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Order 35579

Class II Saltwater Disposal Well Authorization - Granted
North Dakota Industrial Commission - Oil & Gas Division
Generated: May 06, 2026 at 01:44 AM
Order Number
35579
Case Number
32722
Field
Skabo Field
County
Divide County
Date Signed
2026-04-22
Operator
Phoenix Operating LLC

📋 Regulatory Decision Signals

SWD well authorization granted with directional drilling to Dakota Group, indicating operator strategy to maximize disposal capacity from constrained surface footprint Granted
Why Notable:Directional SWD wells optimize subsurface placement and allow operators to inject from non-optimal surface locations, reducing surface lease conflicts
Commercial Relevance:Signals Phoenix Operating is scaling production in Skabo Field and requires dedicated, high-capacity disposal infrastructure rather than relying on third-party SWD services

🏭 Operator & Well Intelligence

Wells:CANDY FERRARI #1 SWD
Target Formations:Dakota Group
Build proprietary disposal capacity in core production area
Directional SWD well designed to inject from constrained surface location (239 ft from south line, 1,145 ft from west line) to optimal subsurface target (2,124 ft from south line, 513 ft from west line), indicating deliberate subsurface placement optimization
Scale production volumes in Skabo Field
Investment in dedicated SWD infrastructure suggests operator anticipates sufficient produced water volumes to justify owned disposal well rather than relying on commercial SWD capacity

💼 Service Opportunity Signals

SWD Immediate
Directional well drilling and completion services for Class II disposal wells in Divide County; potential future SWD capacity expansion if Phoenix production ramps exceed current well capacity
Why Relevant:Well authorization granted; drilling and completion services will be required within operational timeline; competitor SWD operators in Divide County may face reduced market share if Phoenix disposal capacity is adequate

⚖️ Regulatory Conditions & Stipulations

Requirement
Operator must receive and comply with all provisions of injection permit issued by Oil and Gas Division pursuant to NDAC Section 43-02-05-04 and all NDAC Chapter 43-02-05 requirements
Deadline: Ongoing
Analysis Confidence
High
Order document is clear and complete with no OCR artifacts. Decision is straightforward SWD authorization with standard conditions. No opposition or complications noted. Directional well parameters are fully specified. Field location and operator identity are unambiguous.