Saratoga Resources, Inc. Awarded Little Bay Lease at Louisiana State Lease Sale
November 15 2013 - 8:30AM
Business Wire
Saratoga Resources, Inc. (NYSE MKT: SARA; the “Company” or
“Saratoga”) today announced that it was successful in acquiring the
212.41 acre Little Bay lease at the Louisiana state lease sale,
held on November 13, 2013 in Baton Rouge.
The lease has a primary term of three years and provides for a
lease bonus, including fees, of $86,026.05 with annual rentals of
$37,171.75 and a 25% royalty to the state of Louisiana. The lease
includes acreage previously operated by Saratoga and the SL 5097 #1
well which was temporarily abandoned by Saratoga pending deployment
of a workover rig. Saratoga’s most recent estimate of reserves
associated with the acreage reflects proved developed shut-in gross
reserves of 48 thousand barrels of oil and 1,234 million cubic feet
of gas, or 254 thousand barrels of oil equivalent.
Thomas Cooke, Chairman and CEO of Saratoga, commented, “The
third quarter 2013 release of our operating agreement on the Little
Bay lease was the source of the non-cash impairment charge to
earnings of $2.2 million recorded for the quarter. While Little Bay
is not a near term focus of our planned development operations,
reacquisition of the Little Bay lease and additional acreage brings
back into our holdings associated reserves previously held by
Saratoga.”
About Saratoga Resources
Saratoga Resources is an independent exploration and production
company with offices in Houston, Texas and Covington, Louisiana.
Principal holdings cover 52,102 gross/net acres, mostly held by
production, located in the transitional coastline and protected
in-bay environment on parish and state leases of south Louisiana
and in the shallow Gulf of Mexico Shelf. Most of the company's
large drilling inventory has multiple pay objectives that range
from as shallow as 1,000 feet to the ultra-deep prospects below
20,000 feet in water depths ranging from less than 10 feet to a
maximum of approximately 80 feet. For more information, go to
Saratoga's website at www.saratogaresources.com and sign up for
regular updates by clicking on the Updates button.
Forward-Looking Statements
This press release includes certain estimates and other
forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, including statements regarding
timing of drilling operations, reserves associated with prospects,
oil content of prospects, future production rates and drilling
results, ultimate recoveries from wells, ability to fund drilling
operations, and the ultimate outcome of such efforts. Words such as
"expects”, "anticipates", "intends", "plans", "believes",
"assumes", "seeks", "estimates", "should", and variations of these
words and similar expressions, are intended to identify these
forward-looking statements. While we believe these statements are
accurate, forward-looking statements are inherently uncertain and
we cannot assure you that these expectations will occur and our
actual results may be significantly different. These statements by
the Company and its management are based on estimates, projections,
beliefs and assumptions of management and are not guarantees of
future performance. Important factors that could cause actual
results to differ from those in the forward-looking statements
include the factors described in the "Risk Factors" section of the
Company's filings with the Securities and Exchange Commission. The
Company disclaims any obligation to update or revise any
forward-looking statement based on the occurrence of future events,
the receipt of new information, or otherwise.
Saratoga Resources, Inc.Brad Holmes, 713-654-4009Investor
RelationsorAndrew Clifford, 713-458-1560PresidentorMichael
Aldridge, 713-458-1560CFOwww.saratogaresources.com