File #42712 | Phoenix Operating LLC | Divide County
API
3302301766
Target Formation
Bakken / Three Forks Petroleum System
Permit Explained
Yes
Permit Cycle Assessment
The permit approval (2026-02-12) is explained by Commission Order No. 34326, which conditions approval on specified setback compliance within a 1920-acre spacing unit (Sections 25, 26, 27, T162N, R95W). The east boundary setback (150') is non-routine and directly conditioned on the proposed completion design: production liner cemented in the lateral with wet shoe and fracture-out capability. Pre-permit materials establish legal compliance: directional survey and location plat (certified 2026-02-07) confirm surface hole location and lateral geometry within spacing unit; backbuild order waiver letter (2026-02-09) satisfies NDIC Orders 31848 & 31973 adjacent spacing unit notification requirements by establishing operator identity across both units; drilling/cementing plan and closed-mud-system specifications support execution conditions. All permit-cycle signals tie directly to the approval date and the regulatory order conditioning it.
Permit Cycle Signals (5)
Commission Order No. 34326 conditioning approval on setback compliance (500' north/south, 150' east/west within 1920-acre spacing unit) (2026-02-12)
Direct regulatory order explicitly conditioning the permit approval; setback tied to specific spacing unit geometry and non-routine east boundary modifier based on production liner design with wet shoe fracture-out capability
East setback (150') conditioned on production liner cemented in lateral with wet shoe and ability to frac out the shoe (2026-02-12)
Non-routine completion design requirement that directly justifies the east boundary setback modification; ties permit geometry to specific well engineering
Backbuild Order Waiver request letter dated 2026-02-09 addressing multi-well directional drilling from single pad with wellbores entering target spacing unit (Bakken Petroleum System) from adjacent unit; operator is also leaseholder in adjacent spacing units (2026-02-09)
Pre-permit notification addressing NDIC Orders 31848 & 31973 requirements for adjacent spacing unit well entry; operator self-notification adequate because Phoenix Energy holds both spacing units, eliminating third-party notification obligation
Well location plat and directional survey (Taktikal Directional, dated 2026-02-07) submitted with certified survey coordinates; surface hole at NW NW Sec 27, lateral extends into Sec 25 with measured depth to 25,220 feet targeting Middle Bakken (2026-02-07)
Pre-permit technical submission establishing wellbore geometry within spacing unit constraints; supports setback compliance validation and anticollision clearance
Proposed drilling and cementing plan (casing program, mud system, cement volumes, stimulation restrictions) submitted with APD; closed-loop mud system with licensed disposal facility (Smoky Butte Environmental) and diesel-based compound exclusions in frac fluid specified (2026-02-09)
Technical operating plan supporting permit conditions; closed mud system and disposal routing condition permit execution
Historical Non-Routine Signals (2)
Noonan-Bakken Pool definition established: interval from 50 feet above top of Bakken Formation to 50 feet below top of Three Forks Formation (Unknown)
Pool definition governs completion interval constraints and offset well notification obligations (within 2,640 feet of completion intervals triggers 21–31 day advance notice requirement per APD operator assertion page 7); applies to all future well operations in this spacing unit and adjacent areas
Multi-well pad development: SPACKLER 27-26-25 pad designed for 5 horizontal wells (1H, 2H, 3H, 4H, 5H) plus adjacent CADDYSHACK wells (1H, 2H, 3H, 4H, 5H) and saltwater disposal well (SPACKLER 1 SWD, CADDYSHACK 1 SWD); pad disturbance approximately 15.67 acres with interim reclamation plan (2026-01-21)
Pad infrastructure and surface disturbance footprint establish long-term operational baseline for future well operations, maintenance, and reclamation obligations; SWD well operations affect produced water disposal strategy for all wells on pad
Historical Operator Profile
Total Wells:N/A
Active Wells:N/A
Notable Patterns:None identified
Confidence Assessment
Level: High Rationale: Permit approval date is clear (2026-02-12). Commission Order No. 34326 is explicitly cited in stipulations as the direct conditioning order. Setback specification (500'/150') and non-routine east boundary modifier tied to wet-shoe completion design are clearly stated. Pre-permit materials (directional survey 2026-02-07, backbuild waiver letter 2026-02-09, drilling plan 2026-02-09) are dated and directly support approval conditions. APD operator assertions and technical submissions establish permit-cycle documentation chain. No material date inversions or conflicting temporal references. Pool definition is present but undated (historical context). Multi-well pad development is clearly documented with revision history.