🛢️ LOGAN FED 4-9-16 4HF

Phoenix Operating LLC · McKenzie County, ND · File #42763 · Generated 2026-04-04 15:56

API: 3305310767
Target Formation: Bakken (Middle Bakken perforation interval)
Permit Explained: Yes

📋 Permit Cycle Assessment

The permit approval (3/12/2026) is explained by Commission Order No. 34507, which establishes the 1920-acre spacing unit geometry and setback framework. The south setback variance (150' vs. standard) is directly justified by the proposed production liner design with wet shoe and frac-out capability, reducing cement-to-surface requirements. Federal permit applicability was confirmed same-day (3/11/2026 BLM referral), establishing that state approval is conditioned on parallel BLM coordination. Off-spacing surface location was pre-approved via executed surface use agreement with Kostelecky JT. Inter-operator notification to Rockport Energy Solutions under NDIC Order 31848 was completed 3/11/2026, satisfying order compliance for adjacent-spacing wellbore disclosure. All permit-cycle preconditions appear satisfied contemporaneously with the approval.

🔍 Permit Cycle Signals (5)

Commission Order No. 34507 referenced as approval basis for horizontal drilling in 1920-acre spacing unit (Sections 4, 9, 16, T145N, R98W) with 150' N/S and 500' E/W setbacks

Direct

📄 Permit page 1, STIPULATIONS section
📅 Unknown (Missing confidence)

Regulatory order directly conditions the permit approval geometry and setback requirements; establishes basis for Charlie Bob-Bakken Pool definition tied to this permit

Production liner cemented in lateral with wet shoe and ability to frac out shoe—stipulation explicitly tied to south setback justification

Direct

📄 Permit page 1, CONDITIONS OF APPROVAL section
📅 3/12/2026 (Exact confidence)

Technical design feature directly justifies non-standard setback relief; permits frac-out operations reducing cement requirement burden on adjacent spacing units

Federal permit applicability notice from NDIC (Doug Jackson, 3/11/2026) requiring BLM coordination for spacing unit containing federal minerals; referral to BLM Dickinson office

Supporting

📄 Email dated 3/11/2026 (day before permit approval 3/12/2026)
📅 2026-03-11 (Exact confidence)

Same-day notice (permit approved 3/12) establishes contemporaneous federal coordination requirement; triggers additional BLM approval pathway as condition of state permit effectiveness

Affidavit of Surface Damage Agreement confirming operator obtained surface use agreement with landowner (Kostelecky JT) for off-spacing surface location in Section 32 SESE, T146N, R98W; multi-well drill plan disclosed

Supporting

📄 Affidavit dated February 2026 (undated day)
📅 2026-02-Unknown (Inferred confidence)

Contemporaneous evidence that operator satisfied surface rights precondition for off-spacing drilling; demonstrates landowner notice and consent for proposed wellbore trajectory outside spacing unit

NDIC Order 31848 compliance affidavit (Meaghan Coughlan, sworn 3/11/2026) documenting operator notification to Rockport Energy Solutions LLC of directional plan, trajectory, and drilling schedule for wells traversing adjacent spacing unit

Direct

📄 Affidavit dated 3/11/2026, STATE OF COLORADO notarization
📅 2026-03-11 (Exact confidence)

Day-before-permit-approval notification satisfies Order 31848 requirement for adjacent operator disclosure; conditions permit enforceability on completed inter-operator communication

📖 Historical Context (5)

Filter sock disposal protocol from 5/30/2025 NDIC letter: covered leak-proof container required on-site from spud through flowback; operator must demonstrate compliance via Sundry Notice filing within 3 business days of spud
📄 NDIC letter dated 5/30/2025, effective June 1, 2014 requirement · 📅 2025-05-30
Ongoing operational requirement independent of this permit; enforces solid waste management during drilling, completion, and flowback phases. Failure to maintain compliant container or obtain waiver via Sundry Notice prior to spud creates enforcement liability that persists throughout well lifecycle.

Closed mud system with no cuttings pit stipulation; all cuttings directed to Select Water Solutions LLC Special Waste Landfill (13195 26th St NW, Arnegard, ND)
📄 Permit page 1 and page 1 of Drilling Plan (Section 4, DISPOSAL OF DRILL CUTTINGS) · 📅 2026-03-12
Operational constraint on drilling waste disposal for full well lifecycle; operator bound to licensed facility contract; non-compliance triggers NDAC 43-02-03-19.2 violations and potential permit revocation authority.

Prohibition on diesel-based hydraulic stimulation compounds (CAS Registry Numbers 68334-30-5, 68476-34-6, 68476-30-2, 68476-31-3, 8008-20-6) effective at completion stage
📄 Drilling/Stimulation Plan page, Section 5, STIMULATION · 📅 2026-03-12
Binding constraint on completion design and chemical selection; persists beyond drilling into flowback and production. Violation requires pre-approval sundry modification or triggers non-compliance with approved stimulation plan.

Survey frequency mandate for horizontal wells: 100 feet vertical, 30 feet curve/sliding, 90 feet lateral; certified surveys required via email to certsurvey@nd.gov
📄 Permit page 8, OPERATOR ASSERTIONS section · 📅 2026-03-12
Binding operational requirement during drilling; non-compliance exposes operator to drilling suspension and survey rejection. Surveyors must maintain NDIC certification standards; failure to submit certified surveys blocks well progression approval.

Bakken-Three Forks Petroleum System casing/completion design freeze: any changes to casing point, TD length, or completion technique require prior NDIC Director approval via Sundry Notice
📄 Permit page 9, OPERATOR ASSERTIONS section · 📅 2026-03-12
Restricts operational flexibility post-approval. Changes to intermediate casing point (13003' MD) or production liner top-of-cement (4861' MD) require regulatory pre-approval, preventing adaptive drilling responses without formal amendment.

🔧 Operator Pattern

Off-spacing development strategy with multi-well pad configuration requiring inter-operator coordination and surface use agreements; demonstrated compliance infrastructure for federal minerals (BLM coordination) and horizontal directional planning
Affidavit confirms Phoenix obtained surface use agreement for off-spacing surface location in Section 32 with landowner Kostelecky JT; NDIC Order 31848 affidavit shows operator proactively notified adjacent leaseholder (Rockport Energy Solutions) of proposed trajectory; well location plat and planning documents show 4-well pad design (LOGAN 1 SWD, LOGAN 2HF, LOGAN 3HF, LOGAN 4HF) from single surface location; access road design spans multiple landowner parcels (11.626 acres disturbance + 6.414 acres access) requiring coordinated surface agreements

Confidence: High
File contains explicit permit issuance documentation (3/12/2026) with detailed stipulations, geologic data, wellbore design, and casing/cement programs. Direct regulatory orders (Commission Order 34507, NDIC Order 31848) and same-day federal permit coordination (BLM 3/11/2026) are contemporaneously documented. Affidavits of surface rights and inter-operator notification dated 2/2026 and 3/11/2026 are notarized and filed within permit-cycle timeframe. OCR quality is high except for marginal survey plat annotations. No material ambiguities in permit approval triggers or conditional requirements. Historical constraints are clearly segregated from permit-cycle justification.