Oyster Bed Lagoon S.A. Properties are located on the Southeast portion of Utila Island, right across the Bay that hosts the Island’s main town. Surrounded almost entirely by water, and yet connected by a land road to the main population center and several airfields. To the north and west it limits with the Oyster Bed Lagoon. To the south and east it limits with the Caribbean Sea. As it is typical of the Honduran Bay Islands, its Caribbean shore line is populated with beautiful coral reef.