tied to well geometry and 2560-acre spacing unit definition (Sections 2, 11, 14, 23, T159N, R103W)
Direct
📄 APD Stipulations - NDIC Field Order Info
📅 Unknown (Missing confidence)
Directly conditions permit approval: 150' setback north/south, 500' setback east/west, with exception for lateral sections cemented with wet shoe and frac-out capability. This non-routine setback variance requires production liner geometry justification.
Bakken Setback Summary - Production liner cemented in lateral with wet shoe and ability to frac out shoe justifies reduced setback conditions
Supporting
📄 APD Stipulations - Bakken Setback Summary Statement
📅 Unknown (Missing confidence)
Explicitly addresses technical basis for setback waiver conditioning the permit. Well geometry and completion design directly justify approval conditions.
Federal minerals notification requirement - NDIC correspondence dated 1/12/2026 requires operator contact with BLM Dickinson office (701-227-7713) regarding federal permit jurisdiction within 2560-acre spacing unit
Direct
📄 Email from Nathaniel Erbele (NDIC) to Phoenix Operating, dated 1/12/2026
📅 2026-01-12 (Exact confidence)
Identifies contemporaneous pre-approval condition: operator must coordinate federal permitting for wells within spacing unit subject to federal mineral jurisdiction. Email lists all five wells in pad, including 3HF.
NDIC Order No. 31848 - Adjacent spacing unit notification requirement; operator must provide directional drilling plan, casing design, cementing details, and contact information to offset operator (Koda Resources)
Direct
📄 Affidavit of Tori Siemieniewski, Director – Bakken Regulatory, dated 12/31/2025 (acknowledgement)
📅 2025-12-31 (Exact confidence)
Regulatory order conditioning drilling approval: wellbore trajectory crosses adjacent spacing unit; formal notification and technical disclosure to offset operator required before spud. Non-routine multi-well pad geometry triggers this obligation.
Construction commencement notification requirement - Operator (Phoenix) must contact NDIC Field Inspector Gunther Harms (701-770-2564) prior to location construction
Supporting
📄 APD Stipulations - Conditions of Approval
📅 Unknown (Missing confidence)
Permit condition requiring pre-construction regulatory checkpoint. Standard for horizontal pads with multi-well geometry.

📖 Historical Context (3)

Grenora-Bakken Pool definition - Interval from 50 feet above Bakken Formation top to 50 feet below Three Forks Formation top
📄 APD Stipulations - NDIC Field Order Info (pool definition) · 📅 Unknown
Persisting structural definition affecting all future development in spacing unit; defines target interval and lateral placement constraints for this and offset wells throughout 2560-acre unit.
Closed mud system requirement with no cuttings pit; remote or automatic shutoff devices required on all equipment
📄 APD Stipulations - Permit Review Policy · 📅 Unknown
Operational constraint applying to drilling and completion phases; affects waste management, environmental compliance, and equipment configuration throughout well lifecycle.
Conductor casing restriction - Conductor may only be set on permitted wells
📄 APD Stipulations - Conditions of Approval · 📅 Unknown
Structural drilling constraint affecting surface casing program; requires adherence throughout pad development and future offset drilling.

🔧 Operator Pattern

Phoenix Operating LLC executing multi-well horizontal development on contiguous pad with coordinated permits and federal/state regulatory compliance protocols
Five wells (1HF, 2HF, 3HF, 4HF, 5HF) permitted from single pad (Lot 3 & 4, Section 2, T159N, R103W); coordinated federal mineral notification (1/12/2026 email listing all five wells); single affidavit addressing offset notification obligations for all wells; unified location plat with shared infrastructure (containment, flare, access roads); operator proactively addresses cross-boundary trajectory disclosure requirements.
Confidence: High
Permit approval date (05/15/2026 dirt work date, file 42638) is explicitly stated. All major conditioning signals are documented with exact or near-exact dates: federal minerals notification (1/12/2026), adjacent spacing notification affidavit (12/31/2025 acknowledgement), and Commission Order 34633 reference in stipulations. Setback justification tied directly to well design (production liner, wet shoe). No date contradictions or internal inconsistencies. Standard APD boilerplate (mud system, shutoff devices, conductor restriction) correctly excluded from permit-cycle analysis as non-differentiating. Adjacent spacing and federal coordination signals are time-bound and materially condition approval.