A Reader Has Questions On Kraken Wells Sited In Burg Oil Field, Sited In Section 20-159-99 -- July 19, 2022

Yesterday a reader asked me:

Question: 

On Friday Kraken opened a permit: #39095 - KRAKEN OPERATING, LLC, SIDNEY LE 29-32 #12TFH, SE SE 20-159N-99W, WILLIAMS CO., 665’ FSL AND 671’ FEL, DEVELOPMENT, BURG, ‘CONFIDENTIAL’, 2123’ GROUND, BOTTOM HOLE LOCATION: SE SE 32-159N-99W, API – 33-105-05810. 

As far as I know, there is one producing well, 3 other permits which were recently renewed. 

This one is showing: SIDNEY LE 29-32 #12TFH. I'm confused about the #12 part. Where are #5-#11? 

I suspect it has to do with Kraken expanding the spacing units from 2 sections to 4, covering sections 28,29, 32 and 33.

My quick reply:

1. You are so correct. It's so difficult for me to sort out things without the GIS map. Very, very difficult.

2. The short answer to "where are #5 - #11?" 

This happens frequently. I think it works like this: the CEO or VP for operations or both visit/visits the geologist's office and tells the geologist to develop plans for wells in a specific drilling unit. The geologist comes up with twelve wells, and numbers them consecutively, #1 - #12, before starting the work to put together the siting for the permit application. And note: these are for wells in a specific drilling unit. If a new overlapping drilling unit is added, a new numbering system.

3. Then, days, weeks, months, years, later, the VP for operations gets around to drilling that particular drilling unit, but picks out which wells he/she wants to drill first. So, they don't do them in order and they may not do all of them.

4. Generally, CLR is the only one that really drills them all (and maybe MRO in the Bailey oil field).

5. So, it's not a bit surprising that Kraken is picking and choosing which wells to drill, and not necessarily doing them in order. I don't think it has to do with 1280 vs 2560 acre spacing units.

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Now, more. 

This was done quickly, not double-checked, and likely to have errors. If this is important to you, go to the source.

Without the NDIC GIS map it's very difficult to tell / guess what's going on the Bakken.

The map has not been available for over a year, and it appears another year will go be before we see the map.

Here's what I'm working with now:

The writer noted that these wells will be sited in SESE 20-159-99 and at least for that well noted above will have the bottom hole in 32-159-99.

It looks like there is a mixture of 1280-acre spacing units and 1920-acre spacing units.  When I see "LE" I suspect a 2560-acre spacing unit, but in the file information below, the "LE" well shows only two sections, but ...?

The wells, sited in section 20:

• 34515, 623, Kraken, Lyman Tracy 20-17 1TFH, Burg, t6/18; cum 214K 5/22; drilling unit, sections 20/17
• 34516, 629, Kraken, Deacno 19-18 1H, Burg, name suggests drilling unit, sections 21/16/9, running north; t--; cum 223K 5/22;
• 39092, conf, Kraken, Lyman 20-17-8 3H, Burg, name suggests drilling unit, sections 20/17/8, running north;
• 39093, conf, Kraken, Lyman 20-17-9 4H, Burg, name suggests drilling unit, sections 21/17/8, running north;
• 39094, conf, Kraken, Elias 21-16-9 2H, Burg, name suggests drilling unit, sections 21/16/9, running north;
• 39095, conf, Kraken, Sidney LE 29-32 12 TFH, Burg, name suggests drilling unit, sections 29/32;
• 39096, conf, Kraken, Jenna 28-33 2H, Burg, name suggests drilling unit, sections 28/33;

Sited in section 21:

• 30275, 367, Kraken/CLR, Elias 1-21H, bottom hole location not noted on December 18, 2014, daily activity report; however, scout ticket shows this well runs north from section 21 into section 16-159-99 t3/15; cum 190K 5/22;
• Other wells in section 16-159-99: none.

Sited in section 17: none.

Sited in section 19: Crescent Point Energy.

Sited in section 29: none.

Any corrections to this or my thinking process is welcome.