Presentation to Insurance Underwriters London - April 24...

www.saratogaresources.com

Presentation to Insurance Underwriters

London - April 24-25th, 2014

1

This presentation includes certain estimates and other forward-looking

statements within the meaning of Section 21E of the Securities Exchange

Act of 1934, as amended, including statements with respect to anticipated

operating and financial performance, growth opportunities, growth rates,

potential acquisition opportunities, and other statements of expectation.

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 our annual

report on Form 10-K for the year ended December 31, 2012 and other

reports filed by the Company with the SEC. 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.

This presentation includes certain non-GAAP financial measures that are

different from financial measures calculated in accordance with GAAP and

may be different from similar measures used by other companies.

Corporate OfficeHouston Office

Three Riverway, Suite 1810

Houston, Texas 77056

Phone: 713-458-1560

Fax: 713-458-1561

Transfer AgentSecurities Transfer Corporation

Legal CounselSlattery, Marino & Roberts

Independent AuditorsMaloneBailey LLP

Websitewww.saratogaresources.com

Stock TickerNYSE MKT: SARA

Safe Harbor Statement

2

Publicly-traded on NYSE MKT: SARA

100% WI and operate substantially all

wells

52,013 gross/net acres, all depths,

60% HBP

Water depth: 0 - 77 feet

Average 2013 Production:

‒ 1,654 net Bopd

‒ 3,284 net Mcfpd

‒ Oil = 75% of mix by commodity

Reserves Summary (1):

‒ 1P 17.2 MMBoe, PV-10: $411 MM

‒ 2P 34.0 MMBoe, PV-10: $717 MM

‒ 3P 64.2 MMBoe, PV-10: $1,376 MM

R/P Ratio: 21.4 Years (2)

Company Overview

Saratoga Resources, Inc. is an independent E&P company engaged in the production, development,

acquisition and exploitation of crude oil and natural gas properties with assets on state/parish

leases in the shallow transition zone in Louisiana state waters and shallow Gulf of Mexico

(1) Collarini and DeGolyer & McNaughton 1/1/14 reserve reports using SEC pricing, adjusted for quality and location, or average

realized pricing of $108.64/Bbl and $4.35/Mcf.

(2) Collarini and DeGolyer & McNaughton 1/1/14 SEC 1P reserves divided by average net daily production for 2013.

VR-16

GrandBay

Main Pass/Breton

SoundAssets

State Waters 3 Mile Limit

TRANSITION

ZONE

Louisiana

VR-152VR-153

SS-78SS-110

Existing SARA Asset

What is the T-Zone?

Wellheads

in <20’ WD

Posted

Barge Rigs

Hurricane

Resistant

Facilities

3

4

All fields except Vermilion 16 considered as “onshore” by state

of Louisiana.

All fields within 3 miles of shore on parish/state lands.

Hurricane-resistant facilities.

We have experienced direct hits from Katrina and Gustav/Ike

with minimal downtime and damage.

“Deeper water” facilities in 20 feet WD with 30+ feet air gap.

Wells remotely tied back subsea to facilities (“Hub-and-

spoke”).

Gross 107 active wells with 84 oil/23 gas and only 2 completed

in over-pressured reservoirs.

SSCV’s in most wells reducing risk of spill.

Most wells require gas lift to flow thereby reducing spill risk.

Insurance Considerations

5

(1) Collarini and DeGolyer & McNaughton 1/1/14 reserve reports using SEC pricing, adjusted for quality and location, or average realized pricing of $108.64/Bbl and $4.35/Mcf; proved

reserves PV10 includes $11.7 MM of P&A, total reserves PV10 includes $13.0 MM of P&A.

(2) Includes 2.47 MMBOE of P90 probable undeveloped reserves, the result of re-categorization of PUD reserves that do not meet the SEC rule of being developed within a 5-year time

frame, with a PV10 of $21.9 MM.

Reserves Profile

Not including >8 TCF plus 600 MMBO deep

oil/gas or 50 BCF shallow gas potential!

53.6% Oil

6(1) Collarini and DeGolyer & McNaughton 1/1/14 reserve reports using SEC pricing, adjusted for quality and location, or average realized pricing of $108.64/Bbl and $4.35/Mcf.

Reserves Reconciliation

100% Reserves

Replacement!

7

Production by Asset

Grand Bay,

Crooked

Bayou &

Vermilion 16

Acquisitions

Hess

MP/BS

Acquisition

SARA

Acquires

Harvest

CompaniesGustav/Ike

Hurricanes

SARA Files

Chapter 11

SARA Exits

Chapter 11

SARA Begins

Refinancing

Hurricane

Isaac

Tropical Storms/Hurricanes

Ref: Weather Underground

8

9

CAMILLE

NO EFFECT

ANDREW

NO EFFECT

OPAL

NO EFFECT

NOT CAUSED

BY

HURRICANE

NOT CAUSED

BY

HURRICANE

ALISON

NO EFFECT

IVAN

MINIMAL

EFFECT KATRINA

MINIMAL

EFFECT

Resilient Assets & Production

>50 years of production from one sand!Weather-

resistant

assets and

production:

Katrina (Cat 5) 2005

30 days downtime

$5.2 MM damage

Gustav/Ike (Cat 1) 2008

18 days downtime

$2.0 MM damage

Isaac (Cat 1) 2012

17 days downtime

$3.0 MM damage

10

Hurricane Resistant Facilities

MAIN PASS 46

MAIN PASS 52

BRETON SOUND 51

VERMILION 16

GRAND BAY COMPRESSOR

STATION

GRAND BAY

TANK BATTERY 12

11

Hurricane Resistant Facilities

MAIN PASS 46 TODAYMAIN PASS 46 PLATFORM

2 WEEKS AFTER DIRECT HIT

BY KATRINA

MAIN PASS 52 PLATFORM

2 WEEKS AFTER DIRECT HIT

BY KATRINA

MAIN PASS 52 TODAY

12

Post-Katrina Recovery

BRETON SOUND 18

PRE-KATRINA POST-KATRINA

INSTALLING NEW FACILITY

1Q 2007

BRETON SOUND 18

TODAY

KATRINA 8/2005

13

Post-Katrina Recovery

MAIN PASS 25KATRINA 8/2005

PRE-KATRINA POST-KATRINA

INSTALLING NEW FACILITY

3Q 2008MAIN PASS 25 TODAY

14

Saratoga’s Infrastructure

Breton Sound 18 Field

• Test Separation Platform (Unmanned) –Original platform destroyed by Katrina direct

hit, rebuilt by THG


• Central Platform Complex (Manned) – Minimal or no damage from Katrina direct hit


• Durango Test Separation Facility – Minimal or no damage from Katrina direct hit

Grand Bay Field

• Compressor Station with 6 compressors – Minimal damage from Katrina direct hit

• 4 Tank Batteries (TB-1, TB-2, TB-12, TB-13) – Minimal damage from Katrina direct

hit

• White House (Main Operations Office/Living Quarters)

• Gas-Lift Barge Facility plus various Gas Lift Manifolds

• Main Pass 47 Test Separation Facility

Main Pass 25 Field

• Central Platform (Unmanned) - Original platform destroyed by Katrina direct hit,

rebuilt by THG

Main Pass 46 Field

• Central Platform Complex (Unmanned) – Minimal or no damage from Katrina direct

hit

Main Pass 52 Field

• Central Platform Complex (Manned) – Minimal or no damage from Katrina direct hit

Vermilion 16 Field

• Central Platform Complex (Unmanned) – Minimal or no damage from

Katrina/Rita/Gustav/Ike

15

TANK BATTERY 12

TANK BATTERY 13

COMPRESSOR STATION

WHITE HOUSE

TANK BATTERY 1

TANK BATTERY 2

MISSISSIPPI

RIVER

APACHE

FACILITY

DENNIS

PASS

Grand Bay Field’s wells are tied back to 4 tank batteries with LP gas flowing to the central

compressor station then back to wells via GL manifolds

Grand Bay Infrastructure

16

Field maintenance and well access at Grand Bay Field often involves dredging

and wheel washing of channels…

WHEEL WASHING

WITH TUGS

BUCKET

DREDGING

BUCKET

DREDGING

ROUTES

Grand Bay Field Maintenance

17

Grand Bay 2013 PEP Program

Well awaiting tubing

changeout

Well with new tubing &

tree awaiting hook-up

Workover rig with tug in field moving

between wells

Production Enhancement Program (PEP) including tubing

changeout, thru tubing CTU jobs, workovers, adding

additional perforations & MP-25 platform buildout.

9 wells completed to date, actual capex = $2.94 MM

versus AFE capex = $2.77 MM, net 161 MBOE

recoverable volumes, COFD = $13.69/BOE, payout = 5

months, net 215 MBOE moved from PDSI/PDBP to PDP.

18

Overview as of 9/2012

Several fields located in Plaquemines Parish,

Louisiana:

• Situated in 5-20’ of water, the fields are a mix of four-way rollover

anticlines, faulted three-way anticlines, or stratigraphic traps defined

by seismic amplitudes.

• Saratoga/Harvest have operated these fields since 9/2006 when they

were acquired from Hess.

Saratoga owns 5 platforms & >100 miles of pipeline

infrastructure in the Main Pass/Breton Sound area =

“Hub-and-Spoke”.

Main Pass/Breton Sound Area

MP/BS Locator Map

SEI 400

square mile

3D survey

Saratoga HBP

& Primary

Term Lease

Holding

“Hub-and-Spoke” Infrastructure

Durango Header

19

Improve Field Run Time, Gas Lift Supply, Water

Handling Capacity

Reservoir Simulation Planned for 5800’ Sand in BS-32

Field and for Selective Sands at Grand Bay Field

Drill More Horizontal Wells:

Plan additional Horizontal and/or High Angle completions at

BS-32 and Grand Bay fields

Find JVP for Goldeneye Well at Grand Bay Field

Planning for Shallow GOM Drilling

Shallow Hazard 3D Surveys Completed on 4 Blocks

Targeting Spud of 1st GOM Well with JVPs in 4Q 2014

Continue to Convert PUDs to PDP/PDNP

Pursue Accretive Acquisitions

2014 Activities

Coiled Tubing Workover at BS-32 Field

20

Grand Bay - Long Life Wells

Grand Bay Field was discovered by Gulf Oil in 1938.

Cumulative production of >256.9 MMBOE with 83% Oil versus Gas.

Virtually undeveloped at depths >12,000 feet.

Only 12 wells have been drilled since 3D seismic acquired in mid 1990’s.

Currently producing from 36 wells >40 years old, including 12 wells from 1940s/1950s:

There has never

been a dry hole

drilled at Grand Bay

Field in >70 years!

QQ174 WELL (1972)CUM. 2.2 MMBOE

2 sand: 1 MMBOE 11/72-4/863A sand: 1.2 MMBOE + 9.0 MMBW 11/72-


X9, 11A, 15, 17 sands: 841 MBOE 2/68-3/947 sand: 569 MBOE + 2.5 MMBW 5/94-

PLUS 6B SAND BHP!

A29 WELL (1947)CUM. 1.4 MMBOE

1A, 4, 19 sands: 1.2 MMBOE 6/47-6/903 sand: 244 MBOE + 254 MBW 9/90-


3 sand: 1.4 MMBOE + 7.1 MMBW 2/60-

PLUS R, 1A, 3A & X3 SAND BHP’S!


7 sand: 0.4 MMBOE + 3.3 MMBW 7/91-

PLUS 4, X5, 8, 8A, X9, 10B, 10C, 11A & 11B SAND BHP’S!


21 sand: 0.6 MMBOE + 3.7 MMBW 12/63-

PLUS 4, 19, 19A & 29M SAND BHP’S!

Grand Bay Field – 70 Years On & Still Going Strong!

Here are just a few examples showing long life production from individual sands in active wells…

5% decline7% decline

12% decline

5% decline 13% decline12% decline

21

22

Grand Bay Well EURs

TOP 10 SAND PRODUCERS

BASED ON CUMULATIVE BOE, AS OF 9/2009

The Top 10 sand producers in Grand Bay Field account for

60% of the total cumulative production of >250 MMBOE…

The average EUR per completion has been 361

MBOE and average perforated interval is only 12’

23

Development Well EUR’s

EURs = 200-580 MBOE

Avg EUR = 296 MBOE

F&D Cost = $11-30/BOE

Avg F&D Cost = $20.50/BOE

(1) EURs are net to SARA’s WI%; capital expenditures includes total sunk costs plus future capex, including recompletions for all reserve categories. Wells in study include

Buddy, Catina, Jupiter, North Tiger, Roux, Roux Toux, Rocky & Zeke; Collarini 1-1-13 SEC reserves.

24

Good application in areas of low structural dip.

Good application where strong water drive.

Good well control with 3D helps reduce risk.

Substantially reduced drawdown leading to stable

OWC and enhanced recovery versus high drawdown

leading to water coning and inefficient sweep with V-

wells (1).

55-65% recovery versus 45-50% with V-wells (1).

Breton Sound 32 and Grand Bay fields are excellent

candidates.

The Case for Horizontal Wells

(1) Reference: Energy XXI COS 12/2013 Presentation.

25

Saratoga’s “Coning” Model

H-Well

V-W

ell

26

“Rocky” SL 1227 #25 Well

SL 1227 #25 ST01 Post Well Lateral

Measured Depth Log TVD Log

The Rocky well targeted the elongated ridge, offsetting the #21 & #22 wells in the 5800’

sand. A 70o directional pilot hole was drilled followed by a sidetrack with a 750’ lateral

completion. IP rate was gross 600 BOPD, 120 MCFPD on 16/64” choke, 650# FTP, net

508 BOEPD. 9/18/13 test rate of gross 422 BOPD, 47 MCFPD on 24/64” choke.

27

Rocky Development, BS-32

5800’ Sand

Structure

Rocky #1

H-Well

Current O/W

-5779’

Planned

Rocky #3 H-

Well

SL 1227 #29H “Rocky 3”

Schematic

28

GB Deep Play Cross Section

The Goldeneye well will target geopressured Tex L to Tex W sands down to

16,500’…

29

De-Risking the GB Deep Play

3B

17

25

30

Tex W

Big Hum

Well 1:

Jupiter

QQ-202

Well 2:

Goldeneye

QQ-210

Well 3:

Zeus

QQ-217

QQ-202 well targeted

0.7 MMBOE in 8 proved

sands plus 1.2 MMBOE

in 7 non-proved sands.

Completion as dual with

LS in 17 sand, SS in 15

sand

QQ-210 well will

target >1.0 MMBOE

in Tex W sand plus

upside potential in 25

thru 30 sands with

offset production and

shows

Cris I

Well 2:

Goldeneye

QQ-210or

Well 3:

Zeus

QQ-217or

Failing success in

deeper targets, QQ-

210 will serve as an

acceleration well to

the QQ-202 well

QQ-217 well will

target 15.5 MMBOE

potential in Big

Hum/Cris I sands

Failing success in

deeper targets, QQ-

217 will serve as an

acceleration well to

the QQ-210 wellPTD 20,000’

PTD 16,000’

PTD 10,000’

Step 1 Step 2 Step 3

Normally

Pressured

PUD

Reserves

Geo-

Pressured

Probable

Reserves

Geo-

Pressured

Possible

Reserves

30

Fina 3762 #8 “Mesa Verde” 3763 #14Future 3763 #14 S/T

Cumulative production of 352.9 MMCF, 1.2

MBO, 2.1 MBW 11/91-8/92

“Mesa Verde” PUD, V-16

Log analysis:

fave = 18%, kave = 73 md, Swave = 34%, Vsh = 5%

The future 3763 #14 sidetrack will

target the MA-4 sands closer to

the 3762 #8 producer.

The 3763 #14 well

encountered thin MA-4

sands almost 200 feet

high to the downdip #8

well.

31

A120 Updip PUD

A191 Twin PUD

A192 PUD

DP10 Twin PUD

Mallard

QQ63 Updip

QQ151 Updip

QQ166 Offset PUD

QQ196 Offset PUD

QQ204 Offset PUD

QQ207 Offset PUD

QQ215 PUD

QQ216 PUD

Bad Boy

BLT

Café O Lay

Cheez Whiz

Chipolata

Et-Too-Fay

Krispy Kreme

Lucky Dog

Five Year Development Schedule – Prioritizing Oil (1)

The Company has an extensive drilling inventory including, but not limited to, the following:

Drilling Schedule

2012/13 2014 2015 through 2018

Drilled

Mesa Verde 3763-14 PUD

Jupiter QQ202 PUD

North Tiger 20433-1 PUD

Buddy QQ209 PUD

Roux Toux QQ25 PUD

Rocky 1227-25H PUD

Zeke 1227-26H PUD

Oyster

PBJ

Po’ Boy

Pop Tart

Salami

Sweet Pea

T-Bone

Twinkie

Denali PUD

Duckpond

East Blackjack

Lonesome Dove

North Thor

NW Blackjack PUD

QQ212

Rex

Scooby PUD

SE Blackjack

Sequoia PUD

Zion PUD

Unscheduled Shallow Gas WellsUnscheduled Deep Wells

(1) Nominal drilling schedule subject to change depending on commodity pricing, available cash flow, rig availability, weather and substitution of better projects.

(2) These wells are candidates for horizontal completions or high angle directionals in primary reservoir.

(3) Most wells are a mix of oil and gas but the key assumes predominant hydrocarbon type in booked reserves.

QQ45 Twin Deep

QQ Loc B

QQ Loc G

Redhead

Teal

Topaz PUD

A188 Loc C PUD

A189 Loc D

Acadia PUD

Blackjack PUD

Bryce

Carencro

Coquille Monster

Key (3)

Oil Wells

Gas Wells

New Additions

Planned

Rocky 3 1227 #29H PUD

Tiger Toux PUD (2)

Goldeneye QQ210 PUD

Candidates

Charlie 1227-27 PUD (2)

Duchess A200 PUD (2)

Lilly A170st PUD (2)

Panther Deep PUD (2)

Shadow

Winston QQ189 PUD (2)

Panther Shallow PUD

Canvasback

Pintail

Widgeon

Invictus

Long John Silver

Zeus

Orpheus

Poseidon

Rhea

Thor

Moneypenny

Goldfinger

Solitaire

Thunderball

Unscheduled GOM Wells

32

Drilling Performance

Drilled last 8 wells on or under

time and budget

Geopressure

Ref: Rigzone 2-2014

South LA Barge Rig Inventory

Company ActiveReady

Stacked

Cold

Stacked

Being

Modified

Axxis 0 5 0 1

Basic 0 4 0 0

Baywater 0 3 3 2

Coastal 0 3 0 0

Megadrill 0 0 1 0

Moncla 0 7 0 2

Nabors 1 4 1 0

Parker 0 4 0 0

1 30 5 5

Inventory of 41 Rigs between 8 Companies

33

Asset Summaries

35


Operated by SARA with 100% WI/79% NRI.

Leasehold:• Located in Plaquemines Parish, ~45 miles ESE of New Orleans,

LA.

• 8 State leases, 1,772.58 gross/net acres (100% HBP).

• Water depth <20 feet.

Well Summary: • North Tiger SL 20433 #1 well drilled in 2012.

• 8 producing wells/1 SWD/1 shut-in well.

• 2 PDNP opportunities in 1 wellbore.

Production:• 10/21/12: gross 806 Bopd, 1172 Mcfpd (net 751 Boepd).

Marketing:• Oil sold to Shell via Chevron line, gas sold to SNG via BS-32.

Seismic Data: • SEI 3D, reprocessed 2012 by Geotrace with bandwidth

extension.

Upside potential:• 1 ProbBP opportunity in 1 wellbore.

Facilities

Production

Facilities: 2 interconnected platforms, unmanned

with 30’ air gap.


SL 20433 #1 “North Tiger” Well


36

Operated by SARA with 100% WI/82% NRI

Leasehold:• Located in Plaquemines Parish, ~45 miles ESE of New

Orleans, LA.



• SEI 3D seismic data.

Well Summary:• 14 producing wells/2 SWD wells/1 shut-in well.

• 1 PDBP opportunity in 1 wellbore.

• 1 PUD opportunity in 1 development well.


Seismic Data: • SEI 3D, reprocessed 2012 by Geotrace with bandwidth

extension.

Upside potential:• 1 ProbBP opportunity in 1 wellbore.

Facilities

Production

Facilities: 5 interconnected platforms, manned

with 30’ air gap, 2012 upgrade and extension.



37

Operated by SARA with 100% WI/74-79% NRI.

Leasehold:• Located in Plaquemines Parish, ~45 miles ESE of New

Orleans, LA.

• 5 State leases, 1,128.33 gross/net acres (all but one lease is

HBP).


Well Summary: • 2 wells drilled – Catina and Rio Grande. Catina is tied back to

MP-46 field.

• 2 producing wells.


SEI 3D seismic data.

Facilities

Facilities: no platform facility, wells tied back to

either BS-32 or MP-46.



38

Operated by SARA with 88.6-100% WI/61.5-77.4% NRI.

Leasehold:• Located in Plaquemines Parish, ~70 miles SE of New

Orleans, LA.

• 6 State/parish leases, 17,270 gross/net acres (100% HBP).

• Water depth 0-6 feet.

Well Summary: • 2 wells drilled – A191 and QQ 202.

• 60 producing wells/3 shut-in wells/3 SWD wells.

• 42 PDNP opportunities in 25 wellbores.

• 68 PUD opportunities in 15 development wells.

Production:• Cum prod of >250 MMBOE (83% oil).

• 65 stacked sands between 1600-13500’.

• 10/21/12: gross 1012 Bopd, 1972 Mcfpd (net 1006 Boepd).

Seismic Data: • 90 ml2 proprietary 3D seismic data.

• Sigma3 PSDM project underway.

Upside potential: • 5.8 TCF plus 600 MMBO deep/ultra-deep potential and 50

BCF shallow gas potential mapped.

• 23 ProbBP opportunities in 17 wellbores.

• 21 ProbUD opportunities in 16 development wells, including

10 non-proved.

• 15 PossBP opportunities in 14 wellbores.

• 46 PossUD opportunities in 14 development wells, including

10 non-proved or probable.

Facilities

Production

Facilities: 4 tank batteries, MP-47 test separator,

compressor station plus bunk house (manned)

Grand Bay Field


39


Leasehold:• Located in Plaquemines Parish, ~76 miles SSE of New

Orleans, LA.

• 6 State leases, 1,102 gross/net acres (100% HBP).


Well Summary: • 0 wells drilled to date.

• 6 producing wells/1 SWD well.


SEI 3D seismic data.

Upside potential:• Deep Tex W exploration target.


Production currently goes to sales via TPIC’s MP-35

facilities.

Facilities

Production


with 30’ air gap, 2012 upgrade.

Main Pass 25 Field


40

Operated by SARA with 100% WI/74-79% NRI


Orleans, LA.



Well Summary: • 1 well drilled – MP47 QQ 24, tied back to Grand Bay field.


• 1 PDNP opportunity in 1 wellbore.



SEI and proprietary 3D seismic data.

Upside potential:• Deep gas/condensate potential (see Grand Bay).


• 4 ProbUD opportunities in 3 development wells.

• 22 PossUD opportunities in 6 development wells, including 3

non-proved or probable.

Facilities

Production

Facilities: single 6-pile platform, unmanned with

30’ air gap.

Main Pass 46 Field


41

Operated by SARA with 100% WI/75.6-79% NRI.


Orleans, LA.



Well Summary:• 0 wells drilled to date.



SEI and proprietary 3D seismic data.

Upside potential:• 2 ProbBP opportunities in 1 wellbore.

Facilities

Production

Facilities: 4 interconnected platforms, manned

with 30’ air gap.

Main Pass 52 Field


42

Cib 38 Sands


Leasehold:• Located in Vermilion Parish ~40 miles S of Lafayette, LA.

• 7 State leases, 4094.76 gross/net acres (87% HBP).


Well Summary: • 1 wells drilled – Mesa Verde 3763 #14.

• 2 current producers/1 shut-in well.

• 3 PDNP opportunities in 2 wellbores.


Production:• Cum prod of >345 BCF, >15 MMBC (83% gas).

• 36 stacked sands between 10900-16500’.

• 10/21/12: gross 60 Bopd, 3300 Mcfpd (net 458 Boepd).

25 ml2 Fairfield 3D seismic data.

Upside potential:• 2.4 TCF potential in ultra-deep Long John Silver Prospect.

• 1 ProbBP opportunity in 1 wellbore.

• 5 ProbUD opportunities in 2 development wells.

• 13 PossUD opportunities in 2 development wells, including 1

non-proved or probable.

Facilities


with 30’ air gap.

Vermilion 16 Field


SL 3763 #14

“Mesa Verde” Well

Vermilion 16 Field

43

Gulf Of Mexico Leases

SARA

Lease

Other

Lease

Open

Block

Goldfinger &

Thunderball

Prospects

Solitaire

Prospect

Moneypenny

Prospect

VR-152

VR-153 SS-78

SS-110

Louisiana 100% WI / 77% NRI with 19,814 gross/net acres.

Water depths of 13-77 feet.

All prospects defined by high-quality 3D surveys, either

updip from log pay, production tests and/or AVO support.

Estimated 50 MMBOE resource potential (1) with PUD reserves

of 2.74 MMBOE (46% Oil) with PV10 = $37.2 MM (2).

SARA will be seeking partners for these prospects with 1st

drilling targeted for 4Q 2014.

Close proximity to abundant, existing infrastructure.

(1) Internal unaudited resource assessment.

(2) DeGolyer and MacNaughton 12/31/13 reserve report using SEC average adjusted pricing of $102.03/Bbl oil, $3.62/Mcf gas.

44

3D Seismic Coverage

MAIN

PASS 25

BRETON

SOUND 32

BRETON

SOUND 31

BRETON

SOUND 18

BRETON

SOUND 51

MAIN

PASS 46

VERMILION

16

MAIN

PASS 52

MAIN

PASS 46

MAIN

PASS 47

GRAND

BAY

Vermilion 16 25 ml2

Fairfield 3D PSTM

MP/BS 400 ml2

SEI 3D PSTM

Grand Bay 90 ml2

Proprietary 3D PSTM

Financial Overview

46

2013 Commodity Mix

64.0%63.7% 64.1%

60.6%75.1%

36.0%

36.3%35.9%

39.4%

24.9%

979

864 946

1,116

803

-

200

400

600

800

1,000

1,200

2009 2010 2011 2012 2013

Net

Pro

duct

ion,

MB

oe

Production By Commodity (MBOE)

Oil (Mboe) Gas (Mboe)

83.0% 81.2%

86.2%88.4%

92.3%

17.0%18.8%

13.8%

11.6%

7.7%

$47.4 $52.7

$76.2 $82.5

$68.7

-

10

20

30

40

50

60

70

80

90

2009 2010 2011 2012 2013

Net

Pro

duct

ion,

MB

oe

Revenues By Commodity (MBOE)

Oil ($MM) Gas ($MM)

Avg realized pricing - oil: $62.77, $77.75, $108.35, $107.87, $105.09Avg realized pricing - gas: $3.80, $5.27, $5.16, $3.63, $4.39

47

Cash Cost Per BOE

$20.29(34%)

$18.43(32%)

$20.93(38%)

$20.91(42%)

$30.07(40%)

$28.06(47%) $25.99

(45%) $18.72(34%) $15.78

(31%)

$26.70(35%)

$5.60(9%) $6.83

(12%) $9.09(16%) $6.61

(13%)

$10.27(13%)

$5.79(10%) $6.03

(11%) $6.44(12%)

$6.96(14%)

$9.06(12%)

$59.75 $57.28

$55.18

$50.27

$76.10

$-

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

$70.00

$80.00

2009 2010 2011 2012 2013

Cas

h C

ost P

er B

oe

$/B

oe

All-in Cash Cost Per Boe

Lease Operating Expense ¹ Interest Expense ² G&A ³ Production & Sev. Taxes

(1) Includes Workover Expense of $2.16, $2.49, $2.82, $3.43 and $3.08 in 2009, 2010, 2011, 2012 and 2013, respectively (2) Includes Amortization of Debt Discount of $1.30, $2.88, $2.35, $1.17 and $2.44 in 2009, 2010, 2011, 2012 and 2013, respectively (3) Includes Financing Expense $0.89 in 2011, Excludes Non-Cash Portion of G&A

48

Net Debt (WCA)1/EBITDAX

(1) Net Debt = LT Debt - Unamortized Discount - Positive WC.

Net Debt (WCA) TTM EBITDAX

$126

$28.7

$129

$28.2

$117

$47.9

$129

$45.7

$158

$28.7

Net Debt (WCA)1 , TTM EBITDAX($ in millions)

2009 2010 2011 2012 2013

Net Debt (WCA) / TTM EBITDAX

4.4 x 4.6 x

2.4 x 2.8 x

5.5 x

Net Debt (WCA)1 / TTM EBITDAX Ratio

2009 2010 2011 2012 2013

49

Debt Financing

10.000% Senior Secured Notes due 2015

issued 11/22/2013

$54,600,000

12.500% Senior Secured Notes due 2016 retired

11/22/2013

($27,300,000)

Net Senior Secured Notes issued 11/22/2013 $27,300,000

Saratoga has issued $27.3 MM of 1st lien notes @ 10%

in exchange for retirement of $27.3 MM of outstanding

12 ½% senior secured notes and issued an additional

$27.3 MM of first lien notes @ 10% for cash:

50

>50,000 Net Acres Held to All Depths, 60% HBP.

100% WI in Substantially All Wells.

Multiple Recompletion/Workover Opportunities.

Large Inventory of PUD Wells with Multiple Objectives.

EURs = 200->600 MBOE per Well.

Low Decline Rates.

Oil-Weighted Production with LLS/HLS Premium Crude

Pricing.

Substantial Upside in Drilling Inventory.

Projects with <12 Month Payouts.

Trading Below NAV/Share of Proved Reserves.

Management has “Skin” in the Game with 34.7% of Common

Stock.

Why Invest in SARA?

Presentation to Insurance Underwriters London - April 24...

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