2009-02-25-2008-12-15-2008-12-15

Transaction Type
Announce Date
Post Date
Close Date
Estimated Price
0MM
Description

Acquired 100% WI in 600 acres in Vermilion blocks 5, 6 and 17 and Main Pass Block 53.

Harvest Oil and Gas LLC, a subsidiary of Saratoga Resources Inc., Austin, Texas, (OTCBB: SROE) has acquired a 100% working interest in nearly 600 acres in Vermilion blocks 5, 6 and 17 and in Main Pass Block 53. Saratoga purchased the three-year leases at a Louisiana state lease sale in December. Saratoga has also licensed 25 square miles of 3-D seismic data from Fairfield Industries Inc. to evaluate its Vermilion 16 property and accelerate the development of its proved undeveloped reserves, which is says consists of 29,998 million cubic feet of gas and 324,000 net barrels of condensate. NuTech Energy Alliance is conducting a full field study of the property, which is expected to identify unswept areas for future drilling, directional drilling opportunities and shallower bypassed and low-resistivity gas pay. Saratoga president Andy Clifford says, "The Vermilion 16 Field has historically produced from 30 stacked sands between 10,500- and 16,200 feet. The company has five existing PDNP opportunities in three wellbores and four PUD opportunities identified to date. There is significant untapped reserve potential with only two wells drilled to a depth greater than 17,000 feet. The Vermilion 16 area is surrounded by several fields that each has cumulative production of more than 3 trillion cubic feet of gas. These new leases are contiguous to Saratoga's existing state leases 3762, 3762 and 17156 and either contain extensions to existing proved reserves or provide access to surface locations for proposed directional development wells to be drilled in the next one to two years." Saratoga has properties in Texas and Louisiana.