Comments on the NDIC Hearing Dockets for June, 2012

I have completed my usual "summary" of the NDIC hearing dockets.

Some comments:

1. This seemed to be a particularly short docket. Generally, each day has 19 - 20 pages of cases. This time it was about 14 pages each day. It did not take long to summarize the report.

2. For the past several months now there has been a trend toward four to seven wells on each spacing unit. In this month's report, I was surprised to see that Hess is looking to put up to as many as nine wells in each of several 1280-spacing units in Robinson Lake, and as many as nine wells in one 640-acre spacing unit in Cedar Coulee. The Robinson Lake oil field is incredible; click here to see how a Hess 6-well pad is doing. Also, results of a very nice Hess 6-well pad in Robinson Lake here. If you can access the NDIC GIS map server, take a look at the multi-well pads in Robinson Lake. It's quite impressive.

3. I thought this case was interesting:

• 18159: XTO, Corral Creek-Bakken, 8 wells on an existing 1280-acre unit; Dunn

I thought BR was given the responsibility for developing this field.

4. It seems this hearing will be dominated by BEXP, Hess, and Oasis. 

5. Resource Drilling, LLC: first time I saw this company. According to NDIC, Resource Drilling has one well:

• 21171, Halvorson 14-13 1H, Clear Water,

6. Interesting space units:

• 18111: Samson Resources, West Ambrose-Bakken Pool, create a 2080-acre unit, 14 wells; Divide
  18112: Samson Resources, Ambrose-Bakken Pool, create 5 2080-acre units; 14 wells on each unit; 70 wells; Divide;

7. Petro Uno Resources: first time I saw this company. According to NDIC, Petro Uno has one well:

• 15167, Petro Uno,  Beta Race Federal 22-6, Ice Caves

8. 18021: Whiting, Chateau-Three Forks Pool, proper spacing for development of this field; Billings County. I don't understand this. The Bakken Pool incorporates the three Bakken formations (upper, middle, and lower) and the multiple formations of the Three Forks. I don't know why NDIC is calling this the "Three Forks Pool." In this same hearing docket there is another case in which NDIC refer to a "Sanish Pool."

On Track for Nearly 2,100 New Permits This Year in North Dakota

With 866 new permits issued through May 31 1, 2012, North Dakota is on track to issue 2,093 new permits this year.

My database showed the following number of permits (may or may not include salt water disposal wells):

• 2012: 2,093 (estimate) -- based on 866 permits issued as of May 31, 2012
• 2011: 1,940
• 2010: 1,684 
• 2009: 629
• 2008: 956
• 2007: 497
• 2006: 422

Prior data. Numbers vary due to errors on my part. My numbers will be at slight variance with the NDIC because I occasionally miss a well, and salt water disposal wells may or may not be included. I don't know how the NDIC "counts" permits canceled shortly after they've been issued.

• 2011: 1,940
• 2010: 1,682
• 2009: 628
• 2008: 953
• 2007: 497
• 2006: 422

Seven (7) New Permits -- The Williston Basin, North Dakota, USA

Daily activity report, June 1, 2012

• Operators: Hess (4), Denbury (2), Petro-Hunt
• Fields: Little Knife (Dunn), Robinson Lake (Mountrail), Siverston (McKenzie), East Fork (Williams)

KOG has canceled this permit:

• 20573, PNC, KOG, Tracey 5-29H, Divide County

Samson Resources has changed the name of a permit, suggesting a change in target formation:

• 22483, loc, Samson Resources, Coronet 2413-4TFH (was coronet 24-13-163-99H), Divide

Seven well files released from confidential status:

• 20749, 101, OXY USA, Marlene Steffan 1-5-8H-141-97; St Anthony; t12/11; cum 11K 4/12;
• 20943, No data,  Newfield, Jarrett 156-99-35-26-2H, East Fork,
• 20945, No data, Newfield, Sami 156-99-35-26-1H, East Fork,
• 21269, 372, WPX Skunk Creek 23-14HC, Mandaree,
• 21673, DRL, SM Energy, Bogner 13-20H, Wildcat,
• 21763, DRL, Fram Operating, Zeltinger 1, a Madison well, South Greene,
• 21784, DRL, Enerplus, Lion 149-93-31A-30-2H TF, Mandaree, 

Comment: when there is no data, and no statement that the permit has expired, I assume the wells have gone to DRL status. I assumed that on 20943/20945 and I was wrong. According to NDIC, they are both still on "LOC" status. There is a letter dated April 25 in the well file alerting Newfield that the permits would expire May 25. The GIS map now shows the permits as expired, but the NDIC production site shows the status of these two wells still as "LOC." Until I hear something else, I will assume the company got the re-filing paperwork in at the last minute; the permits have been renewed, and the GIS map will reflect that on a future update. (Interestingly, I just confirmed: the three other wells that had no data are now on "DRL" status.)

Comment: just the other day, officials said that operators were catching up with fracking, but I don't see that, unless wells are staying on DRL status for a shorter length of time. But, again, today, six Bakken wells came off the confidential list and only two (33 percent) reported an IP, suggesting they were completed/fracked.

Three of the Hess permits are for a 3-well pad in Robinson Lake. To see how aggressive Hess plans to drill Robinson Lake check out the NDIC hearing dockets for June, 2012, that were just published. Hess plans to drill 9 wells on each of several 1280-acre spacing units.

Finally, the South Greene oil field where Fram Operating is reporting the Zeltinger Madison well is an interesting field. It is about as small as a field can get: 1.5 sections (960 acres). It is located in the middle of Renville County, up north, near the Canadian border. In this small section, Fram has three other wells/permits:

• 17739, 105, Fram Operating, Funke 1, t8/11; cum 15K 4/12;
• 21720, DRL, Fram Operating, Laura Funke 4; no production reported yet;
• 21762, DRL, Fram Operating, Donovan Funke 3, Madison, s11/11; cum 145 bbls;

For The Keystone XL: Now It's The Texas Wetlands

Episode 49 of "As The World Turns": In tonight's episode, TransCanada tweaks the southern pipeline plan to a avoid clash with the EPA.

Application for Keystone XL 2.01S will tweak Keystone XL 2.0S. The pipeline will now go under the wetlands rather than across the wetlands.

TransCanada submitted its new application in April, after the U.S. Environmental Protection Agency raised concerns about the effect the original plan would have on wetlands along the Texas Gulf Coast and called for a more rigorous review process. Under the new plan, the company will drill under the wetlands rather than run across them, eliminating the need for EPA involvement, said Vicki Dixon, regulatory program manager for the southwestern division of the Army Corps of Engineers.

Episode 48 of "As The World Turns" is here.

NDIC Hearing Dockets -- June, 2012

NDIC Hearing Dockets

June, 2012

Wednesday, June 27, 2012

17830, cont'd: QEP, Heart Butte-Bakken, see earlier docket; this is too long to re-type tonight
17831, cont'd: Liberty, temporary spacing for Fritz 150-101-32-29-1H, McKenzie
18019: Liberty, revoke a CLR permit, McKenzie
17588, cont'd: GADECO, allow Golden 24-13H to be completed within 190 feet of section line; Williams
18020: Whiting, Bell-Bakken, proper spacing for development of this field, Billings County
18021: Whiting, Chateau-Three Forks Pool, proper spacing for development of this field; Billings County
18022: Whiting, North Creek-Bakken Pool, proper spacing for this field, Stark County
18023: Whiting, Park-Bakken Pool, proper spacing for this field, Billings County
18024: Whiting, Zenith-Bakken Pool, proper spacing for this field, Stark County
18025: Whiting, Gaylord-Bakken, proper spacing for this field, Billings, Stark counties
18026, Whiting, Fidelity, Green River-Bakken, proper spacing for this field, Stark County
18027, Whiting, GMX Resources, New Hradec-Bakken Pool, proper spacing for this field, Stark County
18028: Whiting, temporary spacing for Quale 21-30, Golden Valley County
18029: Whiting, Camel Hump-Red River Pool; allow max production, Golden Valley County
18030: Newfield, KOG, Epping-Bakken Pool, proper spacing for this field, Williams County
18031: Petro-Hunt, temporary spacing for Wollan 152-96-27B-1-3, McKenzie
18032: BTA Oil, temporary spacing for Sharon 1, Stark County
18033: Cornerstone, Carter-Midale/Nesson Pool, appropriate spacing for Ormiston Unit 1, Burke County
18034: Cornerstone, Northeast Foothills-Bakken Pool, to establish 6 1280-acre units, Burke County
18035: Oasis, North Tioga-Bakken, up to 6 wells each on five new 1280-acre units; Burke County;
18036: Oasis, Gros Ventre-Bakken Pool, unrestricted production and flaring, Burke, Mountrail counties
18037: Oasis, Todd-Bakken-Pool, unrestricted production and flaring, Williams, McKenzie counties
18038: Oasis, Alkali Creek-Bakken Pool, unrestricted production and flaring, Williams, Mountrail, McKenzie
18039: Oasis, MonDak-Bakken, unrestricted production and flaring, McKenzie County
18040: Hess, Rainbow-Bakken Pool, add a 1280-acre spacing unit; 6 wells; Williams County
18041: True Oil, Little Tank-Bakken Pool, establish 4 1280-acre units; 4 wells each; McKenzie
18042: True Oil, Red Wing Creek-Madison; add a 520-acre unit; 1 hz well, McKenzie
18043: Sequel energy, Bull Moose-Duperow and Bull Moose-Red River Pools to be commingled, McKenzie
18044: BR, Bailey-Bakken, 7 wells on 4 1280-acre units; designate eight sections as two overlapping 2560-acre unit for one more hz wells between the existing 1280-acre units; Dunn County
18045: MRO, extend Twin Buttes and/or Werner by 20 sections; establish 2 1920-acre units, 2 2560-acre units, and 3 1280-acre units; 4 wells on each 1280-acre and 1920-acre unit; 6 wells on each 2560-acre unit; Dunn County
17776, cont'd: MRO, temporary spacing to develop Merlyn Olson 34-8, Williams County
17821, cont'd: MRO, Bailey, Killdeer, and Chimney Butte fields, commingling
18046, OXY USA, Hungry Man Butte-Bakken, establish 2 1280-acre units; 6 wells each; Billings Co
17779, cont'd: OXY USA, temporary spacing for Spring Creek 1-20-141-93, Dunn County
18047: SM Energy, Ambrose-Bakken, produce unrestricted, Divide County
18048: SM Energy, West Ambrose-Bakken, produce unrestricted, Divide County
18049: SM Energy, Colgan-Bakken, produce unrestricted, Divide
15676, cont'd: XTO, revoke a CLR permit
16125, cont'd: XTO, revoke a CLR permit
17829, cont'd: Mann Oil, SWD
18050, Yates Petroleum, Ross-Bakken, 3 wells on an existing 1280-acre unit; Mountrail County
17530, cont'd: Davis, risk penalty legalese, Kittleson Slough-Bakken, Mountrail County
17531, cont'd: Davis, risk penalty legalese, Van Hook-Bakken, Mountrail County
18051: Clean Fluid Solutions, portable treating plant
18052: SM Energy, Keene Central Tank Battery, commingling
18053: SM Energy, Anderson Central Tank Battery, commingling
18054: Sakakawea Ventures, SWD
18055: Sakakawea Ventures, SWD
18056: Petro Harvester, SWD
18057: Shadwell, SWD
18058: Prairie Disposal, SWD
18059: Marquis Alliance, SWD
18060: Leland Properties, SWD
18061: DRD, SWD
18062: Cornerstone Natural Resources, pooling, Burke
18063: Cornerstone Natural Resources, pooling, Burke
18064: Oasis, Gros Ventre-Bakken; 6 wells on each of 2 1280-acre unit, Williams County
18065: Oasis, Gros Ventre-Bakken, 6 wells on each of 12 1280-acre unit, Burke County
18066: Oasis, Cottonwood-Bakken, 6 wells on each of ~ 22 1280-acre units, Burke County
18067: Oasis, Tyrone-Bakken, 6 wells on each of 5 1280-acre units, Williams County
18068: Oasis, Squires-Bakken, 6 wells on each of 4 1280-acre units, Williams County
18069, Oasis, Missouri Ridge-Bakken, 6 wells on 1 1280-acre unit; Williams County
18070: Petro-Hunt, Otter-Bakken, pooling
18071: Petro-Hunt, Marmon-Bakken, pooling
18072: Hess, Robinson Lake-Bakken, 9 wells on 4 1280-acre units; Mountrail; 
18073: Hess, Alkali Creek-Bakken, 9 wells on 2 1280-acre units; Mountrail, McKenzie
18074: Hess, Big Gulch-Bakken, 8 wells on 2 1280-acre units; Dunn;
18075: Hess, Little Knife-Bakken, 6 wells on 3 1280-acre units; Dunn;
18076: Hess, Cedar Coulee-Bakken, 9 wells on a 640-acre unit; Dunn;
18077: Hess, Ranch Coulee-Bakken, 4 wells on a 1280-acre unit; McKenzie;
18078: Hess, Jim Creek-Bakken, 4 wells on a 1280-acre unit; Dunn
18079 - 18083: Hess, pooling
18084 - 18085: Murex, pooling
18086 - 18091: BR, pooling
18092: MRO, flaring
18093: MRO, flaring
18094: MRO, flaring
18095: MRO, McGregory Buttes-Bakken, max production
18096: MRO, Van Hook-Bakken, max production
18097: MRO, Lost Bridge-Bakken, max production
18098 - 18099: OXY USA, pooling

Thursday, June 28, 2012

18100: CLR, Sinclair, Mary-Bakken Pool, proper spacing; McKenzie, Dunn Counties
18101: CLR, Rattlesnake-Bakken Pool, create an overlapping 2560-acre unit, multiple wells; Dunn
18102: CLR, Jim Creek-Bakken Pool, creat two overlapping 2560-acre units; multiple wells; Dunn
17557, cont'd: CLR, Antelope-Sanish Pool, establish a 1280-acre unit; 1 hz well; McKenzie
17566, cont'd: CLR, Hebron-Bakken Pool, see earlier docket; too long to re-type here, Williams
18103: EOG, Round Prairie-Bakken Pool, proper spacing for the field, Williams
18104: Slawson, Denbury, Newfield, Tobacco Garden-Bakken Pool, proper spacing, McKenzie
17549, cont'd: Slawson, temporary spacing for Condor 1-36-25H, McKenzie
18105: Zenergy, Dublin-Bakken Pool, to establish a 1280-acre unit,  8 wells; Williams
18106: BEXP, to allow Lonnie 15-22 2 TFH to be completed despite "infraction," McKenzie
18107: Denbury, South Westhope-Spearfish/Charles Pool, establish an 80-acre spacing unit; 1 well, Bottineau
18108: Hunt, Parshall-Bakken Pool, create a 1280-acre unit, 2 wells; Mountrail County
17577, cont'd: Hunt, Buffalo Wallow-Bakken Pool, to establish 2 1280-acre units; 1 well each unit; McKenize
18109: Resource Drilling, Ross-Bakken Pool, create a 1280-acre unit, 8 wells; Mountrail County
18110: Resource Drilling, Stanley-Bakken Pool, create a 320-acre spacing unit; 2 wells; Mountrail
18111: Samson Resources, West Ambrose-Bakken Pool, create a 2080-acre unit, 14 wells; Divide
18112: Samson Resources, Ambrose-Bakken Pool, create 5 2080-acre units; 14 wells on each unit; 70 wells; Divide;
18113: GMX Resources, Four Eyes-Bakken Pool, alter stratigraphic limits, Billings
18114: GMX Resources, St Demetrius-Bakken Pool, alter stratigraphic limits, Billings
17551, cont'd: Petro Uno Resources, temporary spacing for Beta Race Federal 22-6, Billings
17848, cont'd: Baytex, Whiteaker-Bakken Pool, flaring violation, Divide County
17849, cont'd: Baytex, Whiteaker-Bakken Pool, flaring violation, Divide County
15737, cont'd: Legacy, temporary spacing for several wells; Bottineau County
17548, cont'd: Fidelity, temporary spacing for Wanner 44-23H, Stark County
18115 - 18134: CLR, pooling
18135: CLR, East Fork-Bakken, 7 wells on an existing 1280-acre unit; Williams
17220, cont'd: CLR, risk penalty legalese
18136: BEXP, Brair Creek-Bakken, 4 wells each existing 640-acre unit Zone I; 8 wells on each existing 960- and 1280-acre unit in Zones II, IV, V, and VI, McKenzie, Williams
18137: BEXP, Elk-Bakken, 4 wells on each 640-acre unit in Zone I; 8 wells on each existing 1280-acre unit; McKenzie
18138: BEXP, Elk-Bakken, flaring
18139: BEXP, Stony Creek-Bakken, 8 wells on each existing 1280-acre unit in Zone III, Williams
18140: BEXP, Sugar Beet-Bakken, 8 wells on each 1280-acre unit, Williams County
18141: BEXP, Buford-Bakken, 8 wells on each 1280-acre unit; Williams, McKenzie
18142 - 18146: Fidelity, pooling
18147: Fidelity, Stanley-Bakken; 2 wells on each existing 640-acre unit, Mountrail County
18148 - 18150: Fidelity, flaring
18151 - 18157: XTO, pooling
18158: XOT, Haystack Butte-Bakken, 8 wells on each of 11 1280-acre units; McKenzie, Dunn
18159: XTO, Corral Creek-Bakken, 8 wells on an existing 1280-acre unit; Dunn
18160: XTO, Bear Den-Bakken; 8 wells on each of 5 existing 1280-acre units; McKenzie
18161: XTO, Hofflund-Bakken; 8 wells on each of 6 existing 1280-acre units; Mckenzie, Wms
18162 - 18166: EOG, pooling
18167: EOG, Round Prairie-Bakken, 2 wells on an existing 1280-acre unit; 2 wells on each of 5 existing 960-acre units, Williams
18168: WPX, Mandaree-Bakken, 7 wells on an existing 1280-acre unit; Dunn
18169: WPX, Reunion Bay-Bakken, flaring
18170 - 18171: Zenergy, pooling
18172: Zenergy, Dublin-Bakken, 8 wells on an existing 1280-acre unit; Williams County
18173: Zenergy, Cow Creek-Bakken, flaring
18174: Slawson, Van Hook, 6 wells on each of 3 existing 1280-acre units; 6 wells on an existing 1600-acre unit; Mountrail;
18175 - 18177: G3 Operating, pooling
18178 - 18179: G3 Operating, risk penalty legalese
18180 - 18189, Baytex, pooling
18190 - 18191: Denbury, pooling
18192 - 19199: Samson Resources, pooling
18200 - 18206: Samson Resources, flaring
18207: Sinclair, Sanish-Bakken, 4 wells on 3 existing 640-acre units; Mountrail
18208: Ballantyne, water injection, unitized formation of Kanu-Madison Unit, Bottineau
18209, Landtech, SWD
18210: Baytex, Crescent Point, Samson Resources, West Ambrose-Bakken, flaring
17036, cont'd: Newfield, risk penalty legalese