Energy Partners Successful at Louisiana State Lease Sale
Energy Partners, Ltd. was the successful bidder on six leases from the state of Louisiana on acreage that is contiguous to its East Bay Field offshore Plaquemines Parish. The leases are located in South Pass Blocks 22, 25, 26, 40 and 42 in 10 to 75 feet of water. EPL submitted bids totaling $1.1 million for the six tracts which encompass a total 4,841 acres. EPL will own a 100% working interest in the leases and the state of Louisiana will retain a 23% royalty interest.
In lease sales in November of 2000 and February and March of 2001, EPL acquired three other leases from the state of Louisiana in the East Bay area totaling 2,241 acres. These leases were acquired for a total of approximately $600,000 in cash bonus. With the new leases, EPL will own leases on over 7,000 undeveloped acres of Louisiana state water bottoms bordering its East Bay Field. This is in addition to over 30,000 acres of developed state leases, and 4,330 developed acres in U.S. federal waters owned by EPL in the same area.
Richard A. Bachmann, EPL's Chairman, President and Chief Executive Officer commented, "We are very pleased to continue to build our acreage position around the giant East Bay Field. We look forward to pursuing a number of new leads and prospects in the area based on newly acquired three-dimensional seismic data."