The Grand Bay Field is located in Plaquemines Parish, approximately 70 miles southeast of New Orleans, Louisiana. It is situated in the transitional coastline in a protected in-bay environment on parish and state leases on the east side of the Mississippi River. Gulf Oil Corporation discovered the field in 1938. Saratoga is the operator of all of the Grand Bay with 100% working interest and an average 79% net revenue interest. Our leases in the Grand Bay Field, which are all HBP, cover an estimated 17,551 gross and net acres. Facilities include a central compressor station, four tank batteries, numerous gas lift manifolds and a bunk house, from which all field operations are controlled. Low pressure, high Btu-content gas at Grand Bay Field is used to lift oil and high pressure, lower Btu-content gas.
Grand Bay Field is a large, faulted anticlinal structure with cumulative production to date of over 258 MMBOE (83% oil) from 65 different sand formations located at depths between approximately 1,600 and 13,500 feet. There has never been a dry hole drilled within the field confines. Grand Bay lies on a northwest/southeast trending, deep-seated salt ridge that also sets up Coquille Bay Field, to the northwest, and Romere Pass Field, to the southeast. Trapping is predominantly from intersecting fault closures associated with this anticlinal feature, although there are cases of stratigraphic trapping. The predominant drive mechanism is water drive. Some productive formations are clean, blocky sands with high-resistivity pay. Other laminated, low-resistivity sands are also productive. Shallow sands are predominantly gas-filled and associated with anomalous amplitudes. There are additional shallow amplitudes in the field that have not yet been drilled or logged.
Development wells will be predominantly attic locations drilled directional along fault planes, updip from either production of log pay, or infill locations targeting unswept portions of the field. Individual well production declines are relatively low. Grand Bay had a low 7-8% decline during the late 1970s and late 1990s when previous operators failed to invest in field development and numerous wells have declines of 7-12%. Saratoga is producing from many wells that are more than 40 years old, including some dating from the 1940s and 1950s.
Deeper potential will be unlocked with the drilling of the Goldeneye Prospect with over 20 million barrels of oil equivalent potential in geopressured Tex L and Cib Carst reservoirs between 11,500 and 16,500 feet. Saratoga is seeking joint venture partners to help exploit this multi-well exploitation opportunity within one mile of its existing facilities enabling early production.